College students are always looking for ways to cut corners on costs. Life insurance is a great choice if you’re looking for the intersection of affordability and financial wellness. Purchasing a policy young can help you lock in great rates to plan for the foreseeable future!
These are the ways to save money on life insurance as a new college student.
Reasons for College Students to Get Life Insurance
At a glance, college students may be one of the last demographics you’d expect to need life insurance, right next to children. Many believe life insurance is only designed to protect those with health ailments and age that puts them at risk. While a life insurance policy can be crucial in those circumstances, the reality is that a person can die at any point in their life. Because of this, life insurance is accessible to people of all ages to protect their loved one’s livelihood.
How College Students Can Save Money on Life Insurance
Purchase a life insurance policy early
Life insurance is for everyone, even those with the least risk will receive the best rates. Purchasing early on as a new college student means you’re more likely to receive optimal coverage with lower premium rates. This alone can be a major reason to purchase life insurance early.
Take a Medical Exam
Not all life insurance companies require a medical exam for coverage, but many do. If a company asks you to take an exam, it may be worthwhile for better rates. Because life insurance is all about risk, agreeing to a medical exam and certifying the low risk you carry can help you save big.
Lock in Great Rates
Not only is purchasing young a great idea for initial low rates, but those low rates can also be locked in for quite some time. If you’ve been on the fence about purchasing a life insurance policy, you’ll get lower rates for purchasing young.
Opt for Term Life Insurance
It’s no secret that term life insurance is more affordable than whole policies. Try to stick to term life insurance when looking to cut costs. You can find a life insurance company that offers 10, 20, or 30-year policies. Be sure to choose the one that works best and remember that you can purchase extra life insurance from your employer down the line to build up coverage as you need it.
Live a Healthy Lifestyle
College students are notorious for having a good time, but sometimes that can lead to making not-so-good decisions. Applicants should be sure to maintain a level-headed approach to living despite the fun young age can bring. If you present too much risk to an insurer, you might find that life insurance is not as affordable as it could be.
The Bottom Line
Considering the added benefits of having a life insurance policy is important. There are plenty of ways for new college students like yourself to avoid paying excessive premiums, which can help you lock in manageable prices for the foreseeable future.