Life and Annuity Insurance - What Affects Premium?

  • The age you purchase your policy.  The older you are, the more expensive the premiums.

  • Your overall health.  Life insurance companies typically ask you about your medical history, request access to medical records and even obtain blood and urine samples for testing.

  • Pre-existing and/or chronic health problems, such as diabetes, heart disease, cancer or sexually transmitted diseases may prevent you from getting life insurance or place you in a high-risk pool at greater cost.

  • Poor health habits, such as smoking and excessive drinking. 

  • Engaging in dangerous hobbies, such as skydiving, skiing or rock climbing

  • Your driving record, in terms of accidents, DUI citations, claims and tickets. The better your record, the better rates you’ll receive for your life insurance.

  • Your geographic area.  Life insurance companies have access to regional data that document mortality rates and life expectancy, and they use that data to calculate the rates they offer.