A life insurance audit is a thorough and objective evaluation of one’s current life insurance coverage to make sure the policy matched the policyholder’s needs. The fact is that most life insurance policies aren’t suitable for the policyholders, and most of the time, the policy holder is unaware of this. According to Ash Brokerage, nearly 65% of all in-force life insurance policies are inappropriate for the life insurance holder, priced incorrectly, or are under-performing.
Why Might I Need A Life Insurance Audit?
The following are just some of the main issues that can be uncovered during a life insurance policy audit:
1) The Policy May Collapse
If you send in your monthly premium payments without checking your policy’s cash values, you might be in danger. Sometimes, the cash values can keep your policy in force. If the cash value drops to zero, you might be required to make a large premium payment in order to keep your policy active.
2) Coverage That Is Too Expensive
Like car insurance or health insurance, life insurance premium rates are always changing due to market values, economic conditions, etc. A policy that was once priced at $500 per year may only be $100 per year nowadays. If you never run a life insurance audit, you, as a policyholder, may never know that your are simply throwing money down the drain.
3) Better Coverage For Less Money
What if you could find a cheaper policy for the same amount of money you are paying right now? For example – your policy with a $100,000 benefit may be costing you upwards of $600 per year. What if you could find a similar $100,000 policy for just $250/year. You would be a fool not to switch, right?
4) You No Longer Need Life Insurance
As you may or may not have already suspected, life insurance needs change at different points during ones life. For example – insurance that was purchased to protect your family against your pre-mature death may no longer be needed because your kids have already grown up, graduated college, and have jobs of their own. Life insurance needs come and go. An audit can help you address whether or not you actually still need life insurance coverage.
5) Insurance For Life With One Lump Sum
Did you know it was possible to pay for life insurance coverage for life in one lump sum? If you are sick and tired of having bills to pay monthly and would rather “get it over with” once and for all, this could be the right type of policy for you. Maybe your current policy even has the option of converting to this option. Without a life insurance audit, you would never be able to know.
Why Wait To Get A Life Insurance Audit?
Even your cable bill, cell phone bill, heating/hot water bill need adjustments from time to time. Why would your life insurance policy be any different? A life insurance audit today can help you and your family save thousands in the future. Contact your life insurance agent or an independent auditing service today to make sure the service provided meets your needs.
