Frequently Made Life Insurance Mistakes

Life Insurance Mistakes

Avoid these life insurance policy pitfalls.

As a parent, spouse, and family member, buying life insurance is there to protect our loved ones when we pass suddenly. As a selfless policy, you’ll never actually get to use your plan – your family will. However, they will be thankful for it!

If you’re in the market for life insurance, be sure to avoid these common mistakes!

Buying Term Insurance and Nothing Else

Statistically speaking, the chances of the policyholder passing before reaching the end of the cycle pre-defined in a term life insurance plan are extremely low. It’s best to look at all possibilities and permeations before deciding on a plan, especially a short-term one.

Lying on an Application

Generally, those in better health have lower life insurance premiums. If you’re a smoker who wants a low rate, it’s not a good idea to lie and say that you don’t smoke and never have. More often than not, you’ll need a health examination before being accepted onto a policy. If an insurance company determines that you’ve lied about your health, you might end up with no coverage at all.

Over or Under-Spending on Life Insurance Cover

Your monthly payments could easily end up making you pay out of pocket, or leaving you under-insured should the worst-case scenario come into play. Be sure that you know exactly what your policy covers (and doesn’t!) so that you know where your family’s finances will be vulnerable down the road. Overlook your life insurance payments and coverage, and you might find it difficult to make ends meet while in the land of the living!

Don’t leave your family or finances exposed after you pass. Here’s what you need to know before buying a life insurance policy! For more information about selecting the right life insurance policy to suit your needs in Phoenix, Arizona, contact the team at American Premier Insurance. As life insurance experts, we’re able to walk you through the process of selecting the right policy to meet your needs.