4 Factors to Consider When Buying Life Insurance (Besides the Initial Quote)

Life insurances quotes can give you a broader picture of how much your coverage will cost. However, quotes aren’t the only factor that affects how your coverage applies to real-life situations.

If you can understand a number of outside elements that also affect your insurance coverage, you’ll be well on your way to finding a plan that fits your lifestyle. For any prospective customer, putting these life insurance variables into perspective should be the first step after obtaining your initial quote.

Your health

While an insurance agent can estimate how your health will affect coverage costs, many insurance providers will also ask for a general physical exam to gain a more accurate picture. unless you choose no medical exam life insurance. If you have a pre-existing condition, your insurance company may also request additional related screenings.

This is an important area to consider if your initial quote didn’t account for health conditions that you know may come up. You may find additional increases to your premium payments if this is the case. 

Your current finances

After you’ve received your life insurance quote, you’ll want to assess how your premium payments will fit into your current budget. Keep in mind that most term life insurance policies last a minimum of 10 years, so you’ll want to account for your expenses well into the future if you wish for the policy to remain in effect.

Your insurance needs

Every insurance customer has different goals and expectations for their life insurance policy. Some customers may want to secure a future for their loved ones should the worst ever happen, and some may wish to grow their estate to provide a sizable inheritance.

These decisions will inevitably affect what kind of policy you purchase, not to mention any additional riders or benefits you select. So once you’ve received your quote, don’t forget to factor in your specific situation and how your policy will need to fit it.

Life insurance can help secure your future

It is up to you to decide how life insurance will serve your future goals and needs. The initial quote can give an idea of how this plan will look on paper, but there are a number of extra variables that will affect how your policy works in practice. 

Still, don’t let these additional factors overwhelm you. Once you get a handle on how they affect your coverage, you’ll be better equipped to seek out and purchase the coverage that works best for you.