Saving Money on Life Insurance

If you live in the USA, a great way to buy your life insurance is through www.termonly.com (it finds and connects you to insurance companies that sell term only life insurance).

For Australia, a site not quite as easy, but still usefull is www.artog.com.au (which helps you find insurance and loans in Australia).

Term life insurance would be paid if you die in the time of the policy, the company pays to the policy owner. So, if you want the money to go to your partnerif you die, then that partner should own the policy in his or her name, covering you (not with a joint account).

So lets do a trial of the website:
For example, say you are a 30 year old, 6 foot, 165 pound (75 kg) non-smoker living in Oregon. A 20 year, $500,000 policy would cost you $270 a year with GE Finanial (which has an A+ rating). A 20 year, $1,000,000 policy would cost you $490 a year.

Term only is a simple death policy, not a savings plan like whole life or other universal life policies (which have large sales commissions). I don’t think you should be trying to build up equity in a life insurance policy, you can do that yourself through your own investments.

Deciding where and how to buy life insurance can be difficult. I’ve been told a good book on how to buy life insurance is Life Insurance from the Buyer’s Point of View published by the American Institute for Economic Research.