If you’ve bought life insurance before, you know it can be a bumpy ride.
The process can easily become overwhelming as you’re trying to decide between the thousands of different companies that are on the market. Luckily, there are independent insurance agents to make it simple for you.
For the many in search of life insurance, an independent life insurance agent can play a vital part in obtaining the best policy.
While an exclusive agent is only able to offer insurance options from one company, an independent agent can offer insurance alternatives from a number of carriers. This has some similarities to the way that some insurance agencies will compare the rates of other companies.
What makes going through an independent agent more valuable than just receiving rate comparisons is that an agent can compare all the ins and outs of life insurance policies available through various companies.
Table of Contents
- Why Choose an Independent Agent
- No Conflict of Compensation
- Finding an Independent Life Insurance Agent
- Getting Lower Rates Through an Independent Insurance Agent
- Calculating Your Life Insurance Needs
- Getting Life Insurance With an Independent Insurance Agent
- The Bottom Line – Why Choose an Independent Life Insurance Agent
Going through an agent can take a lot of the tedium out of wading through each insurer’s health and lifestyle requirements, premiums, coverage, and the like.
Why Choose an Independent Agent
If a person seeking life insurance has conditions that might make obtaining a policy difficult, an independent life insurance agent may be able to assist in easing that process. An independent agent that concentrates in this area is known as an impaired risk specialist. This type of independent agent is well-versed in the nuances of policies offered by several companies.
One insurance company may be more likely to insure someone with a heart health issue or be more prone to insure someone with a history of substance misuse. One insurance company may be willing to offer more affordable premiums to someone who enjoys skydiving than any of the others. Some specialists can even pave the way with inquiries to companies before making an official submission.
Whatever the case may be, an independent agent can navigate this so that a high-risk client gets the best insurance choice possible.
No Conflict of Compensation
Since an independent life insurance agent is considered an independent contractor, the agent draws no salary from any of the insurance companies that they represent. They work on a commission basis and, as such, have less interest in making sure that a person looking to be insured signs up with one particular company or another. This also increases the chances that both the insurer and the insured are pleased with their match.
Through an independent agent, a person seeking to be insured may end up with the most suitable life insurance policy for them being with a company that hadn’t even been previously considered. This is also a way for insurance companies to reach out to previously untapped markets.
Finding an Independent Life Insurance Agent
Through a bit of searching online, someone in search of life insurance can find an independent agent to work with. There are even independent insurance agencies through which one can find an agent. Anyone working as an independent agent has to have proper state certification to sell life insurance in that state.
An independent agent also has to have the permission of the insurance companies in order to represent them. For those looking to work with an independent agent, there are methods to verify an agent’s certification in that state. If an independent life insurance agent is needed, the right one for the job can be found.
Getting Lower Rates Through an Independent Insurance Agent
We mentioned that working with an independent agent is a great way to do that, but it’s not the only way to get cheap coverage. They can search through all of the carriers and find the most affordable plan. Aside from working with independent brokers, there are some changes you can make yourself to save money.
After you’ve gotten in shape, you can continue your health journey by quitting your habits like smoking. Smokers are automatically given higher rates. You can’t smoke and get cheap life insurance, the two don’t mix.
Calculating Your Life Insurance Needs
Before you apply, you have to do some groundwork. One of the most important things to do is add up how much life insurance your family needs.
To get started with these calculations, gather all of your debts and add them up. Step one is to make sure your life insurance is big enough to pay off your debts.
Step two is to take your annual income and multiply it. We are assuming you have people who rely on your income. If you have those people, your life insurance needs to replace your paycheck.
There is no “perfect amount” of life insurance that works well for everyone. Each situation is different, and everyone will have different needs, but most life insurance experts suggest getting anywhere from seven to ten times your annual income. In most cases, this will work fine, but it’s important that you calculate what your exact needs are.
Getting Life Insurance With an Independent Insurance Agent
Working with an independent agent is not only the best way to get affordable life insurance, it’s one of the easiest as well. Our agents can bring you all of the best rates and policies directly to you, which means that you don’t have to spend hours on the phone calling dozens of companies.
Don’t wait another day to get life insurance coverage.
The Bottom Line – Why Choose an Independent Life Insurance Agent
Navigating the vast landscape of life insurance can be daunting. Independent life insurance agents simplify this journey by offering a broad spectrum of options from multiple carriers.
Unlike exclusive agents bound to a single company, independent agents present tailored solutions suited to individual needs, especially for high-risk clients. Their role as independent contractors ensures unbiased recommendations, aiming to align both the insurer and the insured in a satisfying partnership.
Furthermore, they are instrumental in accessing affordable rates and guiding clients through calculating their exact life insurance needs. In essence, choosing an independent agent is a strategic step towards a personalized, cost-effective, and efficient insurance experience.