7 More Life Insurance Tips

These life insurance tips is a sequel to the article on getting the best life insurance.

Keep your investing and insurance strictly separate.

Buy term, invest the difference. There are better places to invest - and without the high commissions of whole-life policies.

Figure out how long you need to be insured.

Match the term of the policy to your projected needs. Normally, a 20-year or 30-year policy already factor in the time when the children will be on their own and will no longer need financial support. This is an important decision factor since when you under project and realized the need to renew, you might already be in your 50s. Insurance gets very expensive as you leave your 50s.

Buy when you're healthy.

The earlier you buy life insurance the better. This is a wise financial decision since poor health is associated with old age. But again, you need not buy until you have dependents.

Tell the truth in your application.

It pays to declare facts in your application for insurance. Insurance companies, just like any other business entities, undertake due diligence before paying claims.

Keep your insurance and retirement plan separate.

Remember that life insurance is not a substitute for a retirement plan. A retirement plan is for you to live comfortably when you retire.

Become an insurance agent yourself.

Get licensed to get the commission for your own insurance coverage.  Who can advise you better of the best life insurance for you, if not yourself? Beyond buying your own life insurance, you can take advantage of the business side by getting commissions when relatives and friends decide to join. 

Study some more.

Never stop learning in your journey towards financial independence. Becoming your own financial advisor is your stepping stone to practicing what you preach.

Attend higher series of Wealth Academy seminars.