These Things May Could Affect Life Insurance Rates

Are you planning to purchase a life insurance policy for the first time? If so, you are making a wise decision, and it is a good idea to know the factors that insurance companies use to formulate quotes. You likely know that your health may affect quotes. Some insurance companies do not require physical exams, but there are some that want to know this information and they require more than the answers on insurance applications. Individuals who have health issues can get life insurance, but their premiums may be higher than individuals who are considered healthy.

The following are a few other things that can impact life insurance rates.


It is common for individuals to wait until later in life to take matters such as obtaining life insurance seriously. Some people buy policies in their younger years when they are less experienced with life. This can result in them getting the wrong type of insurance or getting a policy with a low benefit payout amount. The need for additional life insurance may be noticed later in life when an individual's circumstances change. Policies for young and healthy individuals tend to be cheaper than for older individuals. Many policies have clauses that state that rates will not increase when a person gets older. This makes getting a good policy early in life sensible and could eliminate the need to get additional insurance later. 

Family Medical History

You might pass a physical exam requested by an insurance provider. However, your life insurance quote might be high if you have a family history that includes certain conditions and diseases. Some diseases and conditions are hereditary and a higher insurance quote could be based on the potential for you to develop the disease or condition in the future. Common concerns are a family history of cancer, diabetes, mental health, or high blood pressure. 

Lifestyle and Occupation

The things that you do for recreation or your employment could also affect your life insurance rates. Lifestyle choices such as using tobacco, illegal drugs, or abusing alcohol could result in higher rates. A physical exam, an admission, or medical records that show a history of abusing these substances can be used as proof. Some insurance companies require urinalysis tests for drugs. Individuals who work certain jobs such as firefighters, pilots, police officers, or racecar drivers may encounter dangers that others do not on a daily basis. The nature of their work could result in premature deaths and be a reason for higher rates. 

For more information, contact a company like Jim Cavallo internet insurance.