Life insurance is a tool that offers a financial cushion to loved ones after one’s passing. While it may seem sad to think about, it is an important source of financial reassurance that offers peace of mind to the family members. However, the buying process is not a straightforward one and may often result in many errors along the way. Learn about four mistakes to avoid when buying a life insurance policy. 1. Waiting to buy insurance Premiums for a life insurance policy change depending on one’s overall health and stage of life. Insurance rates tend to increase as people age. If one develops certain illnesses, they may also be ineligible for coverage. That is why buying a policy sooner rather than later is better. 2. Buying the cheapest policy Of course, it is crucial to buy a policy within one’s budget. However, that should not be the only criterion when choosing a life insurance policy. One needs to look for the coverage that best fits one’s needs. For life insurance policies, one generally picks between a term life insurance or a permanent life insurance. Term life insurance offers coverage for a limited period (say 20 to 30 years) and has cheaper premiums.