5 Factors That Will Affect Your Life Insurance Quote
Life insurance is a perfect way to ensure your loved ones are protected financially and is a major investment. A lower premium will yield major savings over a period of years. Here are some of the most important factors insurers consider when determining life insurance quotes.
- Age – This is the number one factor when considering life insurance quotes. The basic premise is that the younger you are, the lower your premium will be as based on statistics it will take years before insurers will have to worry before writing a check.
- Gender – Statistical models are used to determine how long someone should be around and it has been determined that women lives about 5 years longer than males. Based on this women do pay slightly less than their male counterparts.
- Smoking – This bad habit places you at a higher risk for all sorts of ailments and is a definite red flag for insurance companies. It is not uncommon for smokers to pay twice as much in life insurance than non-smokers for similar coverage. It is advised to kick the habit to save on life insurance premiums.
- General Health – The underwriting process usually includes a medical exam where your weight, blood pressure, cholesterol, height and other key factors are recorded. Ensure that serious conditions are managed to get a competitive rate.
- Lifestyle – If your hobbies include dangerous activities like climbing mountains or racing fast cars, expect to pay much more for life insurance as every time you engage in these types of high-risk activities, then there is a chance of meeting an early end. Dangerous professions can also cause a higher premium in some instances like mining.