Affordable Term Life Insurance

There's no question that term life insurance is the most affordable vehicle in the life field to buy protection for your family. Maybe that's enough but there ways to ensure that you are getting the best bang for your buck even in this low cost arena. Here are some tips for you to consider to save money:

Buy term when you're young

Don't figure that you can save a whole bunch by deferring your life coverage. Get in to the process right away. The younger you start, the lower the rate. Cut the delay - buy today. Remember you are protecting your family against the small chance that you will die young. Avoid adding the trauma of economic disaster to the heart wrenching loss of the primary income producer in the family.

Here's an example:

Assume I'm a non-smoker in good health with no family history of major disease. In the State in which I live a 20 year term life policy with a face amount of $300,000 will cost me $420 annually for a contract total of $8,400 when I am 34 years old. Compare the same coverage, same primary factors except now assume I don't begin this coverage until I am 44 years old. The annual cost has now increased to $865 for a contract total of $17,300. That's a whopping increase in cost of 106%!

When you were born on the wrong side of the Dec. 31 deadline.

Since the insurance companies calculate age by the "Age nearest" method, in other words is your next birthday is six months away , you will be rated as though you had already hit the next milestone. Get quotes when you are close to your birthday to save money. You'd be surprised how much!

Smoker? Ask if your prospective insurer has an incentive program.

When you pick an insurer to do business with, if all other things are equal and you smoke get one with an incentive program that will reduce your premiums if you do actually quit and stay smoke-free.Some companies will back date premium calculations to the date you quit rather than the date you purchase the policy.

Advance or upfront premium payment

Some companies will discount premiums as much as 10% for upfront payment of annual premiums. Work out if by doing this and avoiding the interest otherwise earned is worth your while.