companies, on the basis of industry mortality figures, historically
provide lower life insurance premiums for both females and non-smokers.
Our survey of the lowest preferred (non-smoker) rates available
this month shows that for $250,000 of 10 year term insurance,
the premium for a 35 year old female would be $130.00/yr or
$11.70/mth. For a male the same age, the premium is higher at
$155.00/yr or 13.95/mth. By adding 10 years to the age group,
we note the premium jumps to $215/yr or $19.35/mth for a 45
year old female and $262/yr or $22.97/mth for a male.
premiums rise further for those in the 55 age bracket. A female
would pay $400.00/yr or $36.00/mth while a male would have
to fork over $572.00/yr or $51.53/mth.
the amount of the insurance coverage is reduced to $100,000
we note there is a reduction in the premium of approximately
$30 to $45 per annum for the 35 year old age group depending
on the sex. Premium reductions are also evident for the other
age groups reflecting the lower coverage and subsequent risk
to the insurer.
One caveat with this type of renewable term insurance is that
the renewal premiums (when the original or subsequent term
expires) can be dramatically higher. If your need for the
insurance coverage will last beyond the original term make
sure you are aware of the amount of the renewal premiums so
you can make an informed decision at the outset.
It's normal that the cost of insurance will go up as you get
older and as the risk to the insurer increases. Your premiums
will reflect this change. However, as a backdrop, an insurer's
current pricing policies for any age group will reflect its
experience with mortality, investment returns and expenses.
Since insurers in many cases have recently enjoyed reduced
expenses and mortality claims, they have been able to reduce
their premiums. If you have a policy that is several years
old you may wish to compare the cost of your insurance coverage
with what is currently available. It's not unreasonable to
find more overall coverage for that same dollar of premium.
Pleae Note: Never cancel any insurance policy, for coverage
you require, until a replacement policy is in force.
- More information
on life insurance
- Review our current survey
- Perform an on-line sample
life insurance quote