Life Insurance Quote
by Penny M. Hagerman
When preparing for the future, life insurance should play a significant role in the big picture. With diversification, the right life insurance plan and some wise assistance from a knowledgeable insurance agent, setting families up for the future can be relatively painless.
To find a policy that doesn't bust the budget, get a life quote through InsureMe. We have connections with thousands of life agents nationwide who are ready to offer their best life insurance quote—free of charge and with no obligation.
Don't put it off. Get affordable life insurance rates today, and offer loved ones stability for tomorrow.
The Anatomy of a Life Insurance Quote
When someone applies for life insurance, insurers often ask detailed questions that help determine risk. This aids them in setting an accurate life quote, based on the likelihood the person will die while the policy is in effect.
Some of the information that may be requested when applying for a life quote includes:
- Age: The younger the applicant, the cheaper the life plan.
- Gender: Women often live longer than men, so they pay less for life insurance.
- Smoking habits: Life insurance rates for non-smokers run significantly less than for smokers (due to risk of disease and death).
- Weight: Overweight or obese individuals pay more, so their quote is higher.
- Family history: The healthier the immediate family, the greater the likelihood the applicant will remain healthy.
- Current medical history: Those with no major maladies pay less for life insurance than those who've contracted illnesses.
- Driving record: Applicants with good driving records are generally healthier—and get a cheaper quote—than those with tickets or accidents.
- Occupation: The more risky the job, the greater the chance of filing life insurance claims—and earning a higher quote.
- Hobbies: Dangerous hobbies translate into higher premiums. This also means a more expensive quote.
- Travel plans: Traveling into dangerous regions ups the likelihood of death—and the incidence of life insurance claims—affecting the overall quote.
- Credit history: The better the credit rating, the more responsible and stable the applicant; and the lower the life insurance quote.
Grouping Based on Risk
Though most of these factors are self-explanatory, some people wonder why a life insurance company would require this kind of personal information when calculating premiums for a life insurance quote.
Here's why: gathering information on applicants regarding lifestyle, history and vital statistics enables the insurer to group like people together based on risk, then associate a general premium cost for each group as a whole.
Called rate or health classifications, applicants usually fall into one of the following groups.
- Preferred Best or Super Preferred: Take no medications, proportionate height and weight, no major health issues, clean credit and a stellar driving history.
- Preferred: In good shape physically, but may be on a medication or two. May be slightly overweight, but other risk factors are minor.
- Standard Plus: Slightly above average health wise, but may have some adverse family history, or may have quit smoking recently.
- Standard: Average. Most of those with weight issues are classified standard, as are those who quit smoking less than three to five years ago.
- Preferred Tobacco/Standard Tobacco: All smokers are placed in this category, no matter how healthy otherwise.
- Table Ratings: Those not qualifying for a more favorable quote. Includes people with diabetes, cancer, obesity and other serious illnesses. The lower the table rating, the higher the insurance quote.
Generally, the lower the group's overall risk, the lower the quote.
Living Right
Though many factors are beyond our control, it's easy to see how the way a person lives affects the final life insurance quote.
For the cheapest quote—and financial stability families need—stay healthy, reduce risk, and buy the right life insurance plan today. It makes a great addition to financial portfolios, and helps ensure the successful future loved ones need.
