Life insurance risk rating
You always consider various unforeseen risks while selecting a life insurance policy. But you hardly recognize that the insurance companies too behold us as risk factors, even though the intensity may vary from person to person. Most of the insurance companies decide the risk level according to the health condition of the applicant. But the condition is that the wannabe policy holder should give the true health report to the insurance company without hiding anything about his medical history.
If you have standard health condition, which means that you are blessed of having no serious ailment, you will be considered as a ‘standard risk’ by the insurance company and thereby you will be qualified for the insurance company’s standard rate. But if you possess a better than average health condition, you will fall under the insurance company’s ‘preferred risk’ rates.
Even though you can not change the terms of the policy, you definitely can change your health condition, which may make the insurance company to shift you from standard rate to preferred rate. If You can demonstrate the better health by quitting smoking or alcohol, for taking steps to lower your cholesterol or obesity, you will turned up to be a better risk, which in term will improve your rating. The standards may vary from company to company, but if you can keep up with the better health condition for one or more years, the companies will see this as a permanent improvement and will also change your polity rating.
Here is a list of the factors, which insurance companies consider before casting a policy holder from standard to preferred risk:
No history of cardiovascular disease, stroke, diabetes, cancer or alcohol or drugs.
No family history of cardiovascular disease prior to age 60, for parents or siblings.
Not flying as a private pilot, or in aviation for two years before applying for policy.
An average, untreated blood pressure that should not exceed 150/90.
A cholesterol level that doesn’t exceed 260 and 250 for tobacco users.
A cholesterol / HDL ratio that doesn’t exceed 7 and 6 for tobacco users.
Weight should not exceed the company’s limits.
Life insurance risk rating…
You always consider various unforeseen risks while selecting a life insurance policy. But you hardly recognize that the insurance companies too behold us as risk factors, even though the intensity may vary from person to person….
Life insurance risk rating…
You always consider various unforeseen risks while selecting a life insurance policy. But you hardly recognize that the insurance companies too behold us as risk factors, even though the intensity may vary from person to person….
Life insurance risk rating…
You always consider various unforeseen risks while selecting a life insurance policy. But you hardly recognize that the insurance companies too behold us as risk factors, even though the intensity may vary from person to person….