Illnesses can impact heavily on an individual’s finances. According to statistics close to half the population in the US suffer with chronic diseases as a result of accidents or medical conditions. Chronic diseases such as arthritis, diabetes, cancer, heart disease and stroke are considered the main cause of disability and death. Therefore, the choice of a life insurance policy is an important decision. The things to consider before deciding to compare policies include:
· Find out whether you should be insured
It is possible that you could be insured without your knowledge. You could be part of the group life insurance policy provided through employment. In case you have an existing insurance cover it is important to read through the policy. Acquit yourself with the Product Disclosure Statements to understand the cover. This way you will be able to know whether you are sufficiently covered.
Life insurance through the group insurance policy can be cost effective but may give minimum coverage. In case you are earning an income and you have dependants you should consider purchasing a insurance cover. When choosing the right policy it is important to determine how the dependants will function in case something happens to you.
· The cover that cater for your need
In case you purchase several life covers the burden of the premiums may be a burden while too little insurance coverage may lead to a situation where the expenses will not be adequately catered for in case of an illness or death of the bread winner. To choose the right cover it is important to perform an inventory of your dependants, assets and debts.
Determine the number of the dependants and their age. In case you are choosing a life insurance for senior citizens it is important to choose a policy that will cover medical cost and funeral cost without putting a strain on those who are left. You could also consider factoring in the education of your grand children. In case something happens to you, you do not want to leave the family with crippling debts in the form of credit cards debts and mortgage.
· Cost of the policy
Normally, life insurance companies will consider several factors concerning your life expectancy, your gender, personal risk assessment and medical history among other factor before issuing a policy quotes. In case you are young and healthy and do not participate in dangerous sports you stand to receive a cheap insurance quote.
The life insurance for seniors who are still strong and vibrant can expect to receive cheap insurance quotes. Smokers are more likely to be charged higher premiums with women receiving a cheaper policy compared to men because they are considered to have a longer life expectancy.