Can I buy life insurance online or over the phone?

It may come as a surprise,  but you can buy life insurance over the phone, and often at a better rate than you can get from a local broker.

You can buy just about anything online these days, from clothes to groceries to a new car. Life insurance is no exception, sort of. Buying life insurance has traditionally been a face-to-face transaction. Typically, you would meet with an insurance agent at your home to discuss your goals and product options.

Like so many other products & services, you can now shop for life insurance online. As a result, you have the luxury of educating yourself more than ever, before moving forward. That being said, choosing the right policy is not like ordering new sunglasses or dog food. You’re still going to want to consult with an expert.

Benefits of shopping online for life insurance:

  • Learning about your options on your own time
  • Getting the best options for your specific situation
  • Reading reviews
  • Getting a policy quickly, if you’re eligible
  • Requesting instant quotes

Do I have to talk to anyone?

You can find a wealth of information online when it comes to life insurance. For example, you can research whether term life makes more sense for you than a universal life, or a guaranteed issue policy. At some point, however, you’ll want to talk to a professional. An experienced broker can not only help you select the best product(s), but also help with field underwriting. Field underwriting is sort of a pre-qualification process. It takes into account your health and other aspects of your life to help predict what your risk class will be.

This allows for a better estimate of what your monthly premiums should be (ie. your personalized quotes). It also helps determine the best insurance companies for your unique level or risk. As a result, you will typically save a good bit of time and money by working with a broker you trust.

Wouldn’t I save money by dealing directly with an insurance company?

While it may seem like you would save money by “buying from the source”, it’s not the case with life insurance. That’s because there’s no markup in life insurance. Insurance carriers rely on independent agencies and brokers to sell a large portion of their products to their clients. Over 50% of life insurance policies in the U.S. are sold by independent agents and brokers. Just under 40% are sold by captive agents (ie. insurance agents who can only sell one company’s products).

Again, one of the primary benefits to you working with an experienced broker is the knowledge of which product(s) will best serve your situation. With so many options available in today’s insurance marketplace, it can be daunting to find the right fit. Why not use the services of a knowledgeable professional, which you can take advantage of for free?

Who pays the broker’s fee or commission?

You won’t pay anything to work with an independent life insurance agent or broker. Each broker has contractual agreements with the insurance companies he or she works with. These contracts not only allow agents and brokers to offer certain products to their clients, but also include commission agreements. Commissions are paid to the agent or broker by the insurance company once a policy is placed in force.

Will it be quicker than meeting a local agent in person?

Typically, it’s a quicker process to work with an independent broker over the phone and over email/SMS. If your situation warrants research, then your agent can contact multiple insurance companies for preliminary rate quotes or risk assessments. Traditionally, that meant multiple in-person meetings, usually at your home. It’s much more efficient to have a quick phone call or email back & forth as new information is available.

Additionally, the application process is usually streamlined. You’ll answer questions over the phone, while your broker completes the application. Once finished, you’ll sign the application electronically and it’s then submitted to the insurance company. No paper applications that need to be scanned or faxed. Everything’s done electronically, which saves time and paper and increases accuracy! Perhaps most importantly, you don’t have to clean the house for every meeting with your broker.

What about medical exams, medical records, etc?

There are options for no-medical exam insurance policies. If you qualify for a no-medical policy, the process of putting coverage in place is much shorter. If you’re healthy and don’t want to deal with the hassle of a fully underwritten life insurance policy, a no-exam option is often not much more money, if at all.

Should we determine that your best option is a fully underwritten policy, then we coordinate the scheduling of your medical exam. This can be done at your home or place of business.

Part of my process includes determining if you’re a candidate for a no-medical policy. I will also help you compare fully underwritten options to see which is a better fit for you.

How do I get started?

You can either click the Request a Quote button below and complete a quick form or send me an email to start the conversation. During a free consult, I’ll gather information about your health and lifestyle. That allows me to pre-qualify you so that I can look at the right options. That means carriers that will look at your application in the most favorable light. Your unique level of risk will be considered differently against each insurance company’s underwriting guidelines. You’ll improve your odds of approval by applying with the company who’s the best fit for your unique situation.

My ultimate goal as an independent life insurance broker is to help my clients obtain the right coverage. Not only at the best price available, but with the appropriate insurance company for their situation and level of risk. I will never suggest that you apply for the cheapest option if I believe that for one reason or another you will not qualify for that specific insurance policy.

Life insurance is by no means a one size fits all purchase. Reach out today and let’s discuss your options!

-Danny Gallant
Life Insurance Broker