When calculating your rates, insurance companies consider hundreds of factors before formulating a quote. For life insurance specifically, these factors include your age, health, weight, career, smoking habits and even your hobbies. Why would your hobbies affect life insurance rates? Because the things you frequently participate in directly affect both your health and life expectancy, which can sway the risk your pose to an insurer.
Try looking at it from and insurer’s point of view. A person in good health who lives a quiet, non-risky lifestyle is likely to live for a long time, over which they can continue paying premiums. On the flip side, an obese person with a family history of heart disease has a shorter life expectancy and may not be able to pay premiums for as many years as the former person. To make up for being a higher risk, insurance companies expect you to pay more for coverage. Essentially, the longer your life expectancy, the less you’re likely to pay for coverage.
How does this relate to hobbies? Let’s take a look at a few hobbies and habits that can impact your life insurance rates.
· Extreme sports: Someone who loves to go bungee jumping and skydiving faces the risk of injury and death much more frequently than someone who prefers to stay at home and sew quilts. With such risky hobbies, you are almost guaranteed to have higher life insurance rates.
· Rescuing Animals: While rescuing abandoned kittens may be a pretty tame hobby, rescuing undomesticated wildlife puts you at a greater risk due to the potential for bites, scratches, stings and other injuries. Your medical history and the frequency at which you put yourself in harm’s way may contribute to your life insurance rates.
· Smoking: It’s no secret that smoking can contribute to a multitude of life-threatening illnesses. If you smoke or use any tobacco products, don’t be surprised if you have to pay up to three times as much for life insurance as non-smokers. However, just one year after successfully quitting, you may be able to enjoy lower rates.
· Unhealthy eating: Obesity—which contributes to many illnesses—is never far behind unhealthy eating habits. A person in poor health will pay more for coverage than a person with a great bill of health. The flip side is that if you make efforts to improve your health and can get documented proof from your doctor, you may be able to reduce your rates.
Will your hobby affect your life insurance rates? Contact your independent insurance agent to find out.
Get a free quote today. Call Alan Galvez Insurance at (937) 592-4871 for more information on Ohio life insurance.