Insurance Premium Saving Factors !

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Friends asks, how to save insurance premium? What are the way to save insurance premium? How I can save insurance premium? What are the factors that affect insurance premiums? Hope many of us always thinking about this. And always ask our Insurance Agent friends. 
A Lower premium paid can yield to a good amount of savings over a period of few years. Life insurance premiums are based on number of factors and it can be quite tedious for few people to understand. Like why insurance premium of  same same are not same? Why premium of same age & same amount not same? etc..
There are some factors that many insurance companies consider when pricing their policies. Those factors can effect your life insurance premium which not in our control but we can.
There are some factors listed below which affect our life insurance premiums are:

Insurance Premium Saving Factors.a) Age Factor: This is factor always affects insurance premium. If you are young the rates will be lower in comparison to someone older. The death possibility or contract to life threatening disease in younger individual are very low. The insurance companies believes that a young can pay many insurance premium installments before they have to write a cheque for your family.

b) Policy Type Factor: Different type of policy charges different types of life insurance premium for the same person for same tenure and same Sum Assured. It differs the bonus amount/ Loyalty Amount payable on that policy. Like Premium of New Jeevan Anand Policy and New Endowment Policy of 21 year old person for 20 years terms are differ.  

c) Policy Tenure Factor: The policy tenure also affects insurance premium. The longer the tenure of the policy the larger the amount of benefit at the time of death as well as lower premium amounts. Short term policy are more expensive than of long term insurance policy.

d) Rider Factors: Some policy offers riders on that particular policy. If someone opt this rider than its premium amount become higher than without rider. So when you opt it think about it.

e) Medical History Factor: Every person who like have an insurance policy need to provide their health records.These records ensures that you don't have any chronic diseases or potential health issues. This keeps a check on your premium amount.  
But if a person has medical history of serious illness like cancer, heart diseases or any other then that makes them susceptible to get these from a hereditary perspective. Which increases the individuals insurance premium by larger margin than.

f) Profession Factor: Your profession/job also plays an important role in the premium you pay for the policy you want to take. Any policy holder working in the mining industry, oil And gas, fisheries or any other dangerous profession increases the premium amount.

g) Hobby Factor: Many insurers have a higher premium for people who love to takes risks for the thrill of it, like speeding cars / car race, climbing treacherous mountains or participates in other high risks activities. Thereby increasing your premium to substantially more than other.

h) Drinking / Smoking: Insurance companies ensure to ask the applicant if they are smoker or drinker. Drinking or smoking is always injurious to health. So if you are a smoker / drinker that raises red flag to insurance companies. Mostly these kind of people pays double the insurance premium than that of non-smoker/drinker. So, avoid it.

i) Gender Factor: Insurance companies ask for your gender. This does not mean insurance companies are against gender equality, But they believes that there is a different life expectancy for different genders. As per studies and statistical findings, women are believed to live 5 years more than men at the minimum resource. Therefor affecting the premium they pay for a larger period of time but at lower rate which is a plus point for the women.
How these factors affect your insurance premium is depends on the insurance company policy about the way they treat these factors and the combination of them. Every insurance policy is based on each individual and premiums are calculated on the insurance company's rules of rating.

Consider these above factors to live a health life and save money.



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