Saving money on your life insurance premiumsIf you are considering purchasing a life assurance policy, or if
you already have life cover, there are a number of factors that
could help you to reduce your monthly premiums. Because the cost
of premiums for life assurance (also referred to as life
insurance) is dependent on various lifestyle aspects of the
insured individual, there are certain things that you can do to
cut the cost of your life assurance premiums. Read One Life
Direct’s tips below to find out more.
If you’ve quit smoking, you can save!As with any insurance policy, risk has to be taken into account
when an individual purchases a life assurance policy. Insurance
companies calculate this risk by assessing an individual’s
health status. Smokers are considered to be a greater risk to
insurance companies than non-smokers, and thus their premiums
are higher. However, if a year has passed since you’ve quit
smoking, you could have your premiums reduced. Insurance
companies state that to be classified as a non-smoker, you must
have not consumed nicotine products for a specific amount of
time. This period can range from 12 months to 5 years.
Lose weight and benefit from lower monthly premiumsAs with smoking, being overweight is considered to be a health
risk. Thus, individuals who are classified as being obese find
themselves paying high life assurance premiums – sometimes up to
50 percent more than those who are not obese. This means that
apart from the various health benefits of losing weight,
shedding excess kilograms can also help you to save money.
Don’t pay for unnecessary life assurance benefitsAnother way to save money on your life assurance premiums is to
avoid paying for additional insurance benefits that you may not
need. If you ensure that your overall insurance needs are met,
extra cover, such as child cover for example, may be unnecessary
expenses.
Ensure that your life assurance policy is “Written in Trust”If your life assurance policy is written in trust, your
beneficiaries will receive the proceeds of the policy directly,
and as soon as a claim is lodged. Furthermore, your estate will
not have to pay inheritance tax on the amount that is paid out.
While this won’t save you money, it will prevent your loved ones
from incurring exorbitant tax costs on the amount that you’ve
set aside for them.
If you think you’re paying too much for your life assurance
premiums, we may be able to help you save money. Contact One
Life Direct to discover how you can save on your
life assurance
premiums, and to find out whether you have the correct amount of
life assurance cover.
|
|
