Category Archives: Financial

Must Know Insurance Saving Tips And Faq

Every person interested in purchasing a health insurance policy is advised to careful consider his/her decision. There are many factors that can influence any type of insurance and the Internet is probably the best place to find information about them and check out some insurance saving tips.

Insurance saving tips depend on the type of insurance you choose. For example, if you choose to purchase a house insurance policy then you should know that by installing home security systems, burglar and fire alarms you can save some money.

It is very important to know how to use the Internet in order to discover the proper insurance saving tips. Choosing a well-organized, reputable website that took some time in presenting the information is a smart thing to do and one should be concerned about every detail when it comes to insurance policies. Aside from insurance saving tips, these websites offer info about various types of coverage, available prices and how to benefit from discounts.

There are many out there confused when it comes to choosing the right insurance policy. Sometimes there is too much information to grasp and too many elaborated terms involved that some persons are quite at a loss to what is best for them. Browsing the Internet for insurance saving tips can not only shed some light on the matter of insurance but also help them make a wise decision.

A lot of people are also interested in the insurance FAQ presented on these websites. By visiting these pages and reading some frequently asked questions about diverse insurance policies, they can come to a better conclusion and choose a policy that is suitable for them.

The truth of the matter is that people really have a lot to ask about insurance policies no matter the kind. The websites presenting insurance FAQ pages are visited on a daily basis by interested customers in purchasing a policy. They want to know more about house insurance, life insurance, health insurance and other types of insurance such as: renter insurance, burial insurance and business insurance.

All these types of insurance policies have specific terms and each one of them serves different purposes. The basis of purchasing an insurance policy remains the same, that is protecting ourselves and our belongings.

The need to protect is in the human nature and it is one of the most natural things in the world. Many people visiting these insurance FAQ pages are wondering if choosing an insurance policy is the right thing to do and where to find the best policy. Of course it is a smart decision to purchase an insurance policy. One should never spend any moment marveling about this case.

Online insurance FAQ is not only helpful but also seen as a place for people to share their uncertainties when it comes to picking out an insurance policy. They ask questions, complicated or not, about various topics including available prices, benefit packages given by employers and state out the importance taking the appropriate financial decision.

Insurance FAQ as it was mentioned before are made to help the customer in distress. If he/she has any difficulty in choosing an insurance policy, the Internet is the perfect resource to understand better all the deal with the insurance industry and take a calculated decision. It is up to us to decide what is best for us but sometimes we could use a little help.

The Ins And Outs Of Life Insurance

You should know what things to look for when you are looking for life insurance. It’s important to know the resources that are out there and where you can get answers to questions you may have. The following advice will advise you on how to begin.

When making the decision to purchase life insurance, be sure that you allow yourself enough coverage. The policy should take care of costs like your home mortgage, as well as things like the future educational costs of your children.

Always be informed and make sure you are getting the coverage that you and your family need from your life insurance policy. Devote the time and effort to calculate just what your loved ones would need in the event of your death. Consider future costs such as sending your kids to college or paying off your mortgage when determining how much life insurance you need.

Careers considered to be dangerous will cause the cost of life insurance to go up. Think about giving up hobbies like bungee jumping and skydiving because it may reduce your rates. If you travel the world in areas that are considered dangerous, you may not be eligible for some discounts.

Think about getting life insurance if there are people who are supported by your financial income. Should you pass away, a life insurance policy can enable your spouse to pay off the mortgage or provide your children with a college education.

One of the most obvious ways to get cheaper life insurance is by becoming healthier. Most insurers give people who are healthier better deals because they are less prone to having a medical condition arise that can cut their life short early.

To save money when buying a life insurance plan, try to get away from paying high commissions. Commissions are payments that go to your insurance agent and are included as part of the premium you pay. Policies referred to as “no load” can be purchased directly from some insurance companies and their price isn’t inflated by commissions.

For more personalized service, consider meeting with an independent broker instead of someone at a larger firm. Independent brokers work with many different companies, meaning that your purchasing options are greatly increased. They also allow you to cost compare policies in one location, meaning that you could see a substantial savings over just looking into one company. Look at different insurance companies when buying life insurance. After all, this obligation is long term.

You can save money by choosing a more extensive coverage. Sometimes your life insurance premium may be lower if you purchase more coverage.

