How To Apply For Life Insurance: 5 Simple Steps

Written by Jason Fisher

buy life insurance online

Wondering how to apply for life insurance?

Better yet, do you want to know how to apply for life insurance online? Let us show you how easy it is.

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Apply For Life Insurance Online

There are basically 5 steps to the process of applying for life insurance online.

Step 1. You’ll need to figure out what you need.

If you went to buy a pair of shoes, you would probably sift through a few different brands, colors, and you would know what size would best fit your foot. You may try a few on, then ultimately, select the one which was best according to selection, as well as price.

Shopping for life insurance is no different. You need to figure out exactly what you’re looking for before you start your in depth search. There are plenty of life insurance calculators available to help you find out how much you need.

In order to search for a life insurance policy, the coverage amount is the first thing you’ll want to decipher:

  • Do you want to cover a mortgage?
  • Do you want to replace income?
  • Do you want to pay for kids college?
  • Do you need to pay for burial?
  • Do you have debts to cover?
  • Do you already have some life insurance?

Add up all of the things you’d like to cover, and subtract any amount of life insurance you may already have in place. This will give you a ballpark to start with.

The reason I say ballpark is because you may not have an even number, or you may need to consider price breaks. For example, say your life insurance deficit was $240,000. You could actually get exactly $240,000 in coverage, but there’s a good chance you’ll get it cheaper by buying life insurance in the amount of $250,000 instead.

Typical price breaks for life insurance are $50,000, $100,000, $250,000, $500,000 and $1,000,000. Think of it this way, it’s like shopping at Costco. Sometimes, buying more costs less because the unit cost is lower.

Next, think about how long you might need the coverage for. If you just bought a home, maybe a 30 year mortgage would work. If you’re just looking to replace your income, usually a 10- or 15-year policy will be sufficient, depending on your age and how much you make.

Compare Free Life Insurance Quotes

Step 2. Shop around for quotes.


Now you have the amount you’re looking for, and hopefully have a gauge of how long you’ll need it, so you can start your online life insurance comparison to see what kind of premium range you’ll be dealing with.

There are lots of ways to get a quote and compare online term insurance policies, but we highly recommend you get a quote online from a resource who can provide you many types of insurance, from many different carriers. You could call each company individually, but it could take you a very long time and you may not be sure if you’re comparing apples to apples. Why not just search for online life insurance policies to save yourself the hassle?

Also, feel free to modify your original quote and view other coverage amounts or alternate durations to find out what options you have other than your original one. You may find the premium too high, for example, so lower the coverage amount or shorten the duration to see lesser monthly premiums. Remember, it’s free to do.

If you have questions, be sure to call the phone number on the site first to make sure you are making the right choice, and to ensure your rating would apply to your current health conditions such as someone needing life insurance during pregnancy or life insurance with lupus. This will give you the most accurate estimate of your premium before underwriting has taken place.

How To Choose The Best Life Insurance Policy

Step 3. Select the policy which fits you best.

Just like the shoe example, there are more factors involved than just size. As you would consider a shoe brand’s reputation, you should do so with your insurance as well.

There are a vast number of insurance carriers, and they are not all the same. You want to choose a company which offers you the best rate, of course, but you need to choose a company who will also be around to pay the claim if necessary.

Financial rating companies, like A.M. Best, Fitch, Moody’s, or Standard & Poor’s rate insurance carriers to let you know how solvent they are. Try to find a company who has a rating of at least “A” or better when shopping for life insurance

Also, if you do have any health concerns, the company you choose can have a big impact on what type of rating, and ultimately what amount of premium, you’ll end up with. Not all companies have the same underwriting guidelines for each ailment, so be sure to call with any questions to see if one carrier is more lenient for your situation. If you feel a no medical exam life insurance policy is the way to go, or even a million dollar life insurance policy, we have answers to your questions.

Last, scroll through the list of providers until a policy matches your objective of coverage, meets minimum guidelines of a reputable company, and is in the price range you’re looking for. But even though you’ve now found what you’re looking for, it’s time to qualify.

Apply For Life Insurance Instantly

Step 4. Complete an online application.

Getting life insurance is not as easy as pulling it off the shelf, putting it in the cart, and paying the premium. Unfortunately, it’s much more involved, and takes a little time to get it.

You’ll see once you’ve found the policy you’re looking for, there should be a spot which says “Apply Now” or something to the tune of it. Go ahead and click, and begin the actual application process.

Yes, we said process. The process can take 4-6 weeks, and entails more than just the first paper application. The application asks main contact information, who you want your beneficiaries to be, and may ask simple medical questions.

On your application, you also give permission for the insurance company to research your medical records, vehicle records, verify income if necessary, or other things which could affect your ability to qualify for the insurance at a given rate.

If you buy life insurance online, the application process is pretty straight forward, and shouldn’t take you long to complete, usually just 5-10 minutes. After you’ve completed it, you’ll receive an application in your e-mail, and you’ll need to electronically sign (e-sign) it. An insurance agent will also e-sign it, and forward it to the insurance company to get the process rolling.

Now Complete Your Life Insurance Application

Step 5. Finish the non-application portion.

After you’ve submitted your application, and it’s been processed by the receiving carrier, there is still more left to do. It seems like a lot, but you’ll only be responsible for 20-30 minutes of time. The rest is done by the insurance company.

In most cases, you’ll be required to complete an expanded blood draw, urinalysis or even an EKG, along with getting measured for height and weight. This will all be completed by a third party medical examiner.

Depending on your coverage amount, she may ask you additional medical questions, require your current medications (name, dose, and frequency) or have you perform other tests to confirm you current health status. Applying for and being able to get a great rate on insurance is one reason to stay healthy and fit, as even your BMI can affect life insurance rates.

While this is happening, the insurance company will be reviewing your medical history, driving record, and requesting additional medical information from your doctor to scan for previous medical conditions, how they were diagnosed, and perhaps even ask for additional records from any specialists you may have utilized.

The entire process can be very quick if your health is exceptional and your records are clear. It could, however, take significantly longer if you aren’t healthy, especially if there is a long list of records which need to be ordered and reviewed.

You Were Declined For Life Insurance Or Accepted

You’ll hear back from the insurance company regarding the outcome of your life insurance underwriting process, and you can receive a number of different responses.

You can be declined, rated substandard, or rated a variation of standard (such as standard, standard plus, super plus, etc.). There are also separate ratings for those who use tobacco, or tobacco substitute products, and those who don’t.

Once you have your rating, you’ll also know it’s corresponding premium. You have the option to accept the policy as is, you can appeal the rating if you feel it is undeserved, or you can simply decline to accept at all.

If you choose to accept, you now own the policy and only you can modify it. Even if your health turns for the worst, your rating can’t change.

Always double check everything to make sure there are no errors, especially the vital pieces of information like social security number, contact information, and beneficiary information. Keep the policy somewhere safe (like a safe) and be sure to have your will updated to reflect the changes in your insurance.

There are guaranteed issue life insurance policies which are, as the name implies, guaranteed to be issued as long as you answer a few very, very basic questions. They might not even require an exam of any type, which could be very advantageous if you have health concerns.

Now, pay those premiums and keep it in force so you don’t have to do it again!


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