Yep, you read that right: seems that life insurance (in all its various flavors) is not just FOR sale, it’s ON sale.
Okay, Henry, what the heck are you talking about?
Well, the Insurance Information Institute (I.I.I.) just released a study showing that premiums for folks buying life insurance for themselves have been steadily decreasing. In fact, over the past ten years, they’ve been averaging a 9% decline. Dr. Steven Weisbart (who authored the study) says that:
“Life insurance rates are dropping because death rates for the 25-44 age group—the primary age range for purchasing life insurance—have decreased significantly over the past 10 years.”
He went on to explain that rates for term insurance have been dropping for decades. That makes sense, especially in light of life expectancy data from the published by the National Center for Health Statistics:
That doesn’t mean, of course, that you’re automatically going to see your own premiums drop: we’re talking averages on new business here, not what folks who already own their policies pay. Since an individual’s rates are determined in part on age, smoking and health status, even hobbies, not everyone will benefit from these declines.
Still, if you have a policy that’s more than a few years old (and particularly if it’s term), it may be worthwhile to review your coverage with your agent.
You DID use an agent, right?