3 Lifestyle Factors That Can Affect Your Life Insurance

Did you know that your lifestyle can affect life insurance premiums? Age is by far the biggest determinant, but there are a number of other factors that can affect how much you pay. Here are 3 common lifestyle factors that can boost the cost of your life insurance:

A Smoking Habit

Not only is smoking bad for your health, it’s also bad for your wallet. Most insurance companies charge much more to insure smokers – nearly four times more than what non-smokers pay in some states.[1] Fortunately, many insurance companies will lower rates after you quit smoking, so you might eventually qualify for non-smoker rates. Keep in mind that switching to a different source of nicotine, like patches or gums, usually won’t help since nicotine users typically still pay smoker rates. It’s also unwise to lie about a smoking habit. Not only is it going to turn up in a medical exam, but lying on an insurance application could be grounds to deny or challenge a claim.

A Bad Driving Record

Tickets, DUIs, and DWIs (Driving Under the Influence and Driving While Intoxicated) can have a serious effect on your ability to qualify for life insurance and may deny you the best rates. Speeding and drunk driving are high-risk behaviors that can make insurance companies wary of doing business with you. If you have a problematic driving record, be prepared to shop around and answer questions about your history.

A High-Risk Hobby or Profession

Do you enjoy skydiving or climbing high-altitude mountains? You could end up paying more for life insurance. Insurance companies worry that participants in high-risk activities might come to an early end and want to be compensated for the extra risk. If you work in a dangerous profession like logging, mining, fishing, or construction, you may also fall into a high-risk category.

If you’re concerned about how lifestyle risk factors may affect your ability to qualify for life insurance or get affordable premiums, it’s a good idea to work with a professional who can advocate for you and find a policy that works for your needs. If you have any questions about life insurance or risk factors, please give our office a call at (518) 581-1642.


Footnotes, Disclosures & Sources

Neither the named representative nor the named Broker dealer or Investment Advisor gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

We have not independently verified the information available through the following links. The links are provided to you as a matter of interest. We make no claim as to their accuracy or reliability.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

1.) https://www.nerdwallet.com/blog/insurance/life/life-insurance-savings-quitting-smoking/