Most people don’t realize how important life insurance is for you and your family’s protection. It’s even better buying life insurance when you’re younger because it is pretty inexpensive at that time in your life. Rates are typically low, such as $20 or less for a 30 year old woman who wants a $500,000 term life policy for 20 years.
Waiting on buying a life insurance policy is where some people go wrong. Aging, plus health issues, as well as other lifestyle concerns, are were the prices start to get higher and higher. If that same 30 year old woman decided to wait to get life insurance by the age of 45 or so, she would be looking at roughly about the amount of $40+ per month! A history of heart disease in her family and prescription for blood pressure would also raise the same policy at about $50+ a month.
If you do not currently have a life insurance policy and the insurance company discovers an health issue, it is always better to take the offer and change the amount or term to fit in your budget. After you have the policy inforce have your agent shop the other insurance companies for you to see if another insurance company comes in better. If no one comes in at a better rate work on your health or lifestyle issue that caused the problem.
If you already have a life insurance policy and you know your health has significantly improved since your last policy, ask to be re-rated! Although, not guaranteed, it definitely won’t hurt to ask and at no cost to you! If you’re worried about, “What if they discover something new in the process of my re-rating? Will my current rate go up?” The answer to this is simply, no. Your rate will stay the same, if anything.
So, what are life insurance companies looking for in particular?
Here are the 3 Factors you can change to receive a better life insurance rate:
- Weight loss
- Quit smoking for at least 12 months
- Your medical condition has improved
Life insurance companies are very particular when it comes to their certain guidelines, each different for every carrier. Being overweight or obese is a major risk factor for each life insurance company. This is due to the many serious health problems that coincide with being overweight, such as having a stroke or a heart attack. So, losing weight and keeping it off is very good, not only for yourself, but also to get a re-rating!
This is a big NO in the life insurance world. If you are smoking and you want life insurance, it’s in your best interest to kick the habit. Most of the time, life insurance companies will want you to have quit smoking for about a year, others such as transamerica will want you to have stopped for 2 years. After a few years of quitting your habit, you will qualify for a ‘nonsmoker’ rating, which will decrease your premiums significantly.
No More Medical Problems
If losing weight or smoking are not the root of your problems when it comes to life insurance, but instead your health conditions (such as depression, anxiety or blood pressure) – these are conditions that CAN be taken care of through the use of medication. If you have been prescribed pills, please take them. Your insurer will most likely give you a better rate than before once they see it’s well managed and under control.
Losing weight, quitting your smoking habits, and managing your medical conditions are 3 factors you can change to get a re-rate! But keep in mind, not ALL changes will be accepted for a request for re-rating. It would be best to talk to your agent to figure out what would the best step to take to be considered for a re-rate.
You can go to www.1stOptionInsurance.com, they are the king when it comes to finding the lowest price and helping consumers re-rate their health to lower the cost of life insurance.