Having an additional life insurance coverage has been adopted in recent past due to a number of reasons, most common being; change in policyholders situations or when in need of a greater level of coverage not offered on the current policy. Nevertheless, there are a number of factors to consider before engaging in multiple life insurance plans, this is according to Brandon, FL, Runnels Insurance. They include:
- Management of the multiple policies is often complex.
The more life insurance covers you have, the more time you will need to manage and review them.
- Cost implications
For each policy you purchase, you will need to pay premiums; this will be costly in the long run.
- Time factor
Having multiple insurance covers have its own time implications since you’ll need to dedicate time to each cover for researching, reviewing and meeting the providers to ensure your needs are met.
- Claims
This is one major benefit of having multiple insurance policies since you can file your claims and receive payments for each specific cover as long as your claims satisfy the terms and conditions of the policy. It’s vital to remember that the admissibility of each claim is determined by each individual insurer specific rules and regulations.
- Beneficiaries
With multiple insurance policies, you can nominate multiple beneficiaries who will be entitled to claims. The number of beneficiaries, however, varies between providers. With multiple beneficiaries, the policyholder will have to split up what’s paid to each beneficiary.
It is of great importance to review and keep your nomination of beneficiaries current for purposes of circumstantial changes so as to ensure that the benefits end up to the intended recipients.
As a reputable insurance company in Brandon, FL, Runnels Insurance will help educate, empower and empower individuals in making right decisions regarding life insurance policies for your special needs.