Before you purchase a life insurance policy, you should be sure you compare all similar policies. Some can be renewed, but one could outlast the others. Two policies might offer similar benefits, but one might be less expensive. It’s crucial that you do your research before committing to a policy.

In conclusion, life insurance can be more complicated than one would think. Although you have to ask a lot of questions and do a large amount of research, it’ll assist you and your loved ones in the end. Use what you have learned from this article to start yourself on the way to finding a policy that is right for you.

Common Myths About Whole Life Insurance

Life insurance is necessary. However, most individuals do not carry enough of it. The idea behind life insurance is that we all die. If your spouse dies prematurely, a life insurance policy will make sure that there is enough income to make your family whole for the financial loss you’ve suffered. Pretty much every adviser agrees having life insurance is a good thing.

This is where the agreement between financial professionals ends abruptly, because the next question that arises is: OK, so what kind of life insurance should people buy? The debate between which is better – term or cash value/permanent life insurance – is seemingly a “never ending battle”. For many various reasons, many investment houses, stock brokers, mutual fund managers (and the agents who sell their funds), as well as many popular financial “gurus” like Suze Orman, Ric Edleman, and Dave Ramsey presumably (according to their many published books and comments on national radio and television) hate whole life insurance.

Some financial advisors love cash value insurance, others hate it. Who’s right? Who’s wrong?

It’s surprising that the financial industry is supposed to be the educator. I say that only because many of the financial advisors in my industry seem to be more concerned about what the next “hot” mutual fund is…or manipulating interest rate returns, eliminating or disguising fees and disregarding suitability with respect to their clients.

In truth, neither the insurance industry nor the investment industry is doing a very good job of defending their respective positions. Point Blank: Financial “gurus” are leaving out critical information. Either they do not have a very good grasp of how life insurance really works, or they are outright lying. Either scenario is totally unacceptable.

Their motives for deception can be numerous, and diverse. Now, there isn’t anything wrong with pointing out the flaws in a financial product, as long as it can be done objectively. However, in the case of life insurance, the attacks being made are baseless and unsound. This is especially shocking because most, if not all, of these attacks are coming from high profile, well known financial professionals. Here are a few common lies, attacks, & misconceptions:

Lie Number One:

Don’t waste your money on cash value insurance. It is a complete waste of money because the insurance company collects premiums from you for 20 years and then when you die you only get the death benefit. They keep all of your cash and your family gets ripped off. Besides, you could make more money by buying term and investing the difference.

Fact: About 1% of all term policies pay a claim. So, your family has (roughly) a 1% chance that they will benefit from that term policy. Term insurance is cheap – IF you are only considering the cost per thousand dollars of insurance. It is guaranteed to get more expensive as time goes on (and you will see this if your policy gets repriced). Life insurance companies are not dumb. They know they can collect premiums from term life and make a killing because the turnover rate is high (people drop their policies before the term is up) or the policy owner simply doesn’t die before the term is up. Life insurance companies are in the business to make money and provide a product. You have to understand how they position their products and how they make money.

Insurance companies use the Law of Large Numbers. They sample a group of people (similar age, height, weight, etc.). The larger the group of people they insure, the more accurate they are about the number of losses they will see.

For example, if we were to start an insurance company and we only had one customer, we would be taking on an incredible risk because of the nature of life insurance, if that one person dies, we could be out of business very quickly (imagine that one customer giving you $20 for a $250,000 death benefit and then dying the very next day). If, however, we have a million customers, then we can better control the risks we are taking by insuring other people’s lives. No one can predict when an individual will die, but if we study a large enough group of people, we can make surprisingly accurate predictions about the number of individuals within that group that will die in any given year. Given that insurance companies have an excellent record of predicting deaths every year, what do all of the statistics say?

Term insurance just doesn’t pay, at least not for policy owners. That’s because most people live to age 65. Term is expensive long-term. Permanent is a good deal long-term. A few critics will still say “no Dave, term is cheaper – always cheaper”. Oh yeah? Watch this:

Let’s look at a male, age 25 and in good health with a wife and a child. In fact, let’s call him Jim (again *cheesy grin*) finds that he needs life insurance He needs $250,000 in life insurance. A 30-year term policy should cost Jim about $370 per year until he reaches age fifty-five. After that, the premiums become unaffordable (as is the case with all term insurance) at $4,700 per year.