Once you have started to compare the costs of your new life assurance plan there are a number of factors you will need to be aware of.

Firstly the cost quoted may not be ‘cast in stone’ in that there is a good chance the actual life assurance premium will increase. Firstly if you add any options like waiver of premium benefit or critical illness protection you would expect the costs to increase inline with this extra cover.

There is a further problem your once cheap life insurance has now been through  the formal underwriting process and they have now increased the cost per month by 10% or more (which is usual) and you are wondering why.

It’s simple only the ‘best lives’ get the rate offered. In fact only those very unlikely to die early get the very best life insurance rates (the lowest premiums).

Let me outline some of the things that could be a factor in your life insurance costs increasing.

Health – either yours directly or something in your family. A history of heart disease for example can increase life insurance costs substantially. Other factors like poor circulation all have an impact on long term health, and therefore the likely chance of you leaving the planet early.  Life Insurance underwriters want to make sure of a profit.

Slightly overweight – likely to increase the costs. If you are too short for your weight (your BMI is higher) your insurance premiums will increase.

Occupation- Scaffolders, Deep Sea divers, War and Pestilence News Reporters, Motor Cycle couriers are a few that will face increased life insurance costs based on what they do however sometimes you will find insurers that are sympathetic. Contact your trade association or union before making a final decision to accept a life insurance policy that is substantially more than initially quoted.

My downloadable guide is here  Life Assurance Quote Guide

As with all insurances you can always find another widget to add, or to consider and these are often linked to and additional option that you could have. The key is do you need these add on’s?

With all of these things you can be sure that if they are not selected at the outset then you will not be able to add them at a later date.

When preparing your life assurance quote comparison these options will be available as a ‘tick box’ make sure you compare the prices before you make a final decision to include or not.

Life Assurance  Policy  - Waiver of Premium.

This valuable option will meet the cost of your life assurance should you be unable to work due to illness or injury for a period of six months or more. If you never return to work because of illness or injury you will never have to make a payment towards your life assurance policy.

Life Assurance Policy  - Terminal Illness Benefit.

If you end up with some horrible illness which shortens your life substantially this extra benefit will make sure a payment is made before death.

Life Assurance Policy  – Critical Illness Benefit

Should you be unlucky enough to contract something that is ‘critical’ but does not bring immediate death, this additional benefit should ensure that a payment is made. Normally it’s paid on diagnosis. The warning here is that may Critical Illness plans and options have very specific wording and underwriting. Make sure you disclose ALL health issues at the time you submit your information.

My downloadable guide is here  Life Assurance Quote Guide

With regard to your choice of providers there are a range of online comparison tools for your use. The danger is that you opt for the lowest cover you can find, often you will end up with something different to that you really expected.

Therefore before you proceed to purchase any Life Assurance cover from any of the quote services please make sure you follow these basic steps.

Direct or Broker?

Some of the providers you will find online are direct insurers, the likes of Legal & General or Direct Line and others will be a broker, sometimes these are independent, but often providing information from a range of providers.

Limited range of providers does not mean the whole market place so make sure you read the small print normally at the bottom of the page. If it is not immediately apparent go and find it make sure you know what you are dealing with before you make a final decision.

Worst case scenario if you are really not sure who you are dealing with then do not submit your details.

The options for all Life Assurance Comparison Services are:-

• Web or Internet Based – Offering Advice or not (Advisory and Non Advisory sales).
• Direct to the insurer.
• Via a Broker.

With the above you could also have an online application process or offline (manual paper submission).

With the above you could also have an online application process or offline (manual paper submission).

Life Assurance Plans – The Biggest Mistake Made By All DIY Purchasers

Life Assurance is something that has always been sold and never purchased and with the increased availability of affordable plans from online providers there really is no excuse to put off having a plan in place to protect your family.

The problem with most life assurance plans purchased direct after getting an online comparison is this.

Without the correct trust document to support the life assurance plan there will be no payout on your death until Probate has been granted which could be 3 or 4 months. Meanwhile you children still need feeding, your mortgage still needs to be paid and your partner still needs to survive.

A simple trust means the money goes to the right person, at the right time usually within days of death. The problem is that most direct life assurance comparison sites and many brokers don’t understand the importance.

You have no excuse now make sure your life policy is held in a suitable trust from the outset.

Trustee’s should  be appointed from your best friend list, or people you know and trust preferably a little younger than you and have broad shoulders able to deal with some simple administration. Importantly have a level head. The kind of person you would love to have as a mum or dad. You know what I mean.

Don’t put in place any form of Life Assurance plan in place unless you managed to find someone you can trust to be a trustee.

Get used to telling it all.

No matter how well you think you are, no matter how good your health is or has been you must make sure any questions on the life assurance policy  application are answered honestly and accurately. The insurance industry views Non Disclosure very seriously. If in doubt put it on the form.

Not declaring the odd cigarette is wrong and of course a lie. If you genuinely have not smoked that’s fine, however….

My downloadable guide is here  Life Assurance Quote Guide

Further important information about Life Assurance comparisons.