Life insurance is important protection. Yet, for many, it’s also a mystery.
Most Americans have no clue how life insurance is calculated. In fact, many actually overestimate the cost. According to the Life Insurance Marketing and Research Association (LIMRA), this is a major reason why many Americans are uninsured.
Jim Boyce Insurance can determine what coverage you need. Known as underwriting, their experienced Matthews, NC professionals will evaluate risk factors to decide your insurance rates. While there are numerous items to consider, the agency lists six common factors that influence life insurance rates the most.
Coverage limits and payout impact pricing. Term life insurance is often the least expensive since it provides coverage for a fixed term. By comparison, permanent life insurance policies cost much more since death benefits are guaranteed.
Costs increase with age too. Younger individuals have longer life expectancies. Therefore, they also have more time to pay premiums. For this reason, locking in rates early is preferred.
On average, men pay more than women. Again, this is a direct result of life expectancy.
Any agency will review your medical history. Any pre-existing conditions will increase rates. If you suffer from a life-threatening disease, like heart conditions or cancer, your policy could be denied altogether.
Insurers will examine your family’s health history as well. If you are at risk of developing issues later, this will likely influence your options.
Occupation & Lifestyle
Dangerous jobs raise the price of premiums. Agencies may look at other behavioral factors as well, like hobbies, criminal history, financial background, and driving records.
Schedule an appointment with Jim Boyce Insurance
Serving Matthews, NC, the agency can evaluate these factors and find an ideal life insurance policy that protects you and your family. Call today.