Buying life insurance is important no matter how old you are, but investing early is a good idea. In fact, you don’t want to wait until later because your age determines premium rates. So, the older you are when you start a policy, the higher your premium rates. But, other factors such as lifestyle and health risk also determine your premium. For example, if you have a dangerous profession like a pilot or roofer, then your risk is higher, so your premiums will be higher. The good news is that if you have a terminal illness like cancer, you’re still insurable because guaranteed issue policies protect people with terminal illnesses.
Also, if you choose an employer sponsored policy, you need to know that an employer sponsored policy terminates when you separate from that company and often is not transferable. Some policies require medical exams but are often cheaper than policies that don’t require a medical exam. Next, you’ll need to decide if you want a whole life insurance policy or a term policy because a term policy terminates after a set time like 30 years, but it’s cheaper than whole life policies. However, whole life policies protect you until death and build cash value over time which you can take as a payout.
Finally, before you buy a policy, you’ll want to review A.M. Best Stability Rankings to make sure you’re choosing an insurance company that is reputable. Now that you’ve learned the basics of buying life insurance, take the following Health IQ test to check your knowledge. And let Health IQ and their team know what you think of the quiz in the comments below, or try one of their related quizzes on How Family History Affects your Rates, Quiz: The Life Insurance Claims Process, or Mortgage Life Insurance vs Term Life Insurance.
About Health IQ
HealthIQ’s mission is to improve the health of the world. In pursuit of this mission, they’ve created over 2,000 Health IQ quizzes and worked with innovative insurance companies to create financial rewards for health conscious people. To date, Health IQ has helped thousand triathletes, vegans, runners, and other health conscious people secure billions in life insurance coverage, and they hope to expand to other financial rewards in the near future. To learn more about Health IQ’s life insurance financial reward for health-minded people, speak to an Health IQ agent today.
James Hendrickson is an internet entrepreneur, blogging junky, hunter and personal finance geek. When he’s not lurking in coffee shops in Portland, Oregon, you’ll find him in the Pacific Northwest’s great outdoors. James has a masters degree in Sociology from the University of Maryland at College Park and a Bachelors degree on Sociology from Earlham College. He loves individual stocks, bonds and precious metals.
