Each life insurance company has its own method for calculating premiums, but there are some common factors that all insurers take into account.
The most important factor is the Insured’s age. The younger you are, the lower your premium will be because you are less likely to die than an older person.
Other factors that are considered include gender, lifestyle, health, and family medical history. For example, smokers will pay higher premiums than non-smokers, because they are more likely to die prematurely.
Some life insurance policies also have a “medical exam” requirement, where the Insured is required to undergo a physical examination and provide information about their health and family medical history. The results of the exam can impact the premium, for better or for worse.
In general, the premium for a life insurance policy is the Insured’s age, gender, lifestyle, health, and family medical history. However, each life insurance company has its own method for calculating premiums, so it’s best to shop around and compare rates before buying a policy.
