• Top 10 Factors Affecting Life Insurance Premium Costs

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    A great way to help and protect your loved ones, is with Life Insurance which can be a huge investment as well. A lower premium paid can yield to a good amount of savings over a period of few years. Life insurance premiums are based on a number of factors, and it can be quite tedious for a few people to understand why and what the charges are, and why they pay a rate that may not be the same as another. There are some factors that many insurance companies consider when pricing their policies, there factor may not be within your control. But the life choices you make, can also lead to the factors that can affect your Life Insurance premium.

    The factors that affect your premium towards Life Insurance are:

    1. Age: This is an obvious and not surprising factor that affects your Life Insurance premium, the age of the policyholder. If you’re young the rates will be lower in comparison to someone older. The possibility of a young individual contracting a life threatening disease or to pass away in their youth is very unlikely. The insurance companies believe that you’ll make many premium payments before they have to write a cheque for your family.
    2. Gender: Insurance companies aren’t against gender equality, but they believe there is a different life expectancy for different genders. As per the studies and statistical findings, women are believed to live 5 years more than men at the minimum. Therefore affecting the premium they pay, making them pay the premium for a larger period of time but at lower rate which is a plus point for the women.
    3. Smoking: Smoking puts the policyholders at higher risk of all ailments, so if you’re a smoker that that’s as good as raising a red flag to the insurance companies. Most smokers pay a premium twice as much as non - smoker does, thus affecting the premium to a huge extent.
    4. Medical history: There’s isn’t much one can do with the gene pool they come from. If a policyholder has a medical history of serious illnesses like cancer, heart diseases, or any other, then that makes them susceptible to get these from a hereditary perspective. Which increases the individual’s premium by a larger margin than if their gene pool wasn’t.
    5. Health records: You as the policyholder will also need to provide your own health records. These records will ensure that you don’t have any chronic diseases or potential health issues and keep your premium also in check instead of making a difference to it.
    6. Drinking: Drinking of alcohol is injurious to health in more ways than one. If you as the policyholder are a heavy consumer of alcohol this can affect your premium at higher insurance rates. Insurance companies ensure to ask the applicant if they are smokers or drinkers.
    7. The Policy: The policy itself also affects the premium you pay, the longer the tenure of the policy the larger the amount of the benefit at the time of death, since you’re paying it for that period of time. Short term policies are more expensive that long term.
    8. Profession: Your profession also plays an important role in the premium you end up paying, any policyholder working in the mining industry, oil and gas, fisheries or any other dangerous profession increases the premium amounts you pay for the policy you decide to take.
    9. Lifestyles choices: Many insurers have a higher premium for people who love to takes risks for the thrill of it. Like speeding cars, climbing treacherous mountains or other high risk activities. Thereby increasing your premium to substantially more than other.
    10. Obesity: Obesity is another factor that affects your premium as a policyholder, being obese can lead to a number of health problems like Osteoarthritis, High Blood Pressure, Cancer, Stroke, Coronary Heart Disease, causing overall health problems in the future and also increases your rates.

    How these factors affect your rates of premium is dependent on the insurance company and the way they treat these factors and the combination of them. For example: having a history of cancer in your family and still being a smoker can affect your rate in more than one way or being obese and having a history of heart disease also affects your rates of premium. Every insurance policy is based on each individual and premiums are calculated on the insurance company's rules of rating.

