Save Up on Premiums: factors that affect Your Critical Illness Insurance premiums

When an insurance company underwrites a critical illness insurance application, there are several factors that they look into to determine the level of risk you present. They will base the premiums on that risk.

Remember, insurance is about covering a risk (at least, from the insurance company’s point of view). In this case, the insurance company would like to evaluate the risk of your being diagnosed with a critical illness. The higher the risk of your getting a critical illness, the higher your premiums will be.

It will do good to look at the different factors that the insurance company will consider so that it can give you an idea on how to save up on premiums. Here they are:

Age. The younger you are, the cheaper your policy will be.
Some of the critical illnesses are more common for older ages. Usually, insurance companies will issue the policy if you are between the age of 18 to 60.
Health condition. The insurance company will check whether you already have pre-existing conditions.
Some crucial conditions that could result in a higher premium class would be if you already have hypertension or diabetes. These conditions can later worsen and can cause the critical illnesses being covered, such as the need for a major organ transplant, a heart attack or stroke or kidney failure requiring dialysis. The insurance company may also look at your family’s health history to see which illnesses you may be particularly prone to.
If you are in good health condition, then you may be issued a standard policy, which will charge standard premiums. If you already have a pre-existing condition, then you may be charged with higher premiums.
Lifestyle. This includes whether you are smoking or exercising regularly.
Level of coverage and additional benefits. Of course, the higher the coverage, the higher your premiums and if you opt for more benefits, this will naturally mean higher premiums.
When thinking about how much coverage you should get, you should look at your credit card payables, mortgage payments and monthly debts – and the coverage should provide for at least three-fourths of these debts for the next five years after you are diagnosed with a critical illness.

Another way you can save up on premiums is to consider getting the critical illness cover together with your life insurance policy. You can also shop around to get quotes so that you can have the best deal.

Cover Details
Type of Insurance
Type of cover
Over what period?
Amount of cover
Type of premium
Personal Details
Title
First Name
Last Name
Date of birth
Do you smoke?	No Yes
Email address
Home phone
Work phone
Mobile Phone
Is this a joint application?	No Yes
App. 2: Title
App. 2: First Name
App. 2: Last Name
App. 2: Date of birth
App. 2: Do you smoke?	No Yes
House Number
House/Flat name
Street
Area
Town
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