3 Factors To Consider When Evaluating A Life Insurance Quote

14 March 2022
 Categories: , Blog


When evaluating a life insurance quote, you will want to consider more than just the price of the policy. This is because simply choosing the most affordable policy does not mean that you will end up with the level of coverage that you are looking for or even that you will save the most money long term. That is why in addition to the monthly premium associated with the policy, you should also take the time to consider the following three factors.

Is The Rate Guaranteed Over The Life Of The Policy? 

Some life insurance policies will guarantee your monthly rate over the life of the policy. This means that regardless of your health, inflation, or any other factors, you will continue to pay the same rate each month either until the policy expires or a death benefit is paid. While these policies can cost a bit more than policies with fluctuating rates, most people will find that they actually save more long term by avoiding rate hikes. 

Does The Policy Offer Any Benefits In Addition To Your Death Benefit?

Many whole life insurance policies offer a variety of living benefits in addition to the death benefits associated with the policy. These benefits include things such as building cash value, paying dividends, and the ability to borrow against your policy while you are still alive. While the death benefits paid to your family after you are gone may be your primary reason for seeking a life insurance policy, the additional benefits provided by some policies can help you to get more value for your money. Consequently, you will want to take the time to consider all of the benefits a specific policy has to offer when comparing life insurance quotes.

What Is The Value Of The Death Benefit?

One of the most important things you will need to consider when comparing life insurance quotes is the value of the death benefit associated with each policy. This is very important because you want to make sure you are comparing apples to apples when choosing which policy is right for you. In some cases, you may find that the lowest-priced policy is only able to offer you a lower rate because they are also offering you a lower death benefit than the other policies you are considering. These low-priced policies may also have additional restrictions concerning the payout of a death benefit.  

For more information, contact an insurance agency to get a life insurance quote