    Top factors affecting life insurance premium

    Top 10 Factors Affecting Life Insurance Premium Reviews

  • Page 1 of 50 1 2 3 4 5
    • Max Life Insurance
      "Good Service"
      0.5 5.0/5 "Blown Away!"
      I've been using the Life insurance policy from the Max Life. I pay a premium of 25000 per years, They got connection with the Axis bank so I pay the premium via ECS and the premium amount gets auto debited from the account.
      Was this review helpful? 0
      , mumbai
      Reviewed on Jun 12, 2018
    • LIC Life Insurance
      "Good Policy"
      0.5 4.0/5 "Great!"
      I have a life insurance policy with LIC from last 3 years and it is a long term policy. I am happy with the returns and tax benefits of this policy. I pay my premium once in a year through net banking and i am convenient with the payment options. The maturity period for this policy is 20 years.
      Was this review helpful? 0
      , bangalore
      Reviewed on Jun 11, 2018
    • LIC Life Insurance
      "Good Service"
      0.5 5.0/5 "Blown Away!"
      I've a life insurance policy with the LIC. I am paying a premium of 1900 per every 6 months. The tenure of the policy is 20 Years. The sum assured is 1 lakh and I make payments at the LIC branches, the branch staff are really friendly.
      Was this review helpful? 0
      , mumbai
      Reviewed on Jun 11, 2018
    • LIC Life Insurance
      "Good Service"
      0.5 4.0/5 "Great!"
      I've been using the Life insurance policy from LIC . I pay a premium of 5000 per Year. LIC's online platform for payments is pretty much convenient. Overall their services are good and I never had any issues related to their policy and their services.
      Was this review helpful? 0
      , mumbai
      Reviewed on Jun 09, 2018
    • LIC Life Insurance
      "Average Service"
      0.5 3.0/5 "Satisfactory"
      I've few life insurance policies with the LIC. I pay a premium of 35000 per annum, it is easy to make payments via the LIC website. I never had any issues with their services. Overall their services are just average.
      Was this review helpful? 0
      , kolkata
      Reviewed on Jun 08, 2018
    • HDFC Life Life Insurance
      "Good Service"
      0.5 4.0/5 "Great!"
      I've a life insurance policy with the HDFC life. I pay a premium of 9000 Per annum, the tenure of the policy is 30 years and I never faced any issues with their services. Overall it is a recommendable policy to have.
      Was this review helpful? 0
      , kolkata
      Reviewed on Jun 08, 2018
    • LIC Life Insurance
      "Good Policy"
      0.5 4.0/5 "Great!"
      I hold a life insurance policy with LIC from last 4-5 years and it is a long term policy. I am happy with the coverage and returns of this policy. I pay my premium once in a year and i am convenient with the payment options. The maturity period for this policy is 20 years.
      Was this review helpful? 0
      , bangalore
      Reviewed on Jun 08, 2018
    • LIC Life Insurance
      "Best policy"
      0.5 5.0/5 "Blown Away!"
      I have taken life insurance jeevan policy from the life insurance corporation of India . I pay the premium amount quarterly which gets auto debited from my account . The policy coverage till 6o years with accidental benefits and critical illness . They gave the tenure period of 19 years and am satisfied with the premium amount.
      Was this review helpful? 0
      , kolkata
      Reviewed on Jun 08, 2018
    • LIC Life Insurance
      "Good Policy"
      0.5 4.0/5 "Great!"
      I hold a LIC Policy from last 6-7 years and it is a long term policy. I am happy with the coverage and returns of this insurance policy. I will also get good tax benefits in this policy. The name of the policy is Jeevan Anand so i pay my premium once in 6 months by cheque. The maturity period for this loan is 20 years.
      Was this review helpful? 0
      , secunderabad
      Reviewed on Jun 08, 2018
    • LIC Life Insurance
      "Good Policy"
      0.5 4.0/5 "Great!"
      I have a life insurance policy with LIC from last 5 years and it is a long term policy. The tenure of this life insurance policy is 15 years. I pay my premium once in 3 months by cash and i am convenient with the payment options. I am happy with the coverage and returns of this policy.
      Was this review helpful? 0
      , mumbai
      Reviewed on Jun 08, 2018
    • Future Generali Life Life Insurance
      "Good Service"
      0.5 3.0/5 "Satisfactory"
      I've bought two policies from Future Generali. I pay a premium of 12000 year. This was also suggested by one of my colleague. I never had any issues with their services. Overall it has been a good experience.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Jun 07, 2018
    • Kotak Life Life Insurance
      "Good Service"
      0.5 3.5/5 "Pretty good"
      I've been using the life insurance policy from Kotak Mahindra . I pay a premium of 70000 per annum. The main objective of this policy is to save on taxes. I never had any issues with their services. Overall it has been a good experience.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Jun 07, 2018
    • Max Life Insurance
      "Good Service"
      0.5 3.0/5 "Satisfactory"
      I've a life insurance policy from the Max Life. I pay premium of 12000 per annum, I chose this policy for tax savings purposes and after the tenure they will be paying a lump sum payout of 1 crore. Overall the features and benefits of the policy is good.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Jun 07, 2018
    • SBI Life Life Insurance
      "Good insurance for life"
      0.5 4.0/5 "Great!"
      I have the life insurance policy with the SBI life and I am holding it from the last one year of time. Customer service is good one with them and the response is also good one too. Premium amount is nominal one for me with them.
      Was this review helpful? 0
      , coimbatore
      Reviewed on Jun 07, 2018
    • LIC Life Insurance
      "Good Policy"
      0.5 4.0/5 "Great!"
      I have a life insurance policy with LIC from last 6 years and it is a long term policy. The tenure period for this policy is for 25 years. The policy name is Jeevan anand and i pay my premium on monthly basis through ECS and i am convenient with the payment options. I am satisfied with the returns of this policy.
      Was this review helpful? 0
      , bangalore
      Reviewed on Jun 06, 2018
    • HDFC Life Life Insurance
      "Good Service"
      0.5 4.0/5 "Great!"
      I was using the HDFC Ergo life insurance policy for . I paid a premium of 1500 year, I closed the policy. I made the payments online. As there was no benefit I closed this policy. Overall I never faced any issue with their services.
      Was this review helpful? 0
      , pune
      Reviewed on Jun 06, 2018
    • HDFC Life Life Insurance
      "Good Service"
      0.5 4.0/5 "Great!"
      I've a life insurance policy from HDFC Life. I pay a premium of 2000 Per month, payments are online. This policy have any commendable features. The sum assured is 2 lacs. I never faced any issues with the payments and the policy.
      Was this review helpful? 0
      , lucknow
      Reviewed on Jun 06, 2018
    • Aviva Life Insurance
      "Policy is good but the premium is high"
      0.5 5.0/5 "Blown Away!"
      Aviva term insurance coverage upto the age of 50. I used to make the payment through net banking. Last year onwards i register my credit card to auto debit the money from my card. I have taken this policy in the year of 2012. I'm paying the annual premium of Rs. 19900. Sum assured amount of Rs. 50 Lakhs.
      Was this review helpful? 0
      , madurai
      Reviewed on Jun 06, 2018
    • ICICI Prudential Life Insurance
      "Claim settlement ratio is good in ICICI"
      0.5 5.0/5 "Blown Away!"
      The coverage is good. Actually I'm having four policies. Two for kids and 1 for me and my wife. I have a Term insurance policy on my time. I used to pay Rs. 16000 per year. I have to this term insurance for 35 years. The premium and policy will get covered upto 75 years. Total sum assured amount is 75 Lakhs. I nominated my wife as nominee. This policy covers critical illness.
      Was this review helpful? 0
      , madurai
      Reviewed on Jun 06, 2018
    • LIC Life Insurance
      "Good Service"
      0.5 5.0/5 "Blown Away!"
      I have a life insurance policy with the LIC. I pay a premium of 9700 per year. The payment options are pretty much convenient with the LIC. The customer support and the branch staff are always welcoming. I never had any issues with their services.
      Was this review helpful? 0
      , kolkata
      Reviewed on Jun 05, 2018
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