How much you pay for a life insurance policy is primarily dependent on the following:
• Your age at the time of purchasing the policy. Typically premiums or the cost of insurance increases with the age of the individual at the time of purchasing the policy
• Your health condition and family history at the time of purchasing the policy. Life insurance companies evaluate your medical history and current health status through medical questionnaires and / or medical examinations that help determine the associated risk to your health and life. If the evaluation indicates a higher degree or existing or potential risk, then the premiums could be higher.
• Premiums could also depend on your lifestyle and occupation which could again indicate an underlying degree of risk associated with your life. For e.g. insurance companies may charge a higher premium for people who actively participate in Skydiving activities.
Different insurance companies have different methodologies to price risk taking into account the above parameters and not surprisingly one would invariably find a wide range of products available with a wide range of premiums. Click here to compare best life insurance products from leading life insurance companies in India across various life stage needs.