Approach 1: the convenience of online quotes
The internet offers a substantial amount of information on life insurance products — and how to use them. In addition, many websites let you compare quotes and complete applications online. And depending on your health/how much life insurance you need, you may be able to obtain coverage without an insurance medical exam.
Oster says, “The internet allows you to self-service your life insurance purchase experience, and more people are taking advantage of that capability.”
Online applications make buying life insurance convenient by allowing you to apply for a policy any day or time that works for you.2,3
If you choose to buy life insurance online, you’ll want to know beforehand what type of policy you need, as well as how much life insurance to purchase. Here are two basic policy types:
Term life insurance:
Typically, term life insurance policies are available for specific periods of 10, 15, 20, 25 and 30 years. Once you get a policy, your rate and coverage stay the same until the end of the term.
Whole life insurance:
Usually, whole life insurance policies are more costly and for a number of reasons, mainly because they typically help protect your family for life. Neither the death benefit nor premium will increase as you age or as your health changes. Due to their slightly higher level of complexity, most whole life policies are not available for a quote and online application.