Your lifestyle and your life insurance policy.
When you apply for a life insurance policy, you will be asked a series of questions about your lifestyle. From these answers, the insurer will assign you a certain rate classification, which is based on the level of risk you carry. Among other factors, insurers will look at your weight, whether you smoke or chew tobacco, have unhealthy drinking habits, a dangerous job, risky hobbies, or a serious medical condition. In short, your classification can have a significant effect on the price you pay for life insurance coverage.
There are certain medical conditions that you may not be able to change. If you’ve been diagnosed with diabetes or have a chronic heart condition, this will be detected by the insurer and will impact your classification.
If you currently smoke, your life insurer will want to know about it. Smokers often pay up to 200 percent more per month than non-smokers – so if you’re eager to drop your policy costs, giving up smoking is one of the most effective things you can do. If it’s been a year or two since you quit, you can ask for a re-evaluation.
Drug use and excessive drinking will also have an effect on your life insurance risk assessment. You could even be denied coverage altogether if the insurer thinks you are of particularly high risk.
High-risk jobs and dangerous hobbies will also impact your life insurance classification. If you work with electrics or get a thrill at jumping out of a plane, you can probably count on a lower classification with a higher monthly premium.
There are a lot of things that can impact your classification ad premium. Work with a trusted life insurance expert that can help you find and secure reliable coverage. For more information on how you can get the correct amount of life insurance coverage for your needs, contact the Bristol team at C.V. Mason Insurance Agency.