Augusta
VIP Contributor
The premium to be paid by an life policy insured varies as a lot of factors are considered by the insurer before the premium are set for each insured.
The below factors influence the rate:
Smoking rate;
Insurers know that smoking puts an individual at a higher risk of different health problems. So with this knowledge smokers will be expected to pay more. This might be up to twice of non-smokers .so this means that life insurance companies charge more to insure smokers.
Gender of the insured
Insurers consider the gender of the insured when it comes to the price of life insurance. Insurance provider adopt statistical models to estimate how long a person with a specific profile will be around. So it is known Women live longer than men, so women would have lower rates of premium than men
Insued health
The insurance company also need to consider the health of the insured when giving out the rate. So the company will records the insured height, weight, blood pressure, cholesterol etc. This is why an individual needs to managed properly serious conditions like high cholesterol and diabetes before trying to get life insurance coverage to ensure a competitive rate. but for those companies that offers no exam policies, charge even higher as premium.
The below factors influence the rate:
Smoking rate;
Insurers know that smoking puts an individual at a higher risk of different health problems. So with this knowledge smokers will be expected to pay more. This might be up to twice of non-smokers .so this means that life insurance companies charge more to insure smokers.
Gender of the insured
Insurers consider the gender of the insured when it comes to the price of life insurance. Insurance provider adopt statistical models to estimate how long a person with a specific profile will be around. So it is known Women live longer than men, so women would have lower rates of premium than men
Insued health
The insurance company also need to consider the health of the insured when giving out the rate. So the company will records the insured height, weight, blood pressure, cholesterol etc. This is why an individual needs to managed properly serious conditions like high cholesterol and diabetes before trying to get life insurance coverage to ensure a competitive rate. but for those companies that offers no exam policies, charge even higher as premium.
