How do Alpharetta, Ga. residents find the best rates?
Term life insurance is one of the smartest and cheapest ways to protect your family or business. Term life allows you to purchase a large amount of protection for a small amount of premium.
But, did you know there are secrets to finding the lowest rates on term life coverage? And, if you do not know what particular plan or coverage amount you want, you can actually wind up getting a plan that is cheap but may not fit your particular situation.
Let’s take a look at some of the different types of term life policies available to Alpharetta, Ga. residents.
Guaranteed Level Term-
By far the most popular type of term policy on the market today is guaranteed level term. Guaranteed level term term simply means the death benefit remains level and the premium also remains level for a certain number of years. But, it is important to make sure you purchase the level term that will suit your situation the best.
Here are the different types of guaranteed level term protection available for Alpharetta, Ga. residents.
- Ten Year Level Term
- Fifteen Year Level Term
- Twenty Year Level Term
- Twenty-five Year Level Term
- Thirty Year Level Term
- Forty Year Level Term
- Twenty Year Full Return Of Premium Level Term
- Twenty-Five Year Full Return Of Premium Level Term
- Thirty Year Full Return Of Premium Level Term
We will take a look at each type plan and which plan might fit your situation.
It’s important to note that Five year level term policies also do exist, but it has been my experience that most of the Five year level term policies are priced higher than Ten year level term policies, and thus make no sense for most situations.
Ten year guaranteed level term
As the name suggests the ten year guaranteed level term policies offer rates that are locked in and guaranteed to remain level for ten years. These particular policies are good for short term situations. But, they do have a place for someone who needs protection for only a limited number of years.
Fifteen year guaranteed level term
Again, pretty simple to understand. The rate and the death benefit is locked in for fifteen years. Look to purchase this coverage if you are looking to perhaps cover 15 years left on a mortgage or perhaps until your youngest child leaves the nest for instance.
Twenty year guaranteed level term
Rates are locked in and remain level for 20 years. This particular term policy is probably the most popular. However, it is important to remember that after 20 year your rates will increase. Make sure 20 years is going to cover your needs. Your protection does you know good if you purchase a 20 year policy but need it for 21.
Twenty-five year guaranteed level term
The 25 year guaranteed level term policy is only offered by a few carriers, but it can provide an excellent term of coverage since it will usually protect you while the kids are growing up or the mortgage gets paid off. Companies such as Banner Life, Cincinnati Life, Transamerica offer 25 year level terms.
I really like the 25 year level term policies especially if purchased before the age of 40.
Thirty year guaranteed level term
Another very popular plan is the 30 year guaranteed level term. I think the thirty year term is an excellent purchase for young families and young working class Alpharetta, Ga. residents.
This plan can be the most cost effective policy if purchased in your early 20’s or 30’s. I feel most young families just starting out can lock in long term rates at cheap prices with this plan and most of their life insurance needs will be taken care of.
I recommend the thirty year policy often.
Forty year guaranteed level term
This policy is fairly new to the marketplace. I am glad to see a carrier offer this plan. As of right now I only know of one carrier offering this long term guarantee. It allows you to lock in a rate for really most of if not all of your life insurance needs.
Imagine buying coverage at age 25 and knowing your rates are guaranteed to remain level until retirement. But, if you feel you need coverage even longer than 40 years, I recommend you look at also purchasing some whole life or permanent type of coverage.
Term life offers you excellent coverage at low rates, but if you need or want coverage well up into year 70’s or 80’s I recommend purchasing some whole life, even if a small amount.
Full Return of Premium Term policies
Full return of premium term policies are something that may not be as popular as it should. Here is why. The cost for full return of premium policies is higher than no return of premium polices.
But, if you are not good at saving and you think you will ultimately outlive your term policy (that’s the goal, right?) then this particular type policy can make sense.
These policies will return all of your premiums to you at the end of the term. So, for example let’s say you paid in $1,000 per year for a 30 year term policy without the return of premium feature.
