What Are Life Insurance Fees?
Life insurance fees are essentially administrative fees charged by life insurance carriers to offset expenses. These fees cover their underwriting costs and actuarial costs of issuing the coverage. The fees are usually charged in the premiums and average range between $1.00 to $7.00 per month depending on the company. This is a very common practice among insurance companies.
How Much Is Good Life Insurance?
There are a lot of factors determining the cost of life insurance. First I believe if you stay with all “A rated” carriers you will receive “good” life insurance. The price is determined by factors such as face amount, term of insurance, age, build, health, occupation, life style just to name a few. I would recommend contacting an independent life insurance broker to help you with professionally shopping numerous carriers for the best price for you and your current situation.
Will an insurance company pay if cause of death is gunshot wound and manner is undetermined after the 2 year constabulary period in a case that was clearly a suicide?
Life insurance policies in most states with a few exceptions have a contestability clause on suicide. The method of suicide is irrelevant. Most contestability clauses are two years from the effective date. Yes, if the cause of death were to be ruled a suicide and the coverage has been in force of two years the death benefit most likely would be paid. If the gunshot wound were ruled by a coroner as accidental or homicide the contestability clause would not be effected and benefits would be paid in almost all cases.
What To Look For In A Life Insurance Policy?
The life insurance policy at purchase should meet your personal unique needs. Is the face amount adequate to cover my loved ones financial needs such as debt, income replacement or for a business the key person’s value to the company? If cash value plans does it meet the retirement goals you were aiming for?
Once the policy is purchased the components of the policy to look for are, first the declaration page. This is one of the first pages of the policy and is a summary of coverage. the death benefit, premiums paid, terms and dates concerning your coverage. Next look for the illustration pages. These pages explain any cash value building in your policy or if term the guarantee lengths of premiums and any future rate increases. Lastly find the terms and conditions page. This page explains any exemptions, waivers or riders on your policy. Your loved ones should not be surprised at an untimely death that a benefit is eliminated or reduced. Always seek advice of a professional broker to avoid any unexpected issues.
How Does Life Insurance Test For Smoking?
When purchasing an underwritten life insurance policy, the underwriters will order a paramed exam. A paramed or nurse will come to you take the health history part of the application. They usually will require a urine sample and blood sample along with height/weight, blood pressure, etc. The urine is tested for nicotine. A person should be away from smoking, dipping, patches gum or chewing tobacco for an extended period of time to avoid a smokers rating on their life insurance.
Be sure and read all of the blogs in this series life insurance FAQs to find your question or contact Tim Wilhoit at Your Friend 4 Life.
“Your mind will answer most questions if you learn to relax and wait for the answer”.—William S. Burroughs
Image by Stuart Miles at www.freedigitalphotos.net
Tim Wilhoit is owner/principal of Your Friend 4 Life Insurance Agency in Nashville, TN. He is a family man, father of 3, entrepreneur, insurance agent, life insurance broker, salesman, sales trainer, recruiter, public speaker, blogger and team leader with over 27 years of experience in sales and marketing in the insurance and beverage industries.
Good Stuff Tim!
Thank you Tee, I hope it was helpful.
Th best prospects are informed ones…it’s an excellent idea to have a FAQ section on your website. Price shoppers ignore but the best prospects turning into customers find it beneficial as they research their options.
Jack, thank you for saying that. You are 100% correct. The informed client is by far your ideal client.
Dear Tim: very interesting the reach of insurance. In Peru, we still foul insurance culture. We have the idea that the only thing that pursues the insurance company does not pay the “claims”, but the truth is it depends on the counseling that people get to take the decision and start being conscious of the importance of insurance. In my personal opinion, although insurance policies like any is a profit-making business, this purpose becomes collaborative and socially responsible as long as the product shim the needs of each policyholder
That old saying, ” An educated consumer is our best customer.” I think it was a reatiler that coined that phrase.