One of the many advantages of the computer age is that people can purchase all sorts of different things without leaving the comfort of their homes. This goes for standard consumer products like clothing and appliances as well as for intangibles like tax counseling and insurance. If you’re ready to buy a life insurance policy online, it’s smart to know the general guidelines for safe shopping. Here are five quick points to jot down before you dive into the vast online marketplace.
If you seek accurate quotes from online companies, expect to answer a few health questions. That way, you’ll get a quote that is as close as possible to what you’ll end up paying if you choose to purchase their product. What kinds of queries should you expect? Actuaries typically set premiums based on six key factors: age, gender, height, weight, blood pressure, and cholesterol levels. Always answer with your most recent data and don’t fudge on anything you’re embarrassed about, like being overweight or having high blood pressure. When you give bogus answers, you’ll get inaccurate quotes.
Knowing what a modified endowment contract (MEC) is can be of great help while shopping for coverage. Many carriers offer this unique type of policy. What is it? It is a special kind of cash-value policy that no longer carries the complete tax advantages of standard life contracts. If you take a distribution from a MEC, you stand to pay large penalties to the IRS. So, why have one? MECs can be efficient ways for people to convey inheritance money to heirs without going through probate and at the same time protecting the funds from any creditors. These complex insurance contracts are often used as part of estate planning strategies to protect assets in a special way.
While you’re browsing for quotes, try to find websites that are not tied to particular carriers. Then you’ll have access to multiple quotes at the same time just by plugging in one set of health data. You can get a good idea of what your final cost will be when you see quotes from 20 or more companies on one page.
During the shopping phase of your quest, there’s no need to reveal any personal data. Consider using a disposable email address and omitting your real name, address, and phone number. You don’t need to divulge such tidbits just to get accurate quotes. Remember, you’ll be offering up some pretty personal medical information, so for your own mental health, be careful that it can’t be connected to your real name, address, and phone.
Company ratings change every so often, so check out websites that rank insurance carriers. When you find price quotes for policies that interest you, make sure the carrier issuing that quote is in the top part of the quality listing. That way, you won’t have to worry about dealing with low-quality carriers.