The next thing you need to do is to get in shape. A life insurance premium is set on a defined risk of factors. These risk factors include your weight, blood pressure, and cholesterol levels. When you start shopping for life insurance, you should visit your doctor and have your weight, blood pressure, and cholesterol levels checked. Once you have them ready, you can determine if you are in a "risk" zone on your own. If you think you are unhealthy and can get into better shape, do so before you purchase life insurance. Ask your doctor for recommended lifestyle changes and follow their advice. After you are in the healthy zone, you should begin shopping for life insurance. If you are currently insured and you have worked hard to get back into the healthy zone, you need to contact your current life insurance provider to see if your premiums will decrease as a result of your hard work.

A healthy 30 year-old male who doesn't smoke can expect to pay around $300 for a $300,000 term life insurance policy. If you have poor health, smoke, or engage in high risk activities (skydiving, paragliding, rock climbing, scuba diving), you can expect to pay up to 50% more in premiums than a "normal" person. Anything that is considered risky behavior will cost you in life insurance premiums. Skydiving, piloting airplanes, scuba diving, rock climbing, and driving a motorcycle are all considered a risk. Some life insurance companies will not even allow you to engage in any of the above activities. They even have clauses in their life insurance policy that states your beneficiaries will not receive anything if you die as a result of one of the above risky behaviors. If you do engage in any of the above activities, you will be placed in a higher risk pool and you will pay for it.

Changing the life insurance policy you have can save you a ton of money. Most everyone is aware that a whole life insurance policy costs more than a term life insurance policy. Here are a few quick facts about the different life insurance plans:

Whole life insurance - The premiums with whole life insurance generally remain the same over the life of your policy. The money you pay in premiums will be controlled by the life insurance company and you will not have any say over the way it is invested. You will receive tax benefits from a whole life insurance plan, but you will pay more for this policy. The great benefit to a whole life insurance policy is that it will pay your death benefit no matter when you die.

Term life insurance - Term life insurance is by far the most popular form of life insurance because it is the least expensive. Typically, a term life insurance plan is offered through your employer and is written for the term of the policy, which is usually one to thirty years. If you happen to die during the term of your life insurance policy, the life insurance company will pay your benefits to your stated beneficiary. Once your term is over, your life insurance policy will end. With term life insurance, your premium will increase as you age. If you have purchased term life insurance through your employer, your policy will only be in tact if you stay with the company. Life insurance companies tend to give employers excellent rates on life insurance because they can offer group rates to their employees. As you begin shopping around for life insurance, you will notice that the premiums are much lower with term life insurance than other life insurance policies.

Variable life insurance - A variable life insurance policy allows you to have control over a cash value account. You can invest the money from your policy into stocks or bonds and watch it increase over the years. Variable life insurance is considered a risk because you could invest poorly and end up paying more in premiums to make up for the lost money. Variable life insurance is a life-long policy similar to whole life insurance. If you can tolerate the risk, you can save money on life insurance by investing in variable life insurance.

Universal life insurance - The last life insurance policy is universal life insurance. This life insurance allows you to vary your premium amount. What this means is you can use part of your accumulated earnings to cover part of your premiums and you can vary the amount of your death benefit. It is a flexible life insurance policy, but you will pay higher premiums for the flexibility. If you want a life-long life insurance plan, this may be the plan for you.

You should always look into the life insurance that is being offered by your employer. Because life insurance companies offer group discounts to employers, they generally only charge you $20 or less a month for individual life insurance. If you are insuring more than one person, the cost will increase, but it should be minimal. Shop around with other companies to make sure you are getting the best life insurance policy for your needs and your budget.

Switch life insurance companies every 4 to 5 years. By doing so, you will get the lowest rates that are currently offered by the life insurance company. Generally, life insurance companies offer the lowest rates for the first 4 to 5 years and then they begin steadily increasing the premium over the life of the policy. By changing life insurance providers every 4 to 5 years, you will save a lot of money on the lower rates that are only offered to new customers. You should always shop around for different life insurance policies as you age. One company may have lower rates for a 40-year-old than the rates you are currently paying. As you are shopping for life insurance, you should ask them when the rates change for ages. Some companies change rates on a 5 year basis, while others change rates on a 10 year time scale.

As you are comparing policies, check to see how the premiums work. Some premiums start lower than the other, but later are higher than the other. Do the math to figure out which one you will be paying more for over the life of the policy. If you have a life insurance agent or broker, be sure to discuss the different premium amounts with them.

You can save money on life insurance if you know the premium discount rates. Some life insurance companies offer discounts for specified insurance amounts. You may actually pay a smaller premium for life insurance that costs $250,000 versus $200,000 because the discount level is set at a higher amount. Watch out for fractional premiums. If you are paying monthly or every quarter, you may be paying more for life insurance. Many companies will offer discounts to those who pay once every half-year.

If you decide on purchasing term life insurance, look for renewal guarantees. A renewal guarantee allows you to start a new term after the current one ends without requiring you to undergo a health exam or submit other information. This allows you to get a plan without going through all the hassle.

Talk to your auto insurance or health insurance company to see if they offer life insurance. Many companies will offer you a discount if you bundle you insurance policies together.

You should also evaluate your family's needs and only purchase enough coverage to pay off your debts and provide enough money for them to get by. Many life insurance agents will try to sell you more coverage than you need. You should purchase about 6-10 times your annual gross income.

One last thing to consider when you purchase life insurance is the length of your term. A 40 year old doesn't need to purchase a 30 or 40 year term, while someone in their 50s should consider a 10 year term. If you are a smoker, you need a shorter term until you can quit smoking and qualify for non-tobacco prices. Consider purchasing life insurance that is the same length of time as your house loan, this way you know your house is protected.