People do not always understand why they need to insure their life. For example, you don’t think that if you have a fire extinguisher in your house, a fire will definitely start. It just means that if there is a fire, then you are prepared, and you always have a chance to save yourself. Same thing with life insurance. If you have it, it does not mean that you will die soon. It simply means that if something really happens to you, your family is well prepared for this tragedy.
To get American insurance, it is enough to have legal status. The company does not ask for residency or citizenship, but you must legally reside in the United States and have a Social Security number. Further, we will discuss some of the nuances of this type of insurance.
The Less You Pay for Insurance the Better It Is
US insurance companies have an A.M. Best rating scale. It is advisable to work with companies with an A + rating. This is the highest rating. And most often it does not affect the cost of insurance.
There is a very big conflict of interest in the insurance industry. The more the client pays for his insurance, the more the agent earns. There are a lot of policies designed so that they are profitable to the insurance company, but not to the client. Agents are encouraged by selling these policies to their customers. Due to some unnecessary options, the client can pay 300 dollars instead of paying $ 50 for the same amount of insurance coverage. And it turns out that even when the agent sells a policy that is not very beneficial for the client, he does not think that does some unethical thing.
But we need to look at things realistically. The less we pay for insurance, the better it is. It simply happens because we hope that for many years we will not need it and we will live happily ever after.
Choose Long Term Insurance
There are two main types of policies in America. The first covers long-term insurance for 10, 20, 30 years. If someone has children who are now 4-5 years old, then after 30 years, they will accordingly be 35. It is likely that by this time the children will already figure out how to support themselves financially.
If you are already 55-70 years old, then the need for insurance has already passed. At this age, you no longer need insurance, but money for old age, savings.
If you buy cheap insurance for 30 years and at the same time actively save money, then when the insurance period ends, you will have the very savings that were needed for expensive insurance. You will have about half a million dollars. And if you have these savings, insurance is no longer so important. Therefore, the cheapest way to get life insurance is temporary insurance.