Term Life Insurance Rates and Hazardous Sports
Many Americans today have a sport that they enjoy playing to have fun or get some well needed exercise to improve their overall health which is very important. Some people love to play golf, tennis, lift weights and many other excellent choices to let off steam and unwind especially in a high stress society. No matter how you look at it, being active in your favorite sport is definitely good for your health and mental frame of mind.
Term life insurance rates can be affected by sports which are considered by the life insurance industry to be dangerous or hazardous.
Sometimes people have sports that are considered dangerous or hazardous which can change the end result of an application for life insurance. Some of these sports could be Scuba Diving, Sky Diving, Bungee Cord Jumping, Motorcycle Racing, Drag Racing, Boat Racing, Stock Car Racing, Private Airplane and Helicopter flying etc.
Many of these sports can in reality be very safe with the proper training experience level and the use of common sense. Regardless of you or I think about a given sport the final determination if it is to be considered a “hazardous” sport will rest with the life insurance companies. Term life insurance rates and hazardous sports are one of the high risk types of life insurance we specialize in.
Comparing life insurance quotes when involved in a hazardous sport should be left to an experienced life insurance agent.
If you are reviewing Term life insurance quotes online on a quote engine and you are involved in one of these sports mentioned above, keep in mind that the actual premium could very easily change rendering the life insurance quotes you were looking at are not going to be accurate. Think of a dangerous sport as a pre-existing medical condition when you are trying to analyze what a projected premium may be.
Your sport and a medical condition will be very similar when looking at them on an application. These two categories can change the end premium and have an impact on what life insurance company you are going to need to apply with. This is a form of high risk life insurance even though there are no serious medical conditions involved.
Many life insurance companies will use a hazardous sports questionnaire to be used as a supplement to the standard application.
All life insurance companies underwrite differently and have different criteria that they follow. This is why it is crucial to be able to have a large selection of companies to choose from. This wide choice will give you the opportunity to find the right company for your needs as an applicant. Naturally when you are going to apply for life insurance you are not going to want to pay any more than you have too in the form of your premium payment. Experienced life insurance agents will know how to shop the market to get you the lowest premium possible. We utilize over 40 of the most trusted life insurance companies in the business.
Drag racing, Motorcycle, Boat and Stock car racing is high on the list of high risk hazardous sports.
Approximately 20 years ago I had my first case with a hazardous sport which in this case was Drag Racing. I was surprised to see how the companies knew much more about the different classifications of the sport. It was broken down into fuel classes starting with gasoline then alcohol and then finally nitro methane fuel as the highest rated class for danger to the driver who in this case was the applicant.
I was definitely surprised how the life insurance industry had done their homework which was a smart move on their part. This can also help to get an applicant a lower rate especially if he is involved in a milder version of the sport.
A life insurance premium rate up is used to set the premium to the added risk the life insurance company is taking on.
Normally the carrier will apply a “rate up” which means an additional cost added on to each $1,000 worth of life insurance coverage. For example this could mean an additional 25 cents per every thousand dollars of coverage which would break down to an extra $25.00 added on to the normal premium. As the risk factor increases the rate up will increase accordingly. Many times I have seen the final outcome to still be very affordable for the insured to pay.
You can usually secure affordable Term life insurance with or without a hazardous sport. Again, this revolves around locating the company that is the most liberal in the underwriting department for your specific sport.
If you are interested in purchasing life insurance and you have a hazardous sport call us today and we can help find the lowest life insurance premiums possible.
Feel free to contact us 7 days a week for answers to your questions with no obligation what so ever. We can conduct a free pre-screen for you and give you an accurate projection on what company would be the most applicable and what the estimated premium would be to eliminate any unwanted surprises later. Finding a great life insurance plan with an affordable premium should always be a simple process.