When Does Life Insurance Go Into Effect? 
Life insurance goes into effect the minute that you are approved , accept the offer and pay your 1st premium . When you get life insurance quotes , they are just guestimates of what you will be offered . Then you fill out the application . The company reviews your application and verifies your health history and then they make you an actual offer . The offer may be higher , lower or the same as the original quote you were first quoted . Once you recieve the offer , you can accept it in writing or not accept it . If you accept it and make your first payment , you are covered . There are some policies that are sold by mail order companies -LRB- Globe , Mutual of Omaha , Physicians Mutual , AARP , etc. -RRB- which are called `` guaranteed issue life insurance . '' Those policies work differently . With those everyone gets the same rate because they just price them like everyone is in very bad health . You sign up through the mail but you really do n't have any coverage until you have paid them 25 payments over 24-months time . No ONE should buy a policy like this unless you have exhausted all other options . These are last resort policies for people in nursing homes or under hospice care . An agent that specializes with the ytpe of life insurance you want can help you get the most coverage for your premium dollar . 