Insure before marriage, save costs

Life insurance is a contract where the insurer assumes the obligation to pay a stipend or a certain amount of money on the death of the insured or at the end of the stipulated years in return for a lump-sum payment or payment of installments over a specified period. Life insurance is not really for your own financial benefit. Rather, the main goal of life insurance is to provide financial support to the dependents in the absence of the insured.

Just as there are differences in the type of life insurance policy, there are also differences in its cost. However, when it comes to buying an insurance policy, there are some strategies that can be used to reduce the premium cost by buying a policy at the right time. Here are some tips for InsuranceNewsBD readers, especially those who want to insure:

Basically, the cost of buying a life insurance policy or the amount of premium depends on a number of factors. Such as your age, physical condition, nature of work, type of selected policy, sum assured policy term, premium payment period, riders or additional benefits, etc.

As insurance analysts say, the cost of a policy can be lower if you purchase insurance at a young or early age, when the risk is low. That means you should insure yourself if you are dependent on your income. The younger the age, the lower your premium will be. Insure before marriage, not after marriage. This will reduce the cost of insurance premiums.

Remember, it is not too late to purchase an insurance policy. This is because the premium rate also increases with age. If you are 45 years old and have no insurance, you can choose insurance products that will benefit your family and provide income during your leisure time.

Offer to pay the premium on an annual basis, not monthly. Then you can get better discounts. Of course, for most of us, this means depositing throughout the year. You can find out from the insurance company how much money you can save in a year if you pay the premium in this way.

Insure yourself for a long time. Because, with age, the amount of physical weakness or risk also starts to increase. This also increases the cost of insurance. In other words, it will not be possible to insure at a young age at a low cost. So it is better to have long-term insurance than short-term insurance. It costs less.

The best way to get cheap life insurance is to try to quit smoking. Smokers often pay twice the premium than non-smokers. And it has to be paid mainly because of the associated health risks. So if you want to reduce the cost of insurance premium, stop smoking today. Live a healthy life.

Insure yourself for a large sum insured. Choose the lowest available insurance policy, which offers a good income on completion. Therefore, buy the policy after checking the market well. Do not purchase riders or additional facilities. This will increase the amount of your premium. However, do not refrain from covering the necessary risks.