5 Ways to Deny Yourself Cheap Term Life Insurance

Term life insurance has always been a competitive alternative to whole life insurance. However, a major drawback was the relatively short terms covered by term life insurance, usually 10 years or so. But changes in the term life insurance industry, including more sophisticated financial modeling, mean that term life insurance is available for much longer times now--often up to 30 years--and is cheaper than ever. But you can deny yourself this cheap term life insurance in a number of ways. The following information shows five things you can do to miss out on the improved options in cheap term life insurance.

Be a Smoker

Premiums for all insurance--including term life insurance--are based on the risk the insurance company believes you pose. The shorter your life expectancy based on intricate actuarial tables for your age and gender, the higher your term life insurance premiums will be. The insurance industry estimates your life expectancy to be about seven years shorter if you are a smoker. That fact will be reflected in the cost of your insurance, and as a smoker you will not get the cheap term life insurance rates.

Be Overweight

If you’re carrying about 10 pounds over the recommended weight for someone of your age, height and gender, it is unlikely to affect your term life insurance rates. However, if you are considered obese based on your Body Mass Index, or BMI, the insurer considers you to be at greater risk of other diseases. Insurers are quick to point to a relationship between obese people and coronary disease and type 2 diabetes, to name just two conditions. Being morbidly overweight will deny you cheap term life insurance.

Have a Specific Health Condition

Again, the cheap term life insurance rates are available to those who pose the least risk of dying. If you have one of a number of medical conditions, you will not get the cheapest term life insurance. The top five conditions are high blood pressure, high cholesterol, depression, asthma and type 2 diabetes.

Have a Dangerous Job or Hobby

Since the premium you pay for term life insurance--or whether you can get term life insurance at all--is related to the risk you pose for collecting on the policy during its term, not only your health but also the nature of your occupation or hobby can affect you. Certain occupations, such as pilot or scuba diver, are considered more dangerous. A hobby such as skydiving can get you disqualified for cheap term life insurance. And some jobs, such as serving in the military, might not disqualify you except at certain times, as when you are serving in a designated combat zone.

Falsify an Application

Knowing what insurance companies are looking for means you can omit information on an application that would raise your rates. This is particularly possible in a competitive term life insurance market when some insurers offer policies without a physical exam. However, if the cause of your death can be shown to result from a condition you claimed not to have, you will not collect on your term life insurance policy.


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