How Accurate Are Online Life Insurance Quotes? Discover the Information You Need to Know + YouTube Video
You have probably already asked yourself, how accurate are online life insurance quotes. If you have ever used the internet to search for the best life insurance quotes. You have probably used a life insurance
quote engine just like the ones you will find on most agent’s websites including ours.
In fact, you may have used several quoting tools from multiple websites in pursuit of what insurance agency is offering the lowest rates.
This is very common and consumers can literally spend several days or even weeks searching for the lowest possible premiums. What most people don’t realize is that all life insurance rates for a specific life insurance company and specific policy design are exactly the same.
The rates for the exact same plan design with the same insurer are carbon copy rates that do not vary by even one penny.
How Accurate Are Online Life Insurance Quotes: YouTube Video
Insurance Agents Have No Control Over Life Insurance Rates!
Bouncing around going from one agent’s website to another is totally unproductive. Not to mention that this is a misuse of your valuable time. Choose an agent you feel is right and move forward with getting all your questions answered. The life insurance rates that you will be viewing are being pulled from the life insurance companies data servers.
The quote engines you are using are very accurate. They are always up to date because they come directly from the carriers themselves.
Life insurance rates are not controlled by insurance agents and brokers. Life insurance carriers’ actuaries are the ones that develop the rates. The rates are then submitted to each state’s department of insurance to be reviewed and approved. Finally, these rates are published for consumers to view.
Rates will definitely vary from one life insurance company to another but they never vary between agents. All life insurance rates are strictly regulated by law.
All Quoting Systems Display the Exact Same Rates
Activating multiple quote engines and viewing the same exact premiums will only get you confused. Statistics indicate that approximately 30 percent of the shoppers get so frustrated, they give up the search. Sometimes they no longer pursue applying for a new policy and give up the idea altogether.
It pays to work with an experienced independent insurance agent from the very beginning. You can simply leave all this legwork up to them. The good part is that connecting with an agent does not cost you a dime and there is no obligation whatsoever.
What Specifically Is a Life Insurance Quote?
Most people have a good idea what a life insurance quote is. They don’t fully understand the quoting process and there is a lot more to it than meets the eye. A life insurance quote is simply a projection into what your premium will probably be after the application process has been completed. This will hold true only if you were to apply for a life insurance policy at the present time because your health can change if you apply later.
A premium quote is generated by your agent based on the information you provide him with.
Keep in mind that a quote is not a guarantee that this estimated premium will be the final dollar amount. It will be up to the underwriter of the life insurance company who will be processing your application. In most cases, the final rate that you will be offered will probably be the premium quote your agent has given you.
What Information is Required to Properly Calculate a Life Insurance Quote?
There are a number of required pieces of information required when your agent is calculating a premium estimate for you. Some of this information you can easily provide your agent with. But some information you will not be able to totally provide.
Your agent will need to know as much about your current health as possible. Your health history, including any medical conditions you have and medication use. This is the most crucial information needed to determine your projected rates.
Always Provide Your Agent With Truthful Information
If you supply your agent with straightforward and accurate information, you will be on your way to securing a new policy with very competitive premiums.
Unfortunately, in approximately twenty percent of the cases. These potential applicants deliberately withhold vital health related information (an omission) in hopes of receiving lower rates. This type of activity will terminate any hope of developing an accurate and reliable premium quote.
Life insurance companies always expect this type of action from past experience. But they make sure everything they need to know is documented and is accurate information. Another category of required information will be if the applicant has a very hazardous occupation or a dangerous sport as you will read next.
Your Occupation, Sport or Hobby Can Affect Your Rates
Another category of required information will be if the applicant has a very hazardous occupation or a dangerous sport. This is only in cases where the applicant’s life could be easily in jeopardy and could cause the applicant’s demise.
Such hazardous occupations, for example, would be in the capacity of ironworkers, commercial fishermen or pilots. Dangerous sports could be categorized as drag racing, flying, scuba diving or hang gliding for example.
The information you normally cannot always totally provide will be the specific details of your credit report, motor vehicle driving history, medical information bureau reports and your doctors medical records. All you can do is provide your agent with as much detailed information as possible.
Our Final Thoughts
The question of how accurate are online life insurance quotes will depend on the accuracy of the information you provide your agent with. Your agent wants to provide you with an accurate projected premium. This will allow you to determine if the projected premium will fit your budget so you know how and when to move forward with your application.
I hope you now have a much better understanding of how these numbers are projected. Remember, you may contact us seven days a week at 815-390-7545. We can answer all your life insurance related questions you may have over the phone. There is never any cost or obligation for our friendly assistance.
Thank you for taking the time to read this blog post concerning life insurance quotes, we have many more articles for you to review if you are interested.
All the best,
Jack Venturi
