How Your Health Affects Life Insurance Rates of Your Children

Insurance Carriers

I am sure you have heard the expression, ‘the early bird catches the worm’ but I bet you haven’t thought how it might apply to life insurance. Well read on to learn more……..

Did you know that some of the questions an insurance carrier asks of an applicant have nothing at all to do with the applicant’s health? They are called family history questions. They can and do play a role in determining what an applicant’s premium rate will be.

Why do I bring this up?

I have a friend who told me the following story and it was compelling enough for me to want to share it with you. Her 25 year old son is now applying for life insurance for the first time on his own life. He’s recently married and they are expecting their first child. He has decided it’s time to get some life insurance. He is in excellent personal