Acquiring Firefighters Life Insurance Coverage Is Possible with Effort

If ever there was an event that froze in our memories the risks that our critical first responders take in service to their communities, it was the picture of firemen rushing up the stairwells of the World Trade Center towers before their inevitable collapse on “9/11”. While 340 dedicated firemen lost their lives on that day, the average number of annual deaths for the firefighting profession has been on the decline for the past 40 years. In 2010, 72 firefighters lost their lives, roughly one third of those being career workers, and the remainder being volunteers. When one works in a hazardous field where their life is in danger, the issue of having adequate life insurance is paramount.

Life insurance premium levels are determined by a combination of factors. Age, health, and whether you smoke or have other substance abuse in your history are the major factors, but your type of profession and the amount of risk it entails can overly influence how the statistics play out. Insurance is all about statistics, as far as cost is concerned. However, all insurance companies are different in how they price, which can also depend on the markets that they choose to serve. For this reason, comparison-shopping is always advised. There are many Internet firms that will assist you in finding
cheap insurance quotes online, but that step is but the first one in a straightforward process.

Term life insurance is typically the recommended form to acquire, but what options does a firefighter have in this industry? To begin with, one generally wants coverage to be a “24/7” affair, but if you should die in the line of duty, you are already covered by the Federal government, no application necessary. There is also a disability rider and a new amendment that provides additional educational assistance for your spouse and children. This coverage is provided by the Public Safety Officers’ Benefits (PSOB) Act, signed into law in 1976 and amended thereafter. Coverage limits are adjusted for the cost of living and today amount to $318,112 in term life benefits.

Outside of this basic cover, your employer and state government may have also arranged for an additional level of benefit. After taking these possibilities into account and doing a little preparatory work to understand the life insurance industry and its terms, planning for your family’s peace of mind is a five-step process:

1) Define Your Needs: Everyone’s financial situation is different. You must think in terms of what your family will face without you present. Are there debts to pay? Were you the only income producer? Do your children have educational costs to consider? For most families, the “rule-of-thumb” is to start at $1 million and work from there. An agent can help with these calculations when you get to that point;

2) Acquire Quotes: There are many services that can assist you here. Calling companies one by one is a waste of time in this Internet age. Focus on term life insurance. The other forms involve complicated investment strategies that can be left to later in life to ponder. You may also want more than one policy and to vary the terms on each policy. Flexibility is good since your situation will surely change in the future. Gather a minimum of at least three quotes to review;

3) Evaluate Your Options: In today’s insurance environment, competition is the word, and even the large, reputable companies are passing their technology savings along to you in lower premium quotes. The first quote may or may not be their best. Ask questions, and ask for a re-quote. Since you are looking for a long-term business partner, you will also want to check the financial soundness of your target companies. S&P and AW Best have ratings for insurance companies. Be sure to check these and any consumer evaluation services for complaints or problems;

4) Make Your Decision: Before you sign on the dotted line, read the fine print of the policy carefully to be sure that you are getting the coverage you want. Study the perils covered and the important exclusion section of the policy to see if any surprises are lurking. Also inquire about any other policy discounts or special allowances that may have been missed, like an excellent credit rating or lack of smoking in your past;

5) Review and Adjust: Life changes quickly, as do your financial conditions and family obligations. Reviewing your life insurance coverage on an annual basis is a good habit to acquire. Term insurance premiums also increase with age, so it may be wise to buy longer-term policies before the premium levels ascend quickly.

Acquiring adequate life insurance for a firefighter need not be a daunting task in today’s competitive insurance market. Persistence, however, is required.