1. Tell the agency the whole truth
You want them to get the facts straight so that they can help you the best way possible. Remember the old saying, "cheaters never prosper?" Yes, in this case you want to make sure life insurance benefits you in the best way possible.
2. Don't fall for their gimmicks
This just simply means to buy what you need. The key to purchasing the right amount of coverage is to buy just enough coverage for what you need. Too much excess means you'll be paying higher premiums, however, too less means you're under insured.
3. Buy early in your life, don't want until later
Basically, life insurance premiums are lower when you are younger since younger people are most likely healthier than older people. This means that if you don't want to purchase life insurance now because you don't want to pay the premiums, you may want to reconsider.
4. The life insurance provided by your employer may not be good enough
The average American switches jobs seven times in their lifetime so if you leave your job, almost in all cases your employee life insurance doesn't follow you. Therefore, it might be a wise choice to make your own investment in life insurance and especially since employer coverages are usually not enough to begin with.
5. The better your health is the better the rates
This is just plain, common sense. Whatever may lower your life expectancy means that you will be paying higher premiums. If you smoke, are over weight, have a bad driving record, or have a history of chronic illnesses you will be paying higher premiums than someone who does not have any of that history.
6. Always review your coverage periodically
People don't realize how important this is. At the time of purchase your plan may have been just right, but over time and given new circumstances (example: like a new baby, children grown older) you may want to make changes so that you are not under insured or over insured.
7. Avoid paying commission
One of the reasons premiums are sometimes high is because life insurance policies pay commissions to the agent/broker. But, try to beat the system by purchasing a "no-load policy" through an insurer that sells no-load policies directly to consumers. Hey, it doesn't hurt to ask and this way the agent does not get commission money coming out of your pocket.
8. Make annual payments, not monthly ones
Many insurance companies charge extra fees if you make monthly premium payments rather than paying the annual premium. So, to cut costs budget yourself so that you can make annual payments.
9. Buying more is sometimes cheaper
Try to catch on to the math but life insurance usually costs less per thousand dollars once you get into higher coverage amounts (example: $250,000). This means that you may be able to pay a lower premium while increasing your coverage if your numbers work out.
10. It pays to shop around
Premiums vary drastically so do your homework. It cannot get any easier than searching the internet. Try insurance websites that provide you with instant quotes, but do keep in mind that not all factors in your medical history can be considered into the quotes that quickly.