8 Tips for Choosing the Best Life Insurance

Every day we are exposed to risky situations that can affect our personal finances and family assets, although we can take preventive measures in some cases, it is not always possible to avoid them.

There are serious events such as disability or death that can cause us great instability in the income we receive or even put our assets at risk; For this reason, it is important to have life insurance that reduces the negative effects on the financial level.

The main objective of life insurance is to guarantee the protection of economic dependents when the insured dies, currently, the life insurance offer is very large, with a huge number of insurance companies in St. George, Utah offering different products, therefore it is essential to know the key points that help us choose the insurance that best suits our real needs and not take out the first offer we find.

Keep in mind that hiring the services of an insurer is an investment, for this reason, we present 10 tips to make the best choice:

1. Get familiar with the insurance vocabulary

It is important to know some terms that help you make a good decision; as coverage is the main obligation of the insurer of an insurance contract up to the limit of the insured sum. The policy is the document that contains the general conditions; On the other hand, the insured amount refers to the maximum amount that the company will pay you if the covered claim occurs. The last term is the premium; it refers to the cost of insurance.

2. The sum insured

It refers to the amount of money that your family or beneficiary (s) will receive in the event that you are absent. It is very important that you calculate well the amount of money that your family will need the day that you are not depending on the number of people who depend on you and their ages, the monthly expenses of your home, amount of tuition, etc.

3. Financial dependents

They are a spouse or your children under 26 years of age. You should consider if you have small children or if they are studying, the amount of tuition; if you are single or retired; how much income other than yours you will use to pay your life insurance policy.

4. What coverage does it offer?

Coverage is the main obligation of the insurer of an insurance contract up to the limit of the insured sum. Coverage is commonly for accidental or natural death, damage to third parties, loss of organs, or disability; however, you can opt for terminal or serious illness or funeral expenses. We suggest that coverage be 5 to 8 times your current income.

5. Define your budget

Think about how much you earn and how much of your income you can use to pay for life insurance. A false belief is that life insurance is expensive, however, there is life insurance in the market accessible for every pocket. Look for payment plans that do not compromise other necessary expenses for your family. Get organized, maybe you can pay it monthly, annually, or in two payments a year.

6. Get advice from an insurance agent

An insurance agent will help you identify your needs, learn about existing insurance, and can make a plan tailored to your needs and budget. He can also help you to choose a life insurance agency that will be the best fit for your life insurance plans.

7. Compare prices and coverage

Many times the decision for insurance is only motivated by the price; however, the idea is to make an assessment of the advantages and disadvantages of each option. Find out and compare the various options in the life insurance market, comparing in addition to the prices and coverage, the claims (complaints from your clients), penalties, and qualifications of each insurer in the Financial Entities Bureau.

8. Beneficiaries

The beneficiary is the natural person who owns the compensation rights. When you take out life insurance you must designate one or more beneficiaries. Clarify the name and percentage that will be awarded, remember that they cannot be minors. Avoid intermediaries; if you designate someone else to deliver the insured sum, this action is only a moral obligation.

Remember that if your insurer does not comply with you, you have the insurance customer service of Howe Insurance Brokerage, LLC, a firm specialized in insurance, and we handle cases throughout St. George, Utah, and Boise, Idaho, as well as, surrounding Utah, California, Idaho, and Nevada​communities.