Making the active choice to seek a life insurance plan can be difficult enough; thinking about your loved ones having to endure the burdens of life without you is stressful, but this is why life insurance exists. Knowing if you are physically ready for a life insurance plan, however, brings its own set of unique challenges. In many cases, people forget to consider if they even qualify for life insurance.
Thankfully, there is no need to worry. The Mutual Fund Store Life Insurance - Financial Engines is here to help. These are the top five life insurance questions you should ask your agent before you take a policy out on yourself.
Five Questions to Ask Your Life Insurance Agent
1) Am I healthy enough to purchase life insurance?
When contemplating a life insurance investment, the first thing you should ask about is your health. In order to purchase a life insurance policy, most people must pass a life insurance medical exam . During one of these screenings, a doctor will typically take blood and urine samples to check for any pre-existing conditions you may or may not already know about, such as diabetes, hepatitis, etc. Height, weight and blood pressure will also be taken to gauge your body’s risk of having a heart attack, stroke or other medical emergency. Taking the results of these tests into consideration, the healthier you are, the lower your life insurance rates will be. If your results come back negatively, you may pay higher premiums on life insurance, or you may be denied from taking out a policy entirely.
2) Am I too old to invest in life insurance?
Although a person’s age can sometimes reflect his/her quality of health, the main reason for inquiring about your age in relation to life insurance has more to with your needs for a policy than your eligibility to receive one. Generally speaking, life insurance is more important to have during the career stage of your life — those who are 25-65 years old. By the time you reach retirement, your children are typically old enough to support themselves, thus your family’s need for financial assistance following your passing is significantly decreased. Therefore, individuals exceeding 65 years of age are far less likely to need life insurance than an individual who is 35 years old.
3) Who can I leave my money to?
As the sole proprietor of your life insurance policy, you have the power to award your funds to whoever or whatever you see fit. The most common types of beneficiaries are spouses, children, extended family members or very close friends. In some cases, policy owners can even leave their funds to special charities or organizations.
4) What if I don’t tell the truth on my life insurance application?
Representing yourself and your needs honestly is vital to obtaining the correct life insurance policy for you. Not only will lying lead you to purchasing the wrong insurance plan, providing inaccurate information is also a form of fraud , a crime that is punishable under state laws. Aside from paying large fines and possibly even serving time in prison, life insurance fraud can ultimately invalidate the funds your beneficiaries expect to receive upon your death, leaving them with nothing.
5) Which life insurance policy is best for me?
There are three types of life insurance policies we like to discuss with our clients: term life, whole life and universal life . While each person has their own unique needs, we often refer our clients to a term life policy. Term life insurance empowers buyers to purchase only the amount of insurance they need at a guaranteed level premium ranging from 1 year to 30 years, depending on the policy approval in our client’s specific state.
For more information…
Do you have more life insurance questions beyond the scope of this article? Please feel free to reach out to The Mutual Fund Store Life Insurance - Financial Engines by clicking this link . We would be more than happy to discuss your life insurance eligibility and needs. Thank you.
Term Life Insurance products offered through TMFS Insurance Agency LLC, a separate company, affiliated with Financial Engines Advisors, L.L.C. (FEA), in states where licensed. TMFS Insurance Agency, LLC is under common ownership with FEA. Each entity is its own separate entity that provides services for its client independent from the other.
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Term Life Insurance products are offered through TMFS Insurance Agency LLC, a separate company, affiliated with Financial Engines Advisors, L.L.C. (FEA), in states where licensed. TMFS Insurance Agency, LLC is under common ownership with FEA. Each entity is its own separate entity that provides services for its client independent from the other.