The importance of comparing is not lost anymore. With the online medium, gaining momentum and the online marketplace providing an easy and convenient solution, comparing has become popular. After all, if you can save on your premium costs, wouldn’t you want to compare?
The question doesn’t need answering. Saving money is a universal love and anything you buy is done only after comparing. Then why should term insurance be any different? Since the plan is essential in providing financial protection, it is favored by many. But not everyone knows how to compare term insurance rates using a term insurance calculator. Are you too among those afflicted with a lack of knowledge?
If you are, don’t worry. Here is a step-by-step process to compare rates using a term insurance calculator:

Choose the perfect online calculator

Though many online websites provide a term insurance calculator, you should choose the one which has the best calculator. Online brokers provide such perfect calculators, which can be used not only to find available plans and their rates you can also ascertain the optimal coverage amount. Coverfox is also an online broker which lets you compare rates by using a term insurance calculator. You can also see the different insurance company’s Claim Settlement Ratio, a feature not usually available in other calculators. SO, the first step is choosing an online calculator and you can choose Coverfox’s term insurance calculator for comparing rates.
Enter correct details

The accuracy of the calculator depends on the details you furnish. The calculator requires your personal details for ascertaining the available term plans and their rates. The details required include the following:

Gender – males and females are charged a different rate of premium. So, you have to provide your gender to generate correct rates.

Age – age is the primary factor which governs your premium rate. You should, thus, enter your correct age in the calculator.

Contact details – though you can generate premium quotes using the calculator yourself, calculators usually require your contact details so that the website’s executives can get in touch with you to solve any queries which you might have.

Smoking habits – smokers are charged a higher rate of premium as their mortality risk is high. So, the calculator requires your smoking preference to calculate the correct premium.
Annual income – your annual income helps in estimating the Sum Assured which would be suitable for you.

Compare the coverage features

After you provide the required details you would get the plans which are available and their premium rates. The calculator also shows the coverage benefits available with each plan, the payout structure, the coverage amount offered, tenure, etc. You can also find out the riders which are available with different plans.

Compare the rates against the coverage offered by the plan

After the calculator displays the plans and their rates, your eyes must inadvertently drift to the premium rates only. While it is natural, you shouldn’t compare only the premium rates of different plans. Each plan offers something unique and such uniqueness should be compared. You should compare the benefit structure, inbuilt or optional riders, maximum coverage tenure, Claim Settlement Ratio of the company and the Sum Assured level when you compare different plans. An ideal plan should have inbuilt riders for comprehensive coverage, allow coverage for the maximum possible tenure, have a benefit structure suitable to you and should be offered by a company with a good Claim Settlement Ratio. After you get the ideal features you should compare the rates and choose a plan, which also has the most reasonable rate of premium.
So, what do you think? Was comparing rates of term insurance plans difficult?

Online term insurance calculators have really simplified the whole comparison process and if you know how to use them to compare term insurance quotes, you can not only buy the best plan, you can save on premiums too. The above-mentioned steps chronologically tell you how to use term insurance calculators to compare rates. Follow them and buy the best term insurance plan for yourself, today!