If you want to buy insurance, you must first get a quote. But what is an insurance quote and how can you get it?
Each life insurer will have a different pricing model, so even if you provide the exact same information to multiple insurers, you are unlikely to receive two identical quotes.
When shopping around for insurance, try to get as many quotes as possible to improve your chances of finding the best value insurance policy.
How do you get an insurance quote?
Now that we understand what insurance quotes are, let’s look at the different ways you can get insurance quotes for free.
Getting quotes through an insurance agent:
An insurance agent is someone who sells an insurer’s products for a commission. The agent helps you figure out which policy works best for your unique situation and provides you with an insurance quote. If you buy the recommended product or policy, the agent earns a commission.
Although this method is simple, it has one main drawback. Your options are restricted to the offerings of one specific insurance company.
Getting quotes through an insurance broker:
Unlike an insurance agent, a broker works with multiple insurers — typically three to five. This means you get more options when you work with an insurance broker than when you receive quotes from an agent. All the same, you are still restricted by the number of insurers your broker works with.
Getting quotes through an online broker:
No one can offer you more choices than an online insurance broker. For example, Dundas Life has access to policies from all the leading Canadian insurers and can help you find the best fitting coverage for your family with ease. Time with an online broker is just one click away.
How do you choose between insurance quotes?
When selecting an insurance quote, there are a few things you should take into account.
- Coverage Amount: This is the amount of money your beneficiaries will receive should you die while the policy is in effect. You must figure out how much life insurance you need Some policies have a level death benefit — that is, the payout remains the same throughout the policy’s duration. However, in the case of some policies, like universal life, the death benefit may fluctuate.
- Coverage Term: This denotes the number of years for which you are covered.
- Price: As you may guess, most people compare insurance quotes by price.
- Company Reviews: Online reviews, such as those provided by Dundas Life, help you compare different life insurers.
Types of life insurance quotes
There are two types of life insurance policies— term life and permanent life. Comparing and contrasting quotes will help you make an educated decision.
Term Life Insurance
Term life insurance covers you for a certain number of years, like 10, 20, or 30. It usually has a level premium and death benefit. If you die during the policy term, the insurer pays the death benefit amount to your beneficiaries. Compared to permanent life insurance, term life is five to ten times cheaper.
Permanent Life Insurance
A permanent life policy lasts your entire lifetime, provided you pay the premium on time. Many of these policies also build cash value. If you buy a cash value policy, a part of your premium goes into keeping the policy in force while another part is funnelled into an inbuilt saving account. Once the policy has accumulated enough cash value, you can withdraw or borrow against it.
How many insurance quotes should you get?
Four to six insurance quotes will give you a fair idea of what is available and at what price. However, if you can get more quotes, that is even better. The more insurance quotes you gather, the better chance you will have of ensuring you do not pay more for life insurance than you have to.
What affects quotes for life insurance?
Many factors — both personal and policy-specific — affect your insurance quotes. Personal factors include your age, medical history, gender, and smoking status. Older people, or those with an underlying condition, receive higher premiums. Life insurance is more expensive for men than women, as women tend to live longer on average.
However, no single factor affects your insurance quote as much as your smoking status. Tobacco use can push your rates two to three times higher (if not more).
What you need to know
The first step to buying insurance coverage is to get a quote. There are different ways to get an insurance quote, but contacting an online broker, like Dundas Life, is the best way to go about it. Dundas Life works with all leading life insurers in Canada and can help you find the right policy at the lowest possible price.
Auto Insurance Quotes
An auto insurance quote is an estimate of how much you will pay for car insurance premiums
What Factors Effect Auto Insurance Premiums?
The following factors influence car insurance cost the most:
- Your age
- The type of car you are insuring
- Your license level
- Your gender
What Does Auto Insurance Cover in Canada?
Most car insurance companies will cover all of the below as a minimum:
Better know as direct compensation property damage, DC-PD covers car accidents in which your car is damaged but you are not at fault.
Accident benefits are essentially mandatory for any car insurance company in Canada to provide. Accident benefits provide compensation to you if you are injured in a car accident.
Third-party liability is mandatory for all auto insurance companies in Canada to provide. Third-party liability covers other people and their cars if you are the one who caused an accident.
Uninsured Automobile Protection
Uninsured automobile protection is an auto insurance coverage that protects you if you are involved in a hit and run or get in an accident with someone who does not have car insurance.
What You Need to Know About Auto Insurance
The first step to buying car insurance coverage is to get a quote. There are different ways to get a car insurance quote, but contacting an online auto insurance broker is the best way to go about it.
Working with an auto insurance broker can help you find the right policy at the lowest possible price since they deal with multiple insurance companies.