Frequently Asked Questions (FAQs)
About Life Insurance
Life Insurance Questions,
Term Life Insurance Information,
Life Insurance Policy Information
You've got life insurance questions? We've got answers! At WholesaleInsurance.net, we understand how confusing life insurance can be. That's why we created a Frequently Asked Questions (FAQs) section. Here you can find answers to many of the questions you may have about life insurance.
Click on the links below to get answers to the most common life insurance questions.
23 Frequently Asked Questions About Life Insurance
- I quit smoking 3 months ago, why am I still considered a smoker?
- Will I get any money back at the end of my term?
- What happens to my 10 year term policy after 10 years?
- Why do I need to apply, I already know how much I want, can I just purchase it now?
- Do I get a discount if I pay annually?
- Do you take credit cards?
- Do I get a discount if both my spouse and I apply?
17. I quit smoking 3 months ago, why am I still considered a smoker?
A. Life insurance companies require that you be a non smoker for a period of time, usually a minimum of one full year, sometimes three to five years, in order to qualify for non smoker rates. This is simply due to the fact that many smokers quit for short periods of time and then return to smoking. At least one of our companies sometimes considers occasional smokers or smokers who recently quit smoking for their non-smoking rate classification. Be sure to tell us about your smoking habits if you fall into this category so we can obtain the most competitive rate for you.
18. Will I get any money back at the end of my term?
A. Normally no, unless you chose a policy with a Return of Premium option. If you chose a Return of Premium term policy you typically pay a little more for your policy but receive all the money you've paid into the policy back at the end of the policy term if you are still living at that time.
19. What happens to my 10 year term policy after 10 years?
A. At the end of the guaranteed policy term, most insurance companies will offer to renew the policy, but usually at a premium that is substantially higher than you currently are paying.
20. Why do I need to apply, I already know how much I want, can I just purchase it now?
A. Yes. However, purchasing the policy now involves applying. If you are in good health you may "bind" coverage, that is to say, you may purchase temporary coverage during the issuance process up to the amount allowed by the insurance company by answering some questions and submitting your first premium (minimum two months) with the application.
21. Do I get a discount if I pay annually?
A. Technically no, but paying annually is less expensive than paying monthly, quarterly or semi-annually. We discourage quarterly premiums because they are by far the most expensive to you. Semi-annual and monthly automatic payment from a checking or savings account are in between annual and quarterly premiums and are the best choice if you do not want to pay annually.
A. Most carriers do not accept credit cards, however, some do. Usually the carriers require a check drawn on a bank account to pay the first premium. Thereafter you may opt for automatic withdrawal.
23. Do I get a discount if both my spouse and I apply?
A. Not normally. Some policies do offer riders to provide coverage for spouses and children but it is usually more cost effective to obtain separate coverage for a spouse. Let us know if you also want coverage for your spouse so we can examine every option and provide the most cost effective life insurance for you both.
