Term life insurance in simple terms

Frequently asked questions

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Life Insurance Terminology

 

Speak better life insurance

Insurance explained in simple terms

Life insurance policy

A life insurance policy offers you a way to pay into a shared pool of money that is paid out when a member dies. A policy is a legal contract between you and the life insurance company. You agree to pay for your policy. The company agrees to pay your family money if you die while owning their policy.

Life insurance company / carrier

Your life insurance company determines your policy cost and whether you are able to buy life insurance from their company. The company or carrier is responsible for financially managing the shared pool of life insurance money available for pay out if you or another member dies while owning their policy.

Life insurance broker / agent

A life insurance broker—like Quotacy—offers you competitive pricing and policy options from multiple life insurance companies during the quoting stage. A life insurance agent—like Quotacy—will get you the best policy features and benefits for your needs during the application stage and will service your policy after you buy life insurance.

Death benefit

payout, face amount, policy value, proceeds

Amount of money paid by the insurance company to your family if you die.

Term

coverage length, policy duration

Term life insurance coverage lasts 10, 15, 20, 25, 30 or 35 years. Permanent life insurance coverage lasts your entire life.

Premium

payment, cost, price, rate

Amount of money you pay the insurance company for your policy. Most people pay their premium monthly.

Beneficiary

The beneficiary receives the policy payout if you die. Name one person (or more) up to 100% of your policy value. If you name your four kids, for example, each would receive 25% of the death benefit as your beneficiary.

Insurable interest

Key people who would be financially impacted by your death have an insurable interest. With their insurable interest your family can buy life insurance on you and be named as your beneficiary.

Underwriter

The person or computer program (artificial intelligence) who reviews your application to determine your final price for life insurance.

Risk class

rate, health, or underwriter classification

Your height and weight, tobacco use, personal health, and family medical history indicate how likely you are to die. The more likely you are to die, the higher your risk class. You will pay more for life insurance if your risk class is higher.

Table rating

Your health and medical exam results determine your risk class and how much you will pay for life insurance. If you receive a table rating, you will pay more than initially quoted due to the underwriter’s determination that you are more likely to die.

Rider

Optional features or benefits that may be added to your life insurance policy. A child rider, for example, helps families obtain affordable life insurance for their children under age 18.

What our customers say about Quotacy

Mike
Too simple

Using Quotacy made things so simple, I literally couldn't believe the process was done, when it was done. I still really can't believe it. Thank you to Jason and the Quotacy team for helping me navigate what would have been a daunting task if I had to undertake it on my own.

five stars

Kevin
Buying life insurance just got a lot easier with Quotacy

I had a great experience with Quotacy buying my first term life insurance policy. I had sought quotes from other internet-based companies like Quotacy but Renee and her colleagues were the fastest to respond and quoted me a variety of companies/plans at prices that seemed to be at or below what I found with other companies or direct from insurance companies. When I selected the best plan for my needs, Renee explained the paperwork process and setting up the health screening as painless as possible. She even followed up with a nice personalized card to say thanks for choosing Quotacy. It was so nice having the consistent follow-up and getting questions answered immediately that wasn't at all pushing one company or product.

five stars

Tim
Great way to purchase life insurance!

Quotacy is THE way to buy life insurance. Through one request for quote got the best deal and great customer service. Would recommend Quotacy to everyone for your life insurance needs.

five stars

Prathima
Quick and easy

From the beginning to the end of getting my policy I received important updates and status of where my application was. If I had a question I was given a timeline of when I can hear back. I heard back no more than 24 hours.

five stars

Raj
Best representatives

Quotacy has done a great job from start to finish in getting my insurance policy set up. They have the easy to use website and great representative.

five stars

Gregory
Easy as 1, 2, 3

I give Quotacy the highest rating because of how incredibly easy it was to go through the entire process. They were in frequent contact and the communication was concise and made me feel like they were taking care of everything at every step. So far, so good. I have zero complaints. It has been as easy as 1, 2, 3. Thank you very much for your efforts.

five stars

Kim
Wonderful experience with Quotacy

Thanks to the staff at Quotacy the process of buying life insurance was very positive and painless. From initial contact with the team to the day my policy became active everything was seamless. The communication from my agent was exceptional. He guided me through the process every step of the way and made sure I got the best policy at the best price. I would definitely recommend the Quotacy team!

