Buying life insurance for the first time? Three tips from the pros.
When it comes to making financial decisions for your life, you’re the pro – but it never hurts to have a little advice. Here, three insurance planners weigh in.
Tip 1: Determine how much you need
“Think about it in terms of income replacement. An important factor to keep in mind: This is the last income your survivors will ever receive from you – you’ll want to consider factoring in additional expenses like child care, college, and moving or relocation costs for your loved ones.”
“Having enough insurance in place can make the difference between making financial decisions that leave the people you love at risk or having the security to call the shots. That single sense of control can make all the difference when dealing with a loss.”
– Frank Chiovaro, Insurance Consultant since 2005 based in Baltimore, MD
Tip 2: Do your research
“When considering which life insurance products to purchase, Internet research can be helpful – you can find some good basic information about the various products out there. Remember this is a long-term purchase as important as your house!” says George Shadie, insurance consultant from Wilkes-Barre, PA.
Your partnership with your association is also a valuable resource to help you understand your options. Your professional group has partnerships with trusted vendors to help bring you options to fit your life needs. Review your full life needs with a financial professional to create your custom goals and see where your group membership insurance options fit in this plan.
Tip 3: Consider the company
“You want to work with a company that has a great track record and a solid history of financial strength, one that receives the highest ratings from the rating agencies and leads the industry in innovative products and services. Look for a great company that puts the value of the relationship first.”
“The company you choose to do business with is very important. Think about it: you’re going to pay into your life insurance policy for 30, 40 – even 50 or 60 years. You want to be sure that the company will still be intact and solvent when you need the benefit."
– Mike Brown, insurance consultant from Kansas City, MO
This Information is courtesy of New York Life Insurance Company, used with permission. It is intended exclusively for general information only.