5 Reasons You Might Pay More For Life Insurance

Because life insurance is important, you should consider purchasing a policy if you don't already have one. Watch out, though, for rising premiums caused by five factors. 

1. Your Age

Life insurance companies give you a policy in the hopes that they will collect the premiums but won't have to pay the benefits. In a sense, they're betting that you'll live a long life. That's why you'll pay more for a policy if you're older. Your life expectancy is lower at that time, and the insurance company charges more to cover their increased risk. For the best rates, buy life insurance when you're young. 

2. Your Gender

Men typically have a shorter life expectancy than women, which means they're more likely to die before their life insurance policy matures. Because life insurance companies assume a higher risk to insure men, you'll pay more for a policy if you're male. 

3. Your Health

Several health factors cause life insurance premiums to rise because they reduce life expectancy. These factors include diabetes, obesity, high cholesterol, hypertension and smoking. If you are obese or smoke, for example, expect to pay up to double the normal rate for your life insurance policy. 

4. Your Family Health History

Maybe you have a clean bill of health but your parents or a sibling have a history of heart disease or diabetes. In this case, your life insurance premiums will go up because your risk of developing these conditions is high. 

5. Your Occupation and Hobbies

Work in a career that's high-risk or has a high mortality rate, like commercial fishing or ranching, and you could pay more for life insurance. Risky hobbies like motorcycle racing or high diving include higher policy costs, too. 

Even though these five factors affect how much you pay for life insurance, you and your dependents need this protection. Be honest about your lifestyle, and talk to your insurance agent today. He or she will provide tips for lowering your premiums and finding a policy that meets your needs as you gain invaluable life insurance coverage.
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