15 November 2013 0 Comments

Responsibility

responsibilityThere are many reasons given by young people with families who have not purchased enough life insurance to care for their children and spouses in the event of their early death:

  • I don’t know what type of policy to buy.
  • It’s too expensive; I can’t afford it.
  • There are more important things I need to take care of first.
  • I just haven’t gotten around to it.
  • I don’t know how to go about it.
  • I hated the one life insurance agent I talked to.
  • I won’t be able to pass the medical exam.

I could go on with more of these “My dog ate my homework” excuses, but most of them are just baloney!  It’s true; some people will not be able to qualify for low cost life insurance.  Perhaps they waited too long and have just been given the bad news that the big C will take them in a matter of a few years.  The best they can hope for is a very expensive policy with a graded death benefit.

But for the rest of you, there are few legitimate reasons to put of your responsibility of providing protection for your family.  If you’re an age 35 male and in great physical condition, your cost for a $500,000 Ten year term life insurance policy is likely to be about $15.00 a month.  This assumes that you can qualify as a “Preferred-Best Non-Tobacco User.”  If you’re a female, the cost would be about $13.50 per month.

You may not qualify for these very low premiums.  For example, if you are a cigarette smoker who is considered a “Standard” risk, the monthly premium for a male is about $79.00 and $63.00 for a female.

Is Ten Year term the type of policy you should be buying?  A Twenty Year term would probably make more sense if you have young children, but the cost jumps by about 75% for the 20 year plan and if you’re on a really tight budget it makes more sense to purchase the correct amount of insurance locked in for 10 years and reapply for a longer duration before the 10 years runs out.  Check out my April 3, 2012 entry for your options at the end of your term.

What’s right for you?  How can you make this as easy as possible?  How will you know you are getting the best price?  Where is there an agent you can relate to?  It’s so easy and it’s all at www.selectquote.com.  Log on and see for yourself.  It’s about Responsibilty!

Next, I’ll discuss why life insurance premiums have plummeted over the past 50 years.

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