3 Vital Questions to Ask Your Life Insurance Company
Life insurance is an important investment that helps ensure financial stability and mitigate risks in the future. However, it is not surprising to get overwhelmed by the countless coverage options and other hassles you may face when buying life insurance. So, if you are purchasing a policy without asking the right questions to your life insurance company in Charlotte, then it is as good as crossing the road with your eyes blindfolded.
To avoid costly mistakes and make the most of your life insurance plan, make sure you ask these 3 important questions.
Question 1 – What type of life insurance plan should I buy?
A good life insurance company should be able to guide you through two important types of life insurance – term life insurance and permanent life insurance.
Term life insurance can be purchased for up to 30 years and typically serves a specific goal – covering a mortgage, supporting children’s education, buying a new home, etc. In addition to the sum assured, it provides a death benefit on maturity only when specified terms & provisions are fulfilled. This is the most popular type of life insurance and a good agent can help you get the best term life insurance quotes and coverage benefits.
On the other hand, a permanent insurance plan provides a certain sum as a death benefit upon the demise of the insured, regardless of how long the person lives. It is pretty complex and has several variations. Therefore, having an expert to discuss your needs and understand policy coverages is important.
Question 2 – How good is your life insurance company?
Rarely anyone will disclose their limitations, but it is important to judge the insurance company based on – years of experience, client base, the array of products & services, claim settlement ratio, customer service, reviews, and pricing.
Question 3 – How much does the life insurance policy cost?
There are several factors affecting the cost of your insurance policy – the type of life insurance, your gender, age, lifestyle, and your medical condition. These factors are used to determine your risk level and likewise, the premium amount will vary.
The Bottom Line
In addition to the above questions, make sure you thoroughly understand the coverage benefits and exclusions, and how your age will affect your insurance coverage & cost. Make sure you partner with a reputable and experienced life insurance company in Charlotte to purchase the right insurance policy.