The Basics of Life Insurance Policies

If you’re thinking about buying life insurance, then investing early is a great start. In fact, age determines your premium rates so if you wait until your older, then the chances are your premiums will be higher. However, other factors such a lifestyle and health also determines your premium rates. For example, if you’re a race car driver or you use tobacco, then your premiums will be higher. Also, if you have a terminal illness, you can buy a life insurance policy too because guaranteed issue policies protect people who have terminal illnesses.

Now, before you purchase a policy, you’ll want to consider if you want a term or whole life insurance policy. A term life insurance policy will protect you for a specific amount of time like 30 years or whatever you choose, and term policies are cheaper than whole policies. However, whole life policies protect you until death, and once the policy matures, there’s typically a cash payout. Most policies require that you take a medical exam to assess your risk for premature death, but these types of policies are usually cheaper. Another thing to consider is that if you choose to participate in an employer sponsored life insurance policy, then you need to understand that policy terminates once you resign from that job and typically is not transferable.

The final step in deciding to buy life insurance is to make sure you protect your investment, so review A.M. Best Stability Rankings to make sure the company is reputable. Now that you’ve learned the basics of life insurance, please take the following quiz to evaluate your knowledge.  And after the quiz, you can learn more about Health IQ’s life insurance special rates by clicking here.

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.


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