Term Life Insurance: Summer Report: How Looking Better in a Swimsuit Helps Life Insurance Rates

July 24, 2007 | By: Matt | Comments (0) | Posted in: Life

Kirstie Alley’s well publicized weight loss culminated with a public appearance in a two-piece swimsuit on the Oprah Winfrey show. As people with the same disposition as Kirstie took measures to look and feel better in preparation for this year’s swimsuit season, they also took steps to improve their overall health. Body weight is one of the primary underwriting factors for life insurance premiums; therefore, if you’ve recently had weight loss success — even one belt-size — you may be missing out on savings.

When determining life insurance policy costs, carriers use a simple formula: “The more a person weighs, the more they pay.” Specifically, the formula begins with an individual’s proportion of body weight to their height, known also as their “physical build”. It’s no secret that the more a person weighs in relation to their height, the greater their risk for long-term health complications and a shortened lifespan.

Carriers use different health ratios to determine rates; therefore, shopping around may uncover potential savings and better coverage. At any time, you may request a medical examination to expedite the process. Your rates are locked in for the term of the policy, so the carrier cannot penalize you for any gained weight. If in fact, the medical examination determines that your health has improved, you should pursue lower rates.

To be considered for preferred life insurance rates, it is important to keep your height to weight ratio at or near the ideal range for your body type. If you already have a term life insurance policy, and you have recently lost weight and kept it off, be sure to notify your carrier. If your carrier fails to reward you with lower rates, it may be time for you to shop around for a policy that will.

The life insurance industry is rightfully concerned about the country’s growing waistline, as the longevity and health impacts of extra weight affect the cost of insuring consumers. Wishing for all consumers to have long and healthy lives, life insurance carriers are rewarding weight loss through lower policy premiums. Fortunately, a significant amount of the overweight population is on the threshold of earning those lower premiums and saving hundreds of dollars — if they simply make minor lifestyle adjustments.

Obesity is a serious problem for Americans, with causes that range from genetic predisposition and metabolism, to modern cultural and social pressures. The effects of obesity are more than just not feeling good in your bathing suit, but the possible serious health risks that come with it. Fortunately, many have the ability to overcome the challenge through simple dietary adjustments and lifestyle changes; others may require the direction of medical and nutritional experts for more serious health issues. At the finish line of a person’s weight loss goal, term life insurance carriers may reward you with substantially lower premiums.

 

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