Life insurance professional Warren Newton recommends consumers check their current life insurance policies before the new year to make sure their fees are in line with other providers' charges. Consumers who are able to find more affordable life insurance coverage may be able to obtain financial protection without digging into savings during an economic downturn.
According to Newton, the cost for term life insurance has decreased significantly in the last few years, and a new generation of universal life insurance policies from various providers allows consumers to set low monthly premiums.
While the savings may seem minimal to consumers at first, Newton says an extra $36 a month, for example, can add up to significant savings over an entire year. And if the consumer chooses to stay with that provider long-term, those savings will continue to accumulate over time.
Even if consumers are not unhappy with their monthly premiums, it is still a good idea to review policy information and options each year to make sure everything is up to date and is meeting all the needs of the consumer and their loved ones. Changes to a consumer's lifestyle, health and finances can affect a financial product's worth, thus an annual evaluation can protect consumers from overspending or not acquiring enough coverage.