Life insurance health ratings are levels used by life insurance companies to determine what rate will be used to calculate your premium. The ratings generally fall into four classes: Preferred Plus, Preferred, Standard Plus, and Standard. Your individual health rating is how healthy your life insurance company deems you are, based on their actuarial tables.
You can hope to get either a Standard or a Preferred Health Rating. The higher your health rating, the better the deal. Obviously, you will get lower premium costs, the better your rating.
With a high health rating, you will also potentially get more coverage on your policy. But it really varies. Every situation is different. The best way to find out about your rating is to talk with your agent. Tell them all about your health concerns, and ask them for details regarding your health rating. Also, ask them what kind of cost they expect you to incur. Simply have that heart-to-heart conversation with your agent. They should take good care of you and guide you in detail.
It’s important to understand the differences between Whole Life Insurance vs Term Life Insurance. Term Life lasts a certain amount of time; typically 10,15,20,25 or 30 years – depending on what your current age is. Usually to a maximum age of 80 or 85, depending on the insurance company you qualify for.
Whole life, on the other hand, lasts your whole life. It never expired and the price never changes. It can accumulate a cash value that you can use as a “loan” to yourself or more commonly it is used to make the payments on your behalf so you don’t have to later down the line.
Term Life Insurance is a simple issued application and depending on the amount you are applying for it will not require you to complete a “paramed” such as a blood or urine test.
The most exciting benefit of Term Life Insurance is the Return of Premium. Click the button below to see if you qualify for Return of Premium Life Insurance.
Hopefully, this answer has guided you a bit about health ratings with life insurance policies. If you would prefer a more detailed answer please give us a call.
If you are located in the Cottonwood, Sedona, Flagstaff or Prescott area and are looking for more information on affordable Life Insurance please don’t hesitate to contact us.
Use the links below or call us directly at (928) 323-0933.