It can be hard to seriously think about the day you will no longer be here and your loved ones are left to mourn your loss. However, a life insurance policy can help you care for them after your passing. Choosing a policy can seem daunting because agencies have different conditions and rates. Here are the most common risk factors that an insurance provider will consider when determining your premium.

What Determines Your Life Insurance Premium?

1. Age & Gender

The younger you are, the lower your policy premium will be. Therefore, to lock in a better rate, individuals should consider enrolling early on in life. Women, on average, live five years longer than men, so their premiums are generally lower as well.

2. Personal & Family Health History

If you have a history of health issues like heart disease, diabetes, or cancer, your premium will be higher. Similarly, any family history of medical conditions, particularly those considered hereditary or resulting in premature death, will increase your rate.

Since smoking jeopardizes your health, this habit can also result in higher premiums. Alternatively, if you quit, it could lower your monthly payment.

Some providers offer no-exam policies, which do not include a physical or in-depth questioning about your history or health status, but these usually cost more.

3. Lifestyle

If your occupation is dangerous, your premium will increase. This may include professions in construction, logging, or aviation, among others. Thrill-seekers who enjoy skydiving or rock climbing might also face steeper costs.

Some insurance agencies also check your driving record, particularly the previous three to five years, for indications of high-risk behavior.

    Kirk Insurance Agency is a local, family-owned agency serving Spearman, TX. They offer home, auto, business, property, liability, farm, and life insurance policies at affordable rates. Most importantly, they handle and pay for claims quickly and courteously so you can take care of your loved ones. Visit their website or call (806) 659-2794 to discuss your insurance needs and options.