Sales are declining severely for the US Life Insurance

US life insurance sales took their largest six-month drop since 1942, reported by LIMRA International. Bloomberg News reports that individual life insurance sales have fallen 20% in the second quarter of 2009 because savers turned their backs on investments associated to stocks.

Although the US may be seeing a massive decline, LIMRA show that this doesn't extend to Canada. In Canada these drops were only reported at 14% for universal life policies, a massive 6% difference to the US, using Steady Term Life and Whole Life policies to recompense for the losses. All told, there has only been a 1% drop in annualized payments so far in 2009.

A personal budget may be more inflexible in the US, but the best part of US citizens will still have life insurance as the foundation of their financial planning. A death in the family at any time is hard to cope with, but if that person has not left behind adequate life insurance the effects can be financially devastating for the family left behind. Life insurance provides the financial safety net all families want to get from point A to point B.

Of course, that doesn't mean you can't still save cash on your scheme. The following are six brilliant ways to save cash on your life insurance.

Firstly accidental death insurance is a policy to keep away from. Countless Canadian insurance companies forcibly market accidental death insurance to innocent consumers. With just over 2% of accidental death policies paying out they make a highly profitable income to the insurance companies but a waste of your hard earned money for you. Accidental death insurance can frequently cost more than a similar term policy.

Be wary of captive agents. The policies they sell belong solely to that organization. Independent brokers usually charge cheaper premiums compared to businesses that employ captive agents. An independent broker can browse around for the best deal and policy for your lifestyle unlike a captive representative who is restricted to their own policies.

The cut-rate policy is not consistently the least expensive. The early premiums could be cheap, but work out the overall cost as it could be more expensive than purchasing a slightly higher priced policy in the first instance. Many insurance businesses try to seduce clients with low initial premiums. Making the most out of low start up premiums works if you only require insurance on a temporary basis rather than long term. The issue is, many brokers engage a one-size-fits-all principle. They don't take sufficient time to examine why you're looking for insurance, or how long you'll need it.

Find a company that gives preferred rates. Where it comes to term policies you can find a massive difference between the preferred and standard policies. A 40-year-old man, non-smoker would fork out $62.55/month with Equitable Life for standard rates on a $500,000 Term 20 policy. There is a $18 variation if the same person qualified on the preferred rate policy. Do you pass for the preferred rates - Click here find out?

Be very vigilant and check that you have not got too much insurance. Our Needs Analysis Calculator will give you an good barometer of your own insurance needs and help you decide if you are over-insured.

Work with an independent broker. A broker that has access to the whole insurance market is more likely to accomplish your needs than someone who has only got access to their own company or one or two others.