Insurability

When we say the word insurability, what do you think of? Not only is it an important life insurance term, it is also one of the biggest words in how you will be treated by life insurance. Your insurability is very important to the life insurance company you choose. Your insurability is how insurable the life insurance company sees you. Let’s talk about some things that can make you more insurable in the eyes of the insurance company, as well as some things that can make you less insurable. Always try to put your best foot forward and show the life insurance company that you are not a risk they will regret taking.

The Risk Factor

No matter what insurance you are dealing with, there will be a risk factor. With life insurance, you are the risk factor. Well, more specifically, your body is the risk factor. The life insurance company wants to offer you protection, but they do not want to pay out money often. This is why you need to show them you will be wise with their protection, but you are no risk of dying any time soon. The more of a risk they see you as, the more you will be charged. If you are seen as less of a risk, you will get better rates and possibly better coverage. It is important that you realize you are the risk factor, and all the choices you make within your life will contribute, in some way, to that risk. Time to take charge!

What Boosts Your Insurability?

A clean bill of health is one of the best ways to boost your insurability. If you can show the insurance company you are healthy, they will be happy and insure you. Exercising and eating right can help turn the tide in your favor. Another important aspect is youth. The best way to get good life insurance is by starting early. The younger you are the less you will have to pay. You probably do not need very much coverage now, but it is a good idea to have a strong reputation with your life insurance company as quickly as possible. Finally, if you were sick, that might have been driving up rates. If you get over that illness, let your insurance company know. In their eyes, no more illness equals no more risk.

What Boosts Your Risk?

Any type of major illness will really boost your risk factor. Yes, life insurance is suppose to help you in the event of your death, but the insurance company does not want you to be on your deathbed when you get insurance. If you have a major illness then you should expect to pay more. Also, if you start when you are older, your rates will start higher. You are more of a risk the older you get, please know that. The longer you have an illness, or the longer the insurance company thinks you have an illness, the more of a risk you become. That is why we previous said to remove any old illness from their memory. Finally, you become a major risk to them if you stop paying your monthly premiums. Risk does not only have to be with health, but you can also be a financial risk. If they think you are going to stop paying your bills, they can raise what they charge you, or they can drop you altogether.