When it comes to finding the lowest term life insurance one of the best things you can do is to start early. Even with a rough economy, you simply can’t afford to skimp out on life insurance. Your family is depending on you and at the very least you don’t want them to be burdened with the expense of a funeral.
Term life insurance will offer the highest payout with the lowest premiums. You can get a policy that will be good for a certain term, hence the name. The term can vary greatly but it’s usually from a few years all the way up to 30 years. The premiums will remain the same for the life of the term, so that’s one less thing you will have to worry about. The payout at the time of your death should be tax free to your beneficiary, though make sure to ask your tax accountant or insurance agent to be sure.
These policies will generally only cost $20 or less a month and that is for a substantial amount of insurance, as high as $250,000 which can go a long way to helping your family move on after your death. For most people that would be enough to pay off the mortgage or help out with college for the kids.
To find the best combination of low premiums, high payouts and the best features, it’s probably a good thing to start your search online. You can quickly and easily compare policies to find the lowest term life insurance. Just make sure that you are comparing like with like. There is no point in comparing one policy that pays out $100,000 over a 10 year term to one that pays out $250,000 over a 20 year term.
Some companies will require that you get a health screening and some will not. Also the age you are when you get your policy will determine the premium. The older you are and the more likely the insurance company will have to pay out sooner, the higher your premiums will be.
To save money on the premiums make sure that you don’t get oversold. You don’t need a huge amount of life insurance if you don’t have kids, or you don’t have a mortgage or your spouse is earning good money, etc. You only need enough life insurance to help your family adapt to the changes if something happens to you. So if are married but don’t have kids and your spouse works too and you don’t own your own home,you probably don’t need a half million dollar policy.
If you’ve got kids, a big mortgage and your spouse doesn’t work outside the home, you’ll want to get enough coverage to help with college costs, help pay off the mortgage, and possibly help pay for your spouse to go to school. In short you’ll want to have more coverage.
Don’t ignore this important part of your financial planning. It’s best to talk to a professional so they can answer all the questions you need when it comes to finding the absolute best and lowest term life insurance that will work for you.