When you apply online for life insurance, you are shown an estimate of what you will pay for coverage. Our quoting tool takes many factors into consideration when calculating these estimated costs and is accurate 70 percent of time. There are hundreds of different medical conditions and lifestyle factors that can affect life insurance pricing. The quoting tool takes into consideration the most common of these factors. For those few applications that include a condition or factor that isn’t calculated into the quote, this could affect your pricing. Your Quotacy agent can help you though.
Your agent will review your application before sending it off to the insurance company and will catch any “issues” beforehand so we can suggest the best option for you to obtain affordable coverage. If you indicate something in your application (example: you note that you skydive as a hobby) that may cause the company you chose to come back with different premiums than your quote, we will contact you and let you know. We will also give you some options to consider.
Your agent will review your application before sending it off to the insurance company and will catch any “issues” beforehand so we can suggest the best option for you to obtain affordable coverage.
- Keep the insurance carrier you originally picked.
- Keep the insurance carrier you picked, but adjust the face amount or term length to bring down your premiums.
- Go with a different carrier that we believe will lean more favorably to your specific issue.
Let’s look at an example.
In her application, she admits she was charged with reckless driving 6 years ago. Her Quotacy agent contacts her to let her know that SBLI would likely not offer best class until after 7 years has passed, however Prudential would offer best class after 5 years. Her Quotacy agent then explains her three options:
- Stick with SBLI knowing SBLI would probably come back at the Standard class which means her premiums would go up to somewhere between $30-35 per month.
- Stick with SBLI, but drop her face amount from $500,000 to $250,000 so the Standard premium would still be about $19 per month.
- Switch to Prudential instead, knowing the chances of being approved at Preferred Plus (best class) are better.
The choice is completely up to Jane. Her Quotacy agent will proceed with whatever option she chooses and will keep her updated every step of the way.
When it comes to life insurance underwriting, your medical history and certain aspects of your lifestyle will come into play.
Some medical factors include:
- Sleep apnea
Some lifestyle factors include:
- Aviation (single-engine plane flying, for example)
- Foreign residency
- Drug and alcohol history
- Hang gliding
- Reckless driving
We want to assure you that when you apply, your information stays confidential and is only shared with those who need the information to determine your coverage eligibility. There are state and federal laws in place to protect applicant information.
Curious about how much life insurance may cost you? Try out our term life insurance quoting tool. It will give you an instant estimate – no contact information required. We’re in the business to make buying life insurance as simple as possible.
Photo credit to: NikolayFrolochkin
About the writer
Writer, Editor, and Co-host of Quotacy's Q&A Fridays
Natasha is the content manager and editor for Quotacy. She has been in the life insurance industry since 2010 and has been making life insurance easier to understand with her writing since 2014. When not at work, she's probably studying and working toward her Chartered Life Underwriter (CLU) designation while throwing a tennis ball for her pitbull mix, Emmett, or curled up on her couch watching Netflix. If it’s football season, the Packers game will be on. Connect with her on LinkedIn.