Life Insurance Scams and Schemes to Avoid

An insurance broker was recently ordered to pay damages for defrauding senior citizens seeking policies. Don’t let this happen to you or someone you love. You can protect yourself by learning all that you can about life insurance and doing the proper research before signing up with someone.

Here are some important things to keep in mind:

1. If it sounds too good to be true, it might be. While it’s true that rates are dropping, if something sounds too cheap for what you’re getting in return, it pays to take a closer look.
2. Always do your background research. When seeking a life insurance policy, always look into the history and background of the broker or company you are seeking coverage with.
3. Find out as much as you can about them.
4. Look for red flags. Some red flags include if a particular insurance company or broker has been reported with a business bureau or reported online for fraudulent activity. Another red flag may be if they change their address, name and contact information too often or if they appear to move around a lot.
5. Check their license. Make sure the company you are working with is properly licensed within the industry.
6. Ask around. It never hurts to talk with people you know and ask about their life insurance policies, what companies they use and if anyone has ever heard of the particular agency or broker that you are considering.

Buying quality Canadian life insurance is one of the most important things you will ever do for yourself and your family but it is extremely important that you do so the right way. Shop around just like you would with any other important purchase. Make sure you know who and where you are getting your life insurance from.