The process of buying a life insurance policy for the first time can be pretty overwhelming. Not only are there a number of different types of policies to choose from, but many of them require some type of health exam to determine eligibility. How do you know which plan best suits your needs, and what if you have pre-existing health conditions when you apply? At Mckenzie Life and Health, our DFW insurance agency is here to help make the process of shopping for life insurance as easy as possible. Check out the seven tips below and contact our team to learn more about term life insurance and whole life insurance.

Finding the Right Life Insurance Coverage

Tip #1: Understand What It Is and Why You Need It

This is the most important tip that we can offer for first-time buyers of life insurance. This type of coverage pays a contracted amount to your beneficiaries upon your death. Nearly everyone will need life insurance coverage at some point in time, but how do you know when the right time is to buy it? The younger you are, the more affordable it will be, and life insurance can help protect your beneficiaries financially when you pass away, providing money to cover expenses such as:

  • Your end-of-life expenses
  • Mortgages
  • Higher education
  • Retirement funds
  • Basic living expenses

Tip #2: Get Familiar with Key Terms

As you shop around for life insurance, you’re going to come across some terms that you might not be familiar with, such as premium, face amount, and death benefit. Understanding what these words mean is essential to understanding the basis of any policy that you purchase. Doing some quick research online or talking to an experienced insurance rep can help you better understand the meaning behind important life insurance terminology.

Tip #3: Consider a Visit to the Doctor First

Did you know that many life insurance providers require a medical exam as part of their underwriting process? It is true, and the last time you want to receive unexpected information about your health is when you are applying for insurance. While certain health conditions won’t preclude you from obtaining a life insurance policy, they can certainly affect your rates. Visiting your doctor ahead of time can give you the opportunity to take care of any unresolved health issues before you apply for life insurance.

Tip #4: Compare Similar Products

One of the most important steps in buying a life insurance policy is comparing rates to ensure you are getting the best coverage at the most affordable cost. As you do so, be sure to compare apples to apples. In other words, if you are applying for term life insurance, you don’t want to compare quotes for it to those for whole life insurance. The two are very different and there can be a big cost differential. Comparing similar products will make it easier to find the right policy for your needs.

Tip #5: Consult with an Experienced Life Insurance Agent

You probably wouldn’t try to buy a home without the assistance of a real estate agent. If you did, there is a high chance that the real estate transaction wouldn’t go as smoothly as possible. How would you know if you were getting the best deal? What features of the home and neighborhood suit your needs and your lifestyle? In the same way, it is important to work with a licensed insurance agent when you are looking for the right life insurance policy for yourself.

Tip #6: Don’t Forget to Ask About Riders

In a perfect world, there would be a life insurance policy that was designed specifically for every single one of your needs. Unfortunately, this is not the case, and there may be times when you need to customize your insurance policy to adequately protect your loved ones and your assets upon your passing. Life insurance policy riders, or endorsements, provide the opportunity for you to do just that. If the particular policy you are looking for seems right with the exception of a couple of gaps in coverage, be sure to ask your agent about available riders.

Tip #7: Take Advantage of the “Free Look” Period

Many life insurance policies have a feature that we refer to as a “free look” period in which you have a certain window of time to make any policy changes that you and your agent see fit. In addition to policy changes, you can also return the policy during this time if you want to without any worry of financial obligation. In Texas, this is an option on all variable life policies — our free look period for these policies is 10 days. Be sure to check with your insurance agent about this consumer benefit if you have any doubts about your commitment to a life insurance policy.

Looking for a Life Insurance Quote in DFW?

Are you ready to buy a life insurance policy in DFW? If so, the experienced team here at Mckenzie Life and Health would love to hear from you. We are happy to review your unique life circumstances in order to help you find the most comprehensive coverage for your needs at the most affordable price. Whether you are young and single, newly married, or you have a growing family, it is never too soon to start thinking about protecting your loved ones and your assets. Contact our DFW insurance agency today to schedule an appointment — we look forward to helping you!