Many people find the very thought of life insurance a disquieting subject, but the truth is that we will all die one day and if we have loved ones it is only right that we leave them with some financial security when we are gone, or that we at least provide enough that none of our bills or other financial obligations will fall to our heirs.
One of the most common ways of doing this is by purchasing life insurance.
The purchaser of a life insurance policy has basically two choices: to purchase a whole life policy or to purchase a term life policy.
A term life policy has a specified time limit - say ten years. At the end of that time, at the end of ten years, the policy lapses and becomes worthless. If the policyholder wishes to continue being covered by term life insurance then he or she must purchase a new policy, with a premium price which reflects the ten years that the policy holder has aged since the start of his or her first policy.
A whole life policy, on the other hand, has no expiration - except the death of the policy holder. The premium that is set when the policy is purchased is the premium that is paid for the life of the policy.
For many people the fact that the initial premium on a term life policy is less than the premium on a similar whole life policy is a deciding factor. Whether the lower initial premium outweighs the long-term benefits of a level premium must be determined by the circumstances and expectations of the purchaser of the policy.
But whichever type of policy you purchase there are a few things you can do to lower your yearly cost of life insurance.
Buy your policy now rather than later. Life insurance premiums are based in part on the age of the purchaser at the time of purchase - the younger you are the lower your premiums will be.
Smokers pay a much higher premium than do non-smokers. Those in dangerous occupations pay a greater premium as do policy-holders who are overweight or in generally poor health to begin with. If you drive a sports car or other high-performance vehicle you will probably be looking at higher monthly premiums.
Keep and maintain a good credit rating. Believe it or not, your credit rating affects how much you pay for life insurance.
If you can pay your premiums by the year rather than monthly you will also get a break.
Combining different insurance policies, such as homeowner's or auto at the same company will usually give you a multiple-policy discount, if not on your life insurance then on one of your other policies.
Once you know what type of policy you want and for how much coverage get online and compare prices at one of the many websites designed for the purpose. Be prepared to answer several rather personal questions, but the time and effort you put into comparing policy prices today can pay off handsomely for years to come.
No one likes to contemplate their own mortality and that is what the purchase of a life insurance policy requires us to do; but with a little planning and effort the result will be peace of mind and the certain knowledge that you have done your best for the well being of your loved ones.
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Any reviews on Training anad generalization of ...
By: Lady Day- Mack | 19-07-2008
Any reviews on Training anad generalization of affective behavior displayed by youth with autism
Gena, A., Krantz
Oprah Winfrey Biography book/article
By: Cannucks | 16-05-2008
Looking for the best Biography book/article on Oprah Winfrey
Can a breast support garment help in the ...
By: mckinnis | 22-04-2008
can a breast support garment help in the prevention of cysts, tumors or breast cancer?
Correcting From Wikipedia to Google Earth
By: andywass | 31-03-2008
How do I get a Wikipedia article which I have corrected on their main site revised on Google Earth . Its 2 weeks since I corrected it but Google Earth is still showing the incorrect version.
I have not heard anything on the condition of the ...
By: ALM | 05-03-2008
I have not heard anything on the condition of the young child. I keep he and his family in my thoughts and prayers. This article says nothing about his condition except that he was listed in critical/stable condition, yet the headline says "KILLERS" of 6-yr old boy. Is he still critical/stable, or did he pass? Please let me know at trinityresources@yahoo.com.
Is it the complete article?
By: curioso | 02-03-2008
There is not missing something below in this article? I could think this is only the first page of a larger article. is it?
Q&A Powered by:
More from Elizabeth Newberry
High Tech Manufacturing in the United States
By: Elizabeth Newberry | 07/06/2008 | Business
As manufacturing seems that it has all but left the United States in search of lower labor rates, there is a large portion that has stayed within the lower 48 states due to high tech manufacturing methods that give U.S. business owners an edge on the competition.
Rather than simple automation...
Find New Cheap Car Insurance
By: Elizabeth Newberry | 30/05/2007 | Finance
If you have saved enough money to purchase a new car, or have already spent your savings on the new car of your dreams - congratulations! There is no thrill like cruising around town in your brand new car you worked so hard for. But before you start cruising, you...
How To Find Affordable Car Insurance In Oregon
By: Elizabeth Newberry | 30/05/2007 | Finance
Nobody like to pay more for car insurance than they have to, and this is especially true in Oregon, which has some of the highest automobile insurance rates in the country.
There's really no trick to finding affordable car insurance in Oregon. It's simply a matter of shopping around and comparing...
How To Find Affordable Automobile Insurance In Oregon
By: Elizabeth Newberry | 30/05/2007 | Finance
Automobile insurance is expensive and as the price of new cars continues to skyrocket, the price of auto insurance is not likely to come down anytime in the near future. If anything, look for auto insurance rates to continue their upward spiral.
So what can you, as a good Oregon driver...
How To Compare Low Cost Long Term Care Insurance In Oregon
By: Elizabeth Newberry | 29/05/2007 | Finance
Long term care insurance is probably the last type of insurance any of us want to think about, yet according to statistics from the state of Oregon's Department of Insurance, just about half of all Oregon citizens will require some form of long term health care at some point in...
How To Compare Low Cost Automobile Insurance In Colorado
By: Elizabeth Newberry | 29/05/2007 | Finance
Colorado has some of the highest auto insurance rates in the nation so it is vital for most Colorado drivers to comparison shop for the lowest cost auto insurance they can find.
Unfortunately no one low cost automobile insurance policy is right for all Colorado drivers; however, there are a few...
How To Find Affordable Life Insurance In Oregon
By: Elizabeth Newberry | 29/05/2007 | Finance
In order to find affordable life insurance in Oregon you need to know what kind of life insurance you need and then compare policies and prices in order to find your best deal.
There are - basically - two different kinds of life insurance policies to choose from in Oregon: Term...
How To Compare Low Cost Health Insurance In Oregon
By: Elizabeth Newberry | 29/05/2007 | Finance
Oregon has an excellent health care system; in fact, one of the best in the nation according to U.S. government figures, but regardless of how good the system is at saving and prolonging life, the fact is that Oregon's heath care, like health care everywhere in this nation, is expensive.
In...
Finance 
