Insurance helps to generate a desirable peace of mind. There are many other reasons why you should consider buying insurance. Indeed, it is wise and practical to anticipate the position of your loved ones to pay their bills in the event of your untimely death. Sometimes, it is advisable to consider the combination of the term and/or whole life insurance benefits to help your family cater for their daily expenses, college education, medical bills, mortgage, funeral costs and much more. To get the best deal, it is advisable to compare free life insurance quotes from different insurance companies. Nevertheless, the mistakes you are likely to make when buying insurance include:
· Avoiding medically underwritten insurance
It may sound appealing to purchase insurance policies that do not require a medical examination. Many people do not want to visit their doctor only to discover they have one or more medical conditions that may require them to pay more for their insurance. However, a medical exam plays an important role in lowering the cost of insurance coverage. Although the no-medical exam policy is more convenient and readily available, you can expect to pay more to receive these conveniences. Therefore, if you are looking for an affordable policy over the long run, prepare for a medical exam.
· Adding young kids as primary beneficiaries
Although you have the option of leaving the insurance benefits to your young children, this is not necessarily a good idea. Emotionally immature young adults and children are not responsible to control effectively an important item such as insurance benefits. It is advisable to consider making your children’s guardians the primary beneficiary, but do not forget to add more contingent beneficiaries who can be trusted enough with the money.
· Failing to adjust beneficiaries
Changes in life occur regularly. Therefore, it is important to consider keeping up with these changes. Circumstances arise when it is necessary to make changes to your insurance policy. In the event of the death of one or more beneficiaries, a divorce or remarrying, it is advisable to consider the option of promptly making adjustments to the policy. This will make sure the right people receive the insurance benefits, if you died today.
· Failing to review your application
Although it is important to rely on the advice of insurance agents or brokers, you must be careful to avoid allowing anybody to submit your insurance application before reviewing it. It is possible for the agent to check incorrect answers resulting in you providing false information. False information could result in your beneficiaries failing to receive the payout at the point of making claims in the future.