The Best Insurance Premium Calculator
Posted by Lenny Robbins on Tue, Jan 10, 2012 @ 03:43 AM
All of us are getting used to buying more and more things online, so if you are looking for insurance, you may have tried out an online insurance premium calculator. If you have, you may have been disappointed to find out that after you've entered your age, weight and other information, they did not come back with a product you could buy with a click. Instead, they probably asked for your email address so an insurance agent could contact you.
Why Can't you Buy Insurance from the Insurance Premium Calculator?
Insurance isn't like other consumer products. The rates for insurance are set by companies based on the type of policy and the age, health and lifestyle of the insured. A life insurance premium calculator can only take you so far. It can't actually sell you insurance. In order to buy insurance, you will need to:
- Talk with an agent.
- Complete an application.
- Have a paramedical exam and lab tests
- Have your information examined by the insurance company underwriter.
- Be rated by the underwriter, which will determine whether the insurance company will offer you insurance and at what price.
No online insurance premium calculator can do more than give a general guess at how much insurance will cost you. In order to get insurance, you will need to talk with an agent.
An Independent Insurance Agent Can be a Better Calculator
So you might as well start not with an impersonal insurance calculator, but with a call to an independent agent. When you call, the independent agent will ask you questions about:
- age
- weight
- family health history
- personal medical history
- medications you take
- smoking or non-smoking
- hazardous hobbies or job dangers
The independent agent can also talk with you about your financial goals and insurance needs. Using your answers to these questions will allow the independent agent to calculate a rate estimate which is personalized to your needs.
The Bottom Line
The price you pay for a specific type of insurance policy won't vary much between insurance companies. However, policies from two different companies are not exactly alike. An insurance premium calculator can't help you figure out the differences. Only an independent insurance agent can help you both choose between different policies and also help you sort out the best type of life insurance to provide for your family's financial security.
Photo credit: Victor Rocha