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A Senior Citizen's Guide to Insurance Planning

Before a Senior Buys or Changes an Insurance Plan


Unfortunately, senior citizens are sometimes lured into insurance marketing proposals by insurance agents who only care about making money and not what is best for their customer. There are a lot of complex choices now when it comes to buying a new insurance policy or changing a current one so doing so should not be something a senior citizen should take lightly.

You have worked hard throughout your life to build up assets and protect your future. Because of this it is very important to take precautions to protect yourself and those assets. But, just as life changes so do your financial situations. It is important to review and understand your insurance policies and contracts to decide if they are still right for you.

So, an insurance agent wants to show you their latest insurance marketing seminar? Before you look into purchasing a new or replacement insurance policy, there are some general guidelines you should know before you meet:

1. Get All Insurance Proposals in Writing: You should never decide right away on an insurance proposal so whether you are alone or with a family member make sure any promises or offers an insurance agent gives you is in writing for your review and proof later.

2. Don't Feel Pressured: First, if your insurance agent is making you feel pressured to make a decision then maybe you need to find a new agent. In any situation it is important to take enough time to review the information before making any decisions.

3. Understand First, Sign Later: Don't ever sign something you have not read and understand. Even better, ask a trusted family member, friend or advisor to be available to you for questions and better yet, to be with you when you meet with the insurance agent.

4. Know Who You Are With: Yes, there are scam insurance agents out there so before you meet with a new agent research them first. Make sure the insurance agent, broker and insurance company are properly licensed to sell the product you are considering purchasing. You can contact your state insurance commissioner to find out who is licensed in your state.

5. Obtain Full Disclosures: When dealing with annuity and other life insurance products ask for a full disclosure of all information relating to the benefits and possible negative consequences if you replace your existing annuity. Also, obtain a full disclosure of any charges you will have to pay for switching your life or annuity insurance policies. And again, get help in understanding these disclosure statements if needed.

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