The Most Clever Methods of Buying Life Insurance

September 13, 2022

Buying life insurance can be intimidating, especially if you are not entirely sure which plan is the right one for you. There are two main types of life insurance — whole life insurance coverage and term life insurance coverage. Choosing the right one isn't easy, though, and you might find yourself wondering — how does life insurance work? The answer depends on what kind of policy you opt for, but generally, life insurance offers financial protection through a death benefit that beneficiaries receive if you pass away.

Buying Life Insurance: Steps to Consider

If you're ready to find a policy but looking for life insurance hacks, the following four tricks can simplify your search.

Buy More if it Costs Less

Logic would dictate that buying more of something would cost more — but this isn't necessarily the case regarding life insurance. When shopping for a policy, you might find that buying more coverage is more affordable. For example, term life insurance may offer more coverage may have a lower premium cost per dollar of coverage. Keep a calculator handy to do the math and get the best deal when you're looking for insurance.

Talk to an Independent Agent Before Buying Life Insurance

Many people approach life insurance selection as a DIY task. It's certainly easy to log online, browse policies, and complete a quick application, but working with an independent agent could be beneficial. It is especially true for insurance applicants who may have pre-existing health conditions. An independent agent will be able to shop on your behalf and find the coverage that's the best fit for your budget and your needs.

Stagger Policies According to Finances

If you're thinking of life insurance as a one-and-done ordeal, it might be time to reconsider this perspective. Rather than simply buying one policy, you could invest in multiple policies and stagger them based on your significant financial obligations. If you have student loans that you might pay off in 15 years, you can buy a 15-year term life insurance policy. If you take 30 years to pay off your mortgage, you can buy another term life policy for 30 years. Often, it is a strategy called "laddering," and it lets you maintain coverage for all of your most significant expenses.

About 1891 Financial Life

At 1891 Financial Life we don’t just sell policies, we offer possibilities. We pride ourselves on giving back to the communities that we serve by providing quality and comprehensive insurance solutions. We are a not-for-profit life insurance Society, which means the sales from these financial service products help fund member benefits along with social, educational, and volunteer programs designed to respond to community needs.

Our portfolio is extensive, ranging from various life insurance policies to our annuities to support your financial needs no matter what stage of life you’re in.