At the end of 30 years you are still alive and your policy is over. Your total cost was $30,000.
Now, let’s say instead of paying $1,000 per year you paid $1,800 for 30 years with the full return of premium option. At the end of 30 years the insurance company would cut you a check for $54,000. Not bad, heh? Yes, obviously you could take the savings of $800 per year and invest it. But, would you?
For some individuals the return of premium option makes a lot of sense.
What underwriting risk class do you qualify for?
Okay, when it comes to finding the best term life policy the number one goal should be to find the carrier that will underwrite (or evaluate) your risk the best.
I know one of the first questions prospects ask me is who has the lowest rate? And that is an important question. But, the question should be, who has the lowest rate based on my health and lifestyle.
You see every life insurance company looks at your health and lifestyle differently. What one company may see has a preferred rate another may see as a standard rate (thus a higher premium).
It is also important to work with a knowledgeable agent that knows the underwriting criteria for each individual life insurance carrier.
For example, what are the height/weigh guidelines for a particular carrier? If you are a male 6’1 205lbs does that automatically kick you out of the preferred best class?
All of this factors in to how an insurance company will decide on what rate to offer you.
So, remember cheapest isn’t always the best especially if you won’t qualify.
Best way for Alpharetta, Ga. residents to qualify
So, you have determined you need life insurance protection. You feel like you are in pretty good shape health wise and you are ready to shop for coverage.
Call or contact an independent life insurance broker. Only an independent broker can offer you coverage from dozens of carriers. Also, if they are an experienced broker, they will know which companies will offer you not only the lowest term life rates, but also which carriers have the fastest turnaround on getting a policy issued.
Fortunately, if you are an Alpharetta, Ga. resident you are in luck. We are a local independent life agency with over 30 years experience. We can walk you thru the process to find the term life insurance protection you need.
Why should I not just use a 1-800 call center?
I will give you a couple of reasons why a 1-800 call center or one of the online or TV ads you see are not your best option. You will get the same quotes and same prices from using a local agent, but with one big difference, the local agent will offer you personalized service you just can’t get from the call centers.
All carriers no matter where they are located publish the same rates. If you get a quote from Prudential from your local agent you will get the same quote from Prudential from a call center agent.
Why would an Alpharetta, Ga. resident want to call someone half way across the country when they can contact someone right in their own back yard?
Why not form a relationship with your local agent who can assist you personally. Try getting the same person on the phone at one of the huge call centers. What happens when you need service? Or need to file a claim? Local service offers you the best of both worlds.
Also, your local agent will be your advocate between the life insurance carrier and you. Don’t get the rates you want? Let your local agent shop the marketplace for you. Try getting the big call centers to handle this. You will never deal with the same person twice.
Will I need to do a physical exam?
The answer is it depends. Many life insurance carriers now offer coverage without exam depending on the amount of protection. But, it’s important to also know that many carriers rates will be higher if you choose to not do an exam.
I typically ask my customers if they care to take an exam. You will usually get the lowest rates by taking an exam and having the insurance carrier review your medical history.
If you are in excellent health, young and perhaps in a hurry to get coverage bound, then the non-medical exam option could be a good choice.
What if I have health problems?
If you have a history of pre-existing medical conditions or participate in a high risk hobby then you have come to the right place. We are experts at finding affordable coverage for those with pre-existing medical conditions such as diabetes or heart disease.
In order to evaluate your situation we will ask you about your medical history. We will gather as much information as we can. Then, we will work with the dozens of insurance carriers that specialize in your particular situation and negotiate the best rate available.
Once the rate is negotiated, then and only then will we proceed with formal application and medical exams. This will save you time and money from having to shop from agent to agent.
In fact, this is one of the real reasons your local agent can shine.
So, if you are an Alpharetta, Ga. resident looking for the lowest term life insurance protection give us a call or contact us at 678-207-8160 or https://specialriskterm.com/ We have knowledge and experience to assist you. We are more than just a 1-800 number. We are your life insurance advocate.