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Avoid Life Insurance Fraud

If there’s money on the table, someone is probably interested in taking it.  All too often ravenous fraudsters stalk the insurance marketplace, drooling over the susceptible prey.  These predators know that not everyone arms themselves with the knowledge needed to avoid their traps.  So, it’s time to implement a few escape maneuvers by allowing us to provide you with a couple tips to avoid term life insurance fraud.

Be an informed consumer. Naturally, this advice sounds like a generalized safety net, and you might find yourself saying, “Duh.”  But, majority of people find someone else’s hand in their pocket simply because they weren’t an educated buyer.  The more details you know, the better off you’ll be.  Read up about the life insurance companies you’re considering.  Educate yourself as if you were an insurance agent, so when you talk to one, you’re on the same page.  Know what affects your premiums and what doesn’t.

Don’t buy in haste.  Of course, it’s difficult to predict when tragedy might strike, but odds are that you’ll have a few days to mull over some options for your life insurance.  Become well-acquainted with every detail, and make a calm and collected decision.

Stay organized. Make sure you have a hard copy of everything pertaining to your life insurance safely stashed away.  You want to especially make sure you have a hard copy of your policy as well as receipts from your payments.

Don’t sign an incomplete form.  If a form has any blank spaces, make sure you let the agency fill them out first before you sign your name.

If it sounds too good to be true, it probably is.  This is sound advice for buying anything.  If something is really that great, a lot more people would be doing it.  If you find yourself considering a term life insurance policy that no other company can even come close to offering, ask yourself how that company can afford to do so.  It’s always best to go with a well-respected company than a new up-and-comer.