What if there was a way to reduce your monthly insurance payments — or, for that matter, have your insurance plan(s) analyzed and understood, and explained  by a professional who was looking out for you?

It’s an idea worth considering, since you have nothing to lose and a LOT to gain.

If the agent you talk to knows his stuff, he’ll want to see all every life insurance policy you have. He knows that consolidating multiple plans is a great way to reduce your cost. (He also knows that if he improves the value you’re getting, he stands a good chance of becoming your preferred agent!)

So what different types of life insurance will he ask about? Most people carry any combination of life insurance policies, mortgage insurance, loan insurance, line of credit insurance … even insurance on their credit card balances. The bad news is that each policy likely has its own annual fee. It may be hidden, but it leaves your pocket every month just the same. And since a traditional life insurance fee is $85 or more per year, paying more than one of them can be hard on the budget.

So when a prospective agent wants you to dig up all those insurance policies, it shows he’s looking out for your best interests. He knows what he’s doing if he wants to eliminate extra fees.

Your agent also knows something about bulk food principles—or should, since life insurance works the same way. When you buy small amounts of pre-packaged oatmeal (work with me here), you end up paying more… for less. But when you head over to that canister aisle where you scoop the grains into a bag yourself, you pay less… and get more. And it’s the same with insurance. While coverage on a person’s life doesn’t come in canisters, it comes in something we call “bands.” The higher the band you buy from (or the greater the quantity), the cheaper your price per thousand.

So you start by eliminating extra fees. And then you get the best price by “buying bulk.” But that’s not all. Your agent will also want to help you save money by considering the type of insurance you have and whether it fits your needs.

When Moira (not her real name) showed me her insurance plans, we talked about her family’s need for insurance. Her sons are in their mid-teen years and, although they need mom fully insured now, in the near future they won’t. When they’ve reached their mid-twenties, Moira believes the boys will have good careers and maybe even families of their own. So in just 10 years, everything will have changed and Moira won’t need the coverage she needs now.

We came to the conclusion that her previous 25-year term insurance wasn’t the best option. Although it  guaranteed her a great price for 25 years, it was more expensive than the alternative and she couldn’t afford to protect her sons properly right now. By switching to 10-year term insurance instead, the problem solved itself. Instead of $308,000 insurance, Moira now has $600,000 coverage during these critical years. It’s better for the boys, and Moira likes having a lower monthly premium!

So there you have it. Getting a second opinion is a really good idea, maybe even something you’ll want to do this week. Because, just imagine:  What if you could reduce your annual fees and get more for less? Or know for sure that the plan you have is the very best insurance for your family? What if someone took the time to explain your present plan—and your options?

Would it be worth a phone call?