5 Factors Affecting Your Life Insurance Premiums

Life insurance is a major investment but it is one that could protect your family and loved ones. When shopping around for policies most people are looking for the most coverage for the lowest price. Comparing life insurance is a great way to get an idea of the rates you will be charged as well as the factors that play into a policy affecting the quotes you will get from various companies. Some of these factors are out of your control, but some can be remedied by making simple changes to your lifestyle. Here is our list of 5 factors affecting your life insurance premiums.


Age is the number 1 factor determining your life insurance rate. It not only dictates the price of your policy, it is also a factor that determines how much coverage you can get. This is why younger people get better insurance rates. They are less or a risk to insurers. Though your age is out of your control, you can decide when to buy a life insurance. It is best to buy it when you are young and healthy. The more time you let pass, the more time you are putting yourself and your loved ones at risk. It is best to take out the insurance before you become ill or develop a condition that will greatly affect your ability to get good and affordable coverage.


No insurance policies or medications are created equal. A poor match between insurance companies and your prescribed medications could lead to outrageously expensive insurance premiums for you. Insurance companies focus on numbers and people’s likely lifespans. Medications are often deciding factors in insurance premiums because they can affect your health and lifespan just like illnesses and medical conditions do. Some medication even calls for an immediate denial of coverage through a company.

Health History

Before you are able to purchase life insurance through any company, you will be questioned about your physical and mental health history. The rule of thumb is, the healthier you are, then the cheaper your premiums will be. Insurers will want to know everything from your weight, cholesterol levels, and blood pressure to your mental health history and whether you are a smoker. Your overall health will affect the costs of your premiums. Individual health is always changing. For example, if you were a smoker and were able to quit for a significant amount of time, your company may lower your premiums. This is why it is always a good idea to compare life insurance each renewal.

It’s also important to note if your health drastically declines while you have life insurance you have the option to sell your policy for cash.


Your job or career establishes a level or risk to insurers. Some professions are much riskier than others. Occupations that come with higher risk of injury or death also come with higher premium costs. If your job puts you at risk of slips and falls, transportation incidents, or violence caused by people or animals, you will want to get quotes from different companies to see who can provide you with the best rates.

Family’s Health History

Life insurance companies care about risk. Your overall health and the likeliness of your lifespan are factors dictating that risk. Even if you don’t have any current health problems, a family history of disease, especially hereditary diseases, may contribute to your life insurance premium and increase your coverage cost.