Need to find out if policy is good?

Answer 1

Are you in search of a policy or have questions about a policy that you currently have?

If you have questions about a policy that you want to get, I suggest you consider a few things before signing:

1: Does the agent seem to be trying to rush you with words like "I don't know when the next time I will be out this way", "I can't guarantee that I can offer you this after I leave today", etc; then walk away. It is important that you have a policy on yourself as soon as possible because you do not know what will happen tomorrow with your health or even life, but if an agent is pushy it just means they know they do not have a good product and they can only sell to you by entrapment,

2: What AM Best and BBB rating does the company they are offering you a policy through have? Anything below an A+, run!!!

3: Are they offering you the right policy for the right thing and would it be acceptable to be changed in the future as your life situations change? Term policies should only be used for income replacement and covering major purchases (like a home or auto) during the purchase loan period unless it can be converted into a whole life policy before the policy period has ran it's course and you can afford to do so during that time (as in you can not afford a whole life policy right now, accept a term that is able to be converted into a whole life in the future if you know at that time you may have a pay raise, etc).

4: Are you looking at a Whole life, Variable, Universal or a combination like a Variable Universal Life? How willing are you to take risks for high cash value (basically equity that you can take out off the policy like a savings account that you may or may not pay back). Fixed Whole life is no risk (you get the face value no matter how the economy is), Fixed Universal is a mild risk (you can choose how it is invested, has a minimum interest rate cushion, but when there is high interest rates you can have a higher cash value than whole) and Variable means that you have control of the investment without a safety net (they can produce higher cash value amounts than Fixed Whole and Universals, but run higher risk because there is no guarantee and they can eat away at your policy face value causing the policy to consume itself and canceling).

5: Read the fine print. You have a grace period (depending on what state you live in) after you get your policy in the mail that allows you to have it looked over by a lawyer or financial advisor if you do not understand the terminology. I recommend you do so. If they feel you had been had, you are allowed to cancel without losing your money.

6: Search for customer/agent reviews online for the insurance company. Find out through first hand experience how they treat their customers and their agents.

If you are concerned about a policy that you already have, you should contact your agent or insurance company to ask them about any questions you have about your policy. You can also seek advice from a financial advisor or your lawyer.