How to Reduce Your Life Insurance Premiums
For most people, life insurance is not an option, but a necessity that is part of a sound, lifelong financial plan. With this kind of insurance, you can have peace of mind knowing that in case you pass away, your family will be protected. Still, there are a number of things you can do to cut down your premiums and make savings which could amount to thousands over time.
1. Get the Policy at a Young Age
Just like you pay more for life insurance if you are unhealthy, it’s also gets costlier as you grow old. While many people opt to apply for insurance in their thirties, going for it earlier is bound to provide you with greater benefits because you will pay lower premiums over a longer term. If you are 20, for instance, and you get a 30 year term insurance policy at £35 every month, someone else who is 40 and under the same coverage may have to part with £42 monthly.
2. Cut Weight and Keep Your BMI in Check
Excess body weight comes with a lot of complications including heart disease and high blood pressure. With such ailments, you premiums will shoot. Thus, you have to focus on healthy living and aim to maintain your blood pressure at low levels. Likewise, a BMI that is above average can impact the cost of your insurance which can go as high as 40 per cent above the amount that would be paid by the preferred policyholder. As such, if you have a healthy weight, you shouldn’t wait to get insurance later because your health condition can change anytime.
3. Reduce Your Cover
If you feel that the benefits provided in your existing policy do not apply to your situation anymore, you may want to consider getting a less comprehensive coverage. For instance, benefits such as premium holiday, business safeguard and child cover may be useful at one point, but unnecessary at a later time. Before you think about decreasing the amount of cover,however, you have to be certain that it will not leave you underinsured.
4. And afterwards ....
Once you have purchased a life insurance policy,
that shouldn’t be the end of it. You need to avoid excessive alcohol
consumption, smoking, and other unhealthy living behaviours. Instead, you should
exercise and keep eating a good balanced diet because if you get healthier, you
can still enjoy the benefits of your hard work. With positive changes spread
over a year or two, you may be able to get your provider to review your existing
Copyright ratesforlifeinsurance.co.uk 2013 All Rights Reserved. Home