five stars

Abbey
Highly recommend

Renee and Brandon at Quotacy were highly responsive, and had excellent communication and follow-up. They answered all my questions and facilitated everything from start to finish. When I got too busy with other things to focus on finalizing my life insurance paperwork, they followed-up on important milestones without being overly pushy. I also have peace-of-mind knowing that I shopped around to get the best price without actually having to do the legwork myself. Overall, I think the process was as smooth as possible with their help, and I'd definitely recommend Quotacy to others.

five stars

Erik
Best price with great customer service

Quotacy got me the best price for my life insurance with a major company and stepped me through the process the whole way. They were very quick and thorough when responding to my inquiries. I would highly recommend using Quotacy!

five stars

Jung
Fast and efficient service

From initial quote, to medical exam, to the final paper work, Quotacy provided fast and efficient service. They walked me through the life insurance application process and kept me well-informed through the entire process.

five stars

Scott
Very smooth process

I found the process of applying for a life insurance policy through Quotacy to be very smooth with excellent communication throughout. What drew me to the site was the ease of policy cost comparison between the insurers based on a simplified questionnaire. From that point, there were frequent and personalized email updates keeping me informed every step of the way, which led to a policy customized for my needs. I recommend Quotacy for anyone shopping for life insurance.

five stars

Loren
Amazing agent

My agent Jason was phenomenal. I had many questions about purchasing life insurance—which is a somewhat overwhelming decision because you obviously want to purchase what's right for you. My agent was exceptional at answering questions and giving me as much detail as possible regarding everything. In a world full of many agencies, I can say I am happy with the one I chose. Thank you so much.

five stars

James
A pain-free experience

I read some reviews about various insurance quote sites, and I decided to try Quotacy. I found the process extremely easy, and the web application was smooth and polished (kudos to the design and dev team!). I think the highlight of the entire process, however, was having real people communicate with me via email. The emails weren't "template emails" but real correspondence with me during the entire process, and my rep kept me in the loop from start to finish. I don't know how other sites do because I haven't tried them, but I am very impressed with Quotacy.

five stars

Reviews from TRUSTPILOT

The well-prepared insurance buyer

Tips to get the best policy for you

How to buy term life insurance in six steps

Simple steps to go from quote to coverage:

  1. Estimate your needs
  2. Get your quote
  3. Choose your policy
  4. Apply online within five minutes
  5. Complete your phone interview & medical exam*
  6. Get approved for coverage

*There are accelerated underwriting and no medical exam policy options that streamline these steps.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Why You Should Buy Life Insurance

 

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Why buy life insurance at Quotacy?

We’ve worked hard to make buying life insurance simple for you. We shop the life insurance carriers for you to offer you the best policy at an affordable price. Once you choose your policy, we guide you through the application, phone interview, and medical exam. We do all the online paperwork step-by-step with you so that nothing gets overlooked and deliver a policy as quickly as possible so that your family is covered.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more:

 

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What is a good age to buy life insurance?

Your price for life insurance will go up with age or if health issues appear that increase your risk of dying. If you change jobs and have to travel to unsafe countries, you may not be able to buy life insurance when you need it most. There are many factors that determine your cost for life insurance, including health and financial status, age, gender, occupation, and lifestyle. Most people can buy life insurance, but it’s best not to wait until it’s either too late or too expensive. A little life insurance is better than none.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: The Perfect Age to Buy Life Insurance

 

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Term or whole life insurance? Which is best?

Your goals for buying life insurance determine whether a term life or permanent life insurance policy is best. Discover what is best for you on our term vs. permanent life insurance advice page.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Term Life Insurance vs. Whole Life Insurance

 

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What is life insurance underwriting?

The underwriting process determines if you can be approved for life insurance coverage, how much coverage you can own, and how much you will have to pay. Underwriters from the life insurance company evaluate your health and medical history, lifestyle and career, and financial status to see what may affect your life expectancy.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: What is Life Insurance Underwriting?

 

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What is the life insurance phone interview like?

The 15-30 minute phone interview confirms your personal and health information submitted on your application. You may need to provide your:

  • Driver’s license and Social Security number
  • Healthcare providers (names, addresses, and phone numbers)
  • Medical history (treatment dates and prescription medicines)
  • Existing life insurance policy info (company name, coverage amount, and policy number)
  • Financial info (income, assets, liabilities, and net worth)

Some companies will schedule your medical exam during your phone interview, if your policy requires an exam.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: What to Expect from Your Phone Interview

 

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Can your doctor do your life insurance medical exam?

