so I applied for 30 year term life insurance for 1 million with protective. The quote came back as 1164 dollars a year or 97 dollars a month.
I am a healthy 30 yr old female with no medical issues. is this premium appropriate or too high. should i shop around with other companies before i confirm this.
I don’t sell insurance, but I refer clients for life frequently. Do you need a 30 year term? I’ve been recommending a lot more 10 year term or 10 year Universal with a declining Face Value option on the back end if you want to keep some life after the 10 years.
As a point of reference, I recently got a quote for a $2mm 10 year term policy on a 37 year old physician and the premium was $500/year. The Universal Life options was only $5 more per year which allowed the client to keep the coverage after the 10 year period and at the same rate, but the benefit would decline each year thereafter.
I don’t sell insurance, but I refer clients for life frequently. Do you need a 30 year term? I’ve been recommending a lot more 10 year term or 10 year Universal with a declining Face Value option on the back end if you want to keep some life after the 10 years.
As a point of reference, I recently got a quote for a $2mm 10 year term policy on a 37 year old physician and the premium was $500/year. The Universal Life options was only $5 more per year which allowed the client to keep the coverage after the 10 year period and at the same rate, but the benefit would decline each year thereafter.
This product that you’re referring to sounds exactly like the Custom Choice Universal Life (UL) product from Protective Life that the OP is referring to, where the death benefit decreases after the initial 10-30yr term period, but the premium amount stays the same – It is the only product on the market (that I’m aware of) which has this decreasing death benefit feature, and it is pretty unique. It’s also typically priced within the top 5 lowest carriers, therefore, it’s definitely something to look at when shopping for a Term policy.
With that being said, the death benefit usually drops by about 1/2 and keeps decreasing every year thereafter, depending on the client’s age, underwriting class, and the death benefit of the policy, so oftentimes, you are better off layering multiple policies at different term lengths and death benefits in order to accomplish a lessened need for life insurance over-the-years. Of course, everyone’s situation is unique.
Based on what the OP provided, it sounds like she was rated as a Standard NT, which is really going to hammer her on the price. This is why her broker should be trying to get her up to the better/lower risk Underwriting Class of Preferred Plus or Preferred NT.
I don’t sell insurance, but I refer clients for life frequently. Do you need a 30 year term? I’ve been recommending a lot more 10 year term or 10 year Universal with a declining Face Value option on the back end if you want to keep some life after the 10 years.
As a point of reference, I recently got a quote for a $2mm 10 year term policy on a 37 year old physician and the premium was $500/year. The Universal Life options was only $5 more per year which allowed the client to keep the coverage after the 10 year period and at the same rate, but the benefit would decline each year thereafter.
This product that you’re referring to sounds exactly like the Custom Choice Universal Life (UL) product from Protective Life that the OP is referring to, where the death benefit decreases after the initial 10-30yr term period, but the premium amount stays the same – It is the only product on the market (that I’m aware of) which has this decreasing death benefit feature, and it is pretty unique. It’s also typically priced within the top 5 lowest carriers, therefore, it’s definitely something to look at when shopping for a Term policy.
With that being said, the death benefit usually drops by about 1/2 and keeps decreasing every year thereafter, depending on the client’s age, underwriting class, and the death benefit of the policy, so oftentimes, you are better off layering multiple policies at different term lengths and death benefits in order to accomplish a lessened need for life insurance over-the-years. Of course, everyone’s situation is unique.
Based on what the OP provided, it sounds like she was rated as a Standard NT, which is really going to hammer her on the price. This is why her broker should be trying to get her up to the better/lower risk Underwriting Class of Preferred Plus or Preferred NT.
I looked back and yes, it is the Protective UL Policy. My question to her was whether or not 30 years is necessary or if she could get by with something with a shorter term.
thank you for all your answers. i have mild psoriasis for which i use topical medication. the first time i got a quote, they said i was anemic when my hgb was at 11 and gave me the standard non tobacco rate as above. i was just coming off of pregnancy then. so i waited a few months, improved my blood counts and asked for quote again. they repeated all the tests and came back for the same quote , now citing psoriasis. they never mentioned that as an issue the first time.
will all the insurance companies consider psoriasis as a negative point if i am other wise in perfect health. if so, then should i still shop around or should i proceed with this one.
@jason viers : thank you for you prompt reply jason. i did this whole process on my own by going to protective website when somebody recommended the company. but it looks like it would be better to get a broker to look at multiple other options. can i do this online or should i find a local agent.
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