The Finance Zone

 Life Assurance Policy Comparison

Once you have started to compare the costs of your new life assurance plan there are a number of factors you will need to be aware of.

Firstly the cost quoted may not be ‘cast in stone’ in that there is a good chance the actual life assurance premium will increase. Firstly if you add any options like waiver of premium benefit or critical illness protection you would expect the costs to increase inline with this extra cover.

There is a further problem your once cheap life insurance has now been through  the formal underwriting process and they have now increased the cost per month by 10% or more (which is usual) and you are wondering why.

It’s simple only the ‘best lives’ get the rate offered. In fact only those very unlikely to die early get the very best life insurance rates (the lowest premiums).

Let me outline some of the things that could be a factor in your life insurance costs increasing.

Health – either yours directly or something in your family. A history of heart disease for example can increase life insurance costs substantially. Other factors like poor circulation all have an impact on long term health, and therefore the likely chance of you leaving the planet early.  Life Insurance underwriters want to make sure of a profit.

Slightly overweight – likely to increase the costs. If you are too short for your weight (your BMI is higher) your insurance premiums will increase.

Occupation- Scaffolders, Deep Sea divers, War and Pestilence News Reporters, Motor Cycle couriers are a few that will face increased life insurance costs based on what they do however sometimes you will find insurers that are sympathetic. Contact your trade association or union before making a final decision to accept a life insurance policy that is substantially more than initially quoted.

My downloadable guide is here  Life Assurance Quote Guide