A new period of liability with a new life insurance
You may or may not remember that your current insurance came with a period of liability. This is a two-year period that begins immediately after your insurance has been activated.
If a person dies during this two-year claim period, the insurance company has the right to investigate the death claim before paying the death benefit to the beneficiary. If they find evidence that the applicant has misrepresented himself in the application, the insurance company may refuse a claim directly or deduct a certain amount before it is paid out.
Buying a new insurance or changing life insurance company resumes this disputable period.
Why do you want to change life insurance companies? Is it to find lower prices?
Unlike your cable or telephone subscription provider, the insurance company can not lower your premiums as an incentive to stay with them. Life insurance prices are regulated by the individual states. Even if your current insurer wanted to, they can not lower the interest rate on your current insurance. But you can apply again with your current insurer to see if you can find lower rates.
Because the industry has become so competitive, the cost of the insurance you have can now be cheaper. You will have to apply again to find out if you qualify for lower rates.
There is also a good chance that you would find lower rates through another insurance company, due to how competitive they all are. To find the lowest tax rate, we recommend that you apply through a life insurance broker, such as Quotacy.
A broker is not employed by a specific insurance company, but works with many different ones. Because of this, they can offer you products from many different companies.
A big advantage of this is being able to compare store prices in one place; versus applying from company to company.
Why do you want to change life insurance companies? Is it because your insurance is about to expire?
Life insurance is common and good option for families. But you may have bought one and the term expires soon and you realize that you may want to be insured for a longer period of time.
Your current terms and conditions policy probably includes options for conversion and renewal. If you want to continue your insurance coverage because your health is failing, it may be in your best interest to choose one of these options instead of switching insurance companies.
What is the conversion option?
A conversion option. allows you to change your insurance to a permanent insurance, without having to prove that you are still insurable. That means no medical examination and no other medical questions to answer.
Your premiums will increase as you convert because you are older and now receive permanent coverage. Permanent coverage is more expensive than term protection.
What is the renewal option?
An renewal option allows you to continue with the same term for another year. However, renewable premiums are much higher than your fixed premiums for the original insurance. And every year you choose to renew, your premiums will increase.
Buy a brand new insurance
If your insurance period ends soon and you want more coverage, if your health has not deteriorated sharply, chances are you can buy a new insurance.
A bonus with applying for life insurance is that you are not obliged to buy it once you have received your last offer from the insurance company.
But if you are looking for a new life insurance, let Quotacy help. As a broker, we have access to several insurance companies and we are your advocate. We do not work for any insurance companies.
You can get quotes on Quotacy without handing over any contact information. Compare store prices from many companies on our website in peace and quiet.
When you are ready to apply, the online application only takes a few minutes. You will be assigned a dedicated agent who will review your policy and ensure that you are matched with the company that will offer you the best price, based on the risk factors stated in your application.
Be as honest as possible in advance . when you fill in your application on our website. This will help your agent ensure that you are matched with the best insurance company right away.
Once your application has been sent to the insurance company, if they come back with an offer that is higher than your original quote, your agent will go to the other insurance companies we work with to determine if someone else would be willing to offer a better price. This service is at no extra cost to you. We just want to make sure you get the best policy on the market.
Your agent will keep you updated every step of the way. You can choose to accept the final insurance offer or leave.
It may be a good idea to change life insurance companies. It pays to compare store. Quoting can help. Get instant quotes for life insurance today.