One of the oldest sales tactics in the book is to create a sense of urgency in the consumer. By making potential customers believe that a good deal is available today but not tomorrow, people can be persuaded to purchase things without taking the time to comparison shop. This sales tactic is frequently employed in advertisements for life insurance -- and it's misleading.
Life insurance does not go "on sale" in the way that cars or clothing might. When you are considering the purchase of a cheap life insurance policy, you do not need to worry that you might miss a great deal if you don't take advantage of the offers you may see on television, in the newspaper, or online. You can take time to consider offers carefully and weigh their pros and cons; no matter what the advertisements may claim, prices for life insurance policies are relatively stable. Now that you know not to panic and take the first policy that you see offered "on sale," how do you go about comparing policies so you can find not only the best deal financially, but also the kind of policy that will meet your own individual needs? Obviously you can gather information about policies from various companies on your own; the major ones have web sites that explain their products and customer service representatives willing to speak to you by phone. This is a laborious way to go about comparison shopping, however. You'll have to enter your personal data on forms on every website, and repeat yourself endlessly as you speak to representative after representative. Lastly, you'll have to keep track of policy details on your own so that you can compare them once you're done gathering all this data. An easier and far more efficient way to find the right life insurance policy for your needs is to visit Kanetix. As a central clearinghouse of insurance information, Kanetix has access to price quotes from major life insurance companies in Canada. By filling out just one form on this site, you'll be able to get instant online results from Canada Life, Equitable life, Transamerica, AXA Assurances, RBC Insurance, and many other companies eager for your business.Tips and Tricks to Find the Best Deal on Life Insurance
Savvy consumers know that in addition to comparison shopping at a site like Kanetix, it's also essential that you request price quotes on the right type of insurance for your needs. One of the biggest mistakes insurance buyers make is to purchase features that they don't really need. Follow these guidelines in order to get the low cost insurance policy that's right for you:
- Buy a guaranteed issue policy only if you aren't in good health. "Guaranteed issue" policies are more expensive than ones that require you to pass a medical exam. By agreeing to take all comers, this type of policy naturally attracts more people in poor health. Accordingly, companies charge higher prices for guaranteed issue policies. If you are healthy enough to pass a medical exam, opt for a policy that requires one.
- Choose term life insurance rather than whole life. Term life policies are almost always far more affordable.
- If you are married, buy a joint policy instead of two separate ones. This strategy will typically save you more than 10%.
- Examine your finances to determine how much insurance you truly need, and buy only that amount. A general rule of thumb is to purchase a policy that will pay your heirs between five and ten times your actual before-tax income. The exception to this rule is if you can get a better rate by buying a larger policy; this is sometimes the case.
- Pay an annual premium rather than monthly installments. The cost of an annual premium is usually slightly less than the sum total of twelve payments made separately.
