How Do Life Insurance Companies Factor Your Health Into Your Premiums?

When you purchase auto insurance, the insurer looks at your age and driving record, and when you get home insurance, the company will consider the condition and location of your home. This is because insurers look at your risk factors as a potential policyholder. Similarly, when it comes to life insurance, providers consider a number of factors when setting your premium rates. Everything from your age and gender to your credit score could influence your rates. However, one of the main factors that life insurers consider is your health. This is because the healthier you are, the less likely you are to pass away prematurely, and therefore, the less likely you are to need your life insurance policy.

If you are in good health, you will likely pay less for life insurance than someone who is not in good health. The rate is based on the assumption that the individual is in excellent health and has no major health concerns. Let’s take a look at some ways that life insurance companies evaluate your health and medical exam to determine your insurance rate.

Pre-Existing Conditions

There are a few things that impact life insurance rates, and one of those things is pre-existing conditions. A pre-existing condition is any illness or injury that you have prior to buying life insurance. If you have a pre-existing condition such as diabetes or heart disease, insurance companies will likely charge you more for life insurance. In some instances, you could be denied coverage altogether. This is because insurers see you as being a greater risk because you are more likely to file a claim. If you have a pre-existing condition, the best thing to do is shop around for insurance to find a company that will offer you coverage for a rate that you can afford.

Weight

Weighing too much or too little can affect how much you pay for life insurance. Carriers use your weight as one factor when determining how likely you are to have health problems and file a claim. The more you weigh, the more likely you are to have health problems, such as heart disease, stroke, and cancer. This means you’re also more likely to file a claim and cost the insurer money. This is why people who are overweight often pay more for life insurance than those who maintain a healthy weight. If you are overweight or obese, you will pay higher premium rates for insurance.

Blood Pressure and Cholesterol

If your cholesterol levels are high, your life insurance rate will be higher than if they are normal. This is because high cholesterol can lead to heart disease, which is one of the leading causes of death in the United States. Similarly, if your blood pressure is high, your life insurance rate will be higher than if it is normal. This is because high blood pressure can lead to heart disease and stroke, both of which can be deadly. Life insurance companies are very interested in health factors that could impact your heart health.

Age and Family History

Your age and family history are also important factors in life insurance rates. The older you are, the more likely you are to succumb to health issues or old age, so your life insurance company will charge you a higher premium. If you have a family history of health problems, your life insurance company will also charge you more because you are more likely to develop health problems yourself.

Lifestyle Choices

Aside from certain health conditions and risk factors, certain lifestyle choices that could impact your health will also influence your life insurance rates. If you smoke, for example, your life insurance rate will be higher than if you do not smoke. This is because smoking increases your risk of developing health problems such as cancer, heart disease, and stroke. Smoking and tobacco use has been linked to all kinds of health problems, and insurers will place you into a higher risk category as a result. Similarly, if your blood work during your medical exam determines that you use recreational drugs, your rates will also likely be higher.

Overall, your health is a major factor that impacts your life insurance premiums. If you have any major health problems, you will likely pay more for coverage than someone who is in good health. However, even if you are in good health, you may still pay more if you are older or have a family history of health problems. It is best to shop around for life insurance with various companies to find the best coverage and rates for your need.