Best life insurance: which one is right for you?

Best life insurance: which one is right for you?

Many French people value life insurance. A financial investment that provides many advantages such as supplementing your income during retirement or developing long-term savings. It is important to choose the ideal life insurance contract since it is not transferable from one organization to another. Find some points to check to subscribe to the appropriate contract.

A good establishment for your contract

Taking out life insurance means choosing an insurer who takes care of the management of your contract. In this case, it is essential to choose the organization carefully to subscribe to the life insurance contract. Several players exist on the market to allow each saver to choose the financial institution that suits them best. This could be an online bank, a subsidiary of a mutual insurance company, an insurance group, etc. You must verify the financial strength of the organization. The reputation of the latter is also an essential point to take into consideration. Pay attention to the top generous bonuses. Consider taking out several life insurance contracts with several distributors since the State is the guarantor for large sums. Do not hesitate to use a comparison to find the best offers on the market. Life insurance contracts must earn you money, so you should avoid contracts with too many fees.

Determine your saver profile

Make sure you take the time to define your saver profile before investing your savings. Several parameters can be taken into account such as age, the level of risk that you are prepared to take, your temperament, your knowledge of the financial world, your savings that you wish to invest or even your objectives. Once you have taken these criteria into consideration, you will have your investor profile in order to opt for the appropriate contracts. You will also have the opportunity to choose the ideal distributor (online broker, traditional insurer, online bank, etc.).

Life insurance costs

This is an essential factor in choosing a life insurance contract . Each operation is an opportunity for the insurer to apply fees (management, arbitration or on payments). It is recommended to favor reasonable fees, as they can reduce the gains from your investment. It is possible to negotiate the fees. However, avoid insurers that charge fees of more than 1%. The relatively lower the fee, the more attractive the contract.

So, compare the costs to make the right decision when choosing your life insurance contract. This allows you to know the cost differences between the different products that exist. Management fees vary depending on the type of management selected. Remittance fees are generally significant, but are negotiable.

Pay attention to the performance of the fund in euros

The quality of a life insurance contract is linked to the fund’s return in euros. Despite a fairly low rate of return, euro funds retain their value. To be interesting, its yield must be greater than 2%.

Check that the euro fund of your life insurance has low fees while guaranteeing reasonable remuneration compared to the competition. Don’t choose a high-yielding euro fund without considering the fees that are deducted from the earnings.

Take out several life insurance contracts

It is interesting to take out several life insurance contracts, obviously prioritizing quality. The objective is to limit risks. Indeed, you always have to think about diversification. You can open several life insurance policies depending on your saver profile. This also allows for competition given the diversity of offers available. Thus, the saver will prefer to take out several life insurance policies instead of one with different establishments.