How Are Life Insurance Rates Determined?
Unlike medical rates which, for companies with less than 50 employees, are community based (everyone gets the same rates for a similar plan in a geographic location), rates for life insurance are based on the individual's age, gender, medical history, driving record, credit rating, travel plans, risk activities, parent/siblings longevity, etc.
Quotes will be, at best, an educated guess based upon the answers you give. Underwriters evaluate your risk factors and determine the price. Risk is categorized by underwriters as preferred plus, preferred, standard, various table ratings and uninsurable. Much of their decision is based upon what is reported by your doctors.
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