It’s often said that only two things in life are certain: death and taxes. It would be wonderful to live forever, but until that happens, we have to face the inevitable that one day we will pass on leaving our families behind. It’s something most people don’t want to think about, but the reality is that it’s better to be prepared than to leave your family worried about where the money will come from to cover your funeral and last expenses. For this reason life insurance is one of the few things that every person should have. Most people don’t know what to expect from an insurance agent and find the task of meeting with one overwhelming or even frightening. There is no need to worry about meeting with your agent, especially if you are well prepared for the meeting. According to insurance agents these are the most common questions you should be prepared for your agent to ask you.
Questions Regarding Your Health
These questions may include your medical history as it relates to any serious illnesses, hospital stays, or medication you are currently taking or have taken for extended periods in the past. You should also be prepared to answer questions regarding your weight and smoking history. If you have recently stopped smoking you will still be subject to tobacco user rates for the first year following your cessation of smoking. An oral fluid test is required to determine whether or not you are to be considered a smoker or non-smoker. The reasoning behind health questions is that your agent must have clear understanding of your health in order to get you the best rates. Depending on the level of coverage you are applying for you may also have to complete a physical.
Questions Regarding the Health of Immediate Family
You should also be prepared to answer questions regarding the medical history of your immediate family (parents, siblings, and children). These questions are relevant because illnesses of family members can often be passed down through heredity therefore causing you a higher risk of the illness. You will not have to know detailed information but you should know what illnesses they suffer from, how long they have had the illness, and if you have shown any signs of the same illness. You should also be prepared to answer questions about immediate family members who are deceased including cause of death and age of death.
Questions Regarding Your Overall Financial Picture
Most people do not like to tell others about how much they make or how often they get a raise. The definitely don’t want others knowing how much debt they own. However, these are important questions your insurance agent will ask you about before writing you a policy. The insurance agent needs this information to help ascertain the amount of coverage you will need to cover your final expenses. The last thing we want to leave our loved ones is a pile of bills that still need to be paid so your agent will try to get you the right amount of coverage to cover no only your funeral but any other debts you leave behind.
Questions Regarding your Retirement Plans
If you are young this question is probably going to seem irrelevant but truthfully this is the time when you should start thinking about your retirement. Letting your insurance agent know about the age you plan to retire at will allow them to determine if a policy that accumulates cash value is important or not. It will also allow the agent to determine if you may need additional supplemental products to help cover expenses after your retirement. There are many supplemental policies as well as investment products your agent can offer so be sure to ask about them when you meet with an agent.
Questions Regarding the Size of Your Family
Your insurance agent will ask you about the size of your family including the ages of your children to assist in determining the coverage amount you will need. Those with children still living at home will generally get higher value policies than those who have children that are grown. In the event that you pass away at a young age you want your children and spouse to be taken care of, therefore a higher valued policy will be more important to you than someone who does not have children living at home.
Questions Regarding Current Insurance
Some people feel they need more insurance than they already have, however, this is not always the case. A good insurance agent should be able to look at your existing policies and determine if you have enough. You should be prepared with copies of your existing life insurance policies as well as any supplemental policies you already have. Also you should let your agent know if your employer provides life insurance as well. Some employers offer life insurance policies to employees though often these policies are not portable if you switch companies or you may lose your coverage if you are terminated. Be sure to check with your employer about how their policies work and if you can keep your policy in the event you leave that job.
Before purchasing any kind of insurance policy you should compare life insurance policies from different companies. This way you can see for yourself that you are not paying more for your insurance and it’s the best and most suitable option for you that is out there.
Purchasing life insurance should not be something to fear though many people avoid it until the last minute. If you purchase your insurance at a younger age your rates will be cheaper than if you wait until you are older. Plan for your future and don’t leave your loved ones worrying about your final expenses. Call your local insurance agent today or check out many of the life insurance companies online.