The simple answer is no. Life insurance underwriters have developed a specific set of medical markers they look for and the life insurance companies use medical examiners trained to do the life insurance health exam for best results across all applicants.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Can My Doctor Perform My Life Insurance Exam?

 

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How should you choose your beneficiary?

Who will be most impacted by your death? Who will care for your dependents if you die? Who is financially dependent on your earned income or generosity? If you have drafted a will or trust, you can consult your attorney or financial planner who assisted you with your estate planning.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: How to Designate Beneficiaries on Your Life Insurance Policy

 

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How to update your policy

Our agents can help your coverage evolve to match your changing lifestyle. If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: How to update your life insurance policy.

 

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Your love. Our life insurance.

Protect your family with the gift of life insurance

FAQ: health conditions & life insurance

Common medical conditions

Can I get life insurance if I have depression or anxiety?

Yes, even if you have been diagnosed with an anxiety disorder, life insurance coverage is possible. Life insurance underwriters look at applicants with an anxiety disorder on a case by case basis. The severity of the disorder and how it is being managed will be taken into consideration. If the condition is well-managed and you are otherwise healthy, you still can get affordable life insurance coverage.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: How Does Depression Affect Life Insurance Rates?

 

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Can I get life insurance if I have cancer?

If you are a cancer survivor, depending on the type of cancer and treatment outcome, you may be able to obtain life insurance coverage. Some cancer survivors qualify for preferred ratings. If you have been diagnosed, don’t give up. Connect with our advisors to help you.

If you are currently going through cancer treatments, life insurance coverage will be hard to find. Typically, the only type of life insurance you could be approved for would be guaranteed issue life insurance. Because these policies don’t require any medical exams and you’re instantly approved, the premiums are very high and the death benefit is low.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Cancer and Life Insurance

Learn more: Is Guaranteed Issue Life Insurance a Good Option?

 

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Can I get life insurance if I have diabetes?

It is possible to obtain life insurance coverage whether you have Type 1, Type 2, or Gestational Diabetes. Underwriting diabetes is a complex process and there are many factors involved. It will be harder to be approved for coverage if your diabetes is not well-managed or if there are any other complications. Most applicants with diabetes will be Table Rated. Being table rated means you’ll pay a higher premium because the insurance companies carry more risk by insuring you.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Ask an Underwriter: Diabetes

 

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Can I get life insurance if I have high blood pressure?

Yes, having high blood pressure does not exclude you from getting life insurance. High blood pressure, otherwise known as hypertension, is one of the most powerful predictors of mortality, which is why life insurance underwriters will always take a hard look at this diagnosis. However, if your HBP is well-managed, there is no negative family health history, and your lab test history (electrocardiogram or echocardiogram) is normal, you may even qualify for preferred ratings.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Ask an Underwriter: Hypertension

 

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Can I get life insurance if I have sleep apnea?

Yes, if your sleep apnea is well-managed, you can be approved for life insurance. If you have mild or moderate sleep apnea and you undergo effective treatment, such as using a CPAP device, and have no other risk factors, many insurance carriers would even consider offering you the best classification rating. However, if your sleep apnea is severe or you are not compliant with your doctor’s recommendations, your life insurance premiums will reflect this.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: How Does Sleep Apnea Affect Life Insurance Rates?

 

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FAQ: health conditions & life insurance

Additional medical conditions

Pregnancy

We’ve created a buying guide for parents and term life insurance to help you plan your insurance purchase before or after baby.

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

Learn more: Getting Life Insurance While Pregnant

 

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Cancer

Learn more: Cancer and Life Insurance

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

 

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Tobacco use or emphysema

If you have emphysema, your chances of getting approved for life insurance will mainly depend on your current smoking status and the degree of respiratory impairment. Degree of impairment is determined by a pulmonary function test (PFT). If you do not smoke and have only minimal impairment, a standard risk class is possible. If impairment is mild to severe, you will likely be table rated. If your impairment is extreme, you will likely be declined.

Learn more: Ask an Underwriter: Chronic Obstructive Pulmonary Disease

Learn more: Tobacco and Term Life Insurance

 

Substance use

Learn more: Substance Abuse and Life Insurance

If you need assistance, you can livechat, text, email, or talk with one of our advisors.

 

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Questions? Our advisors are here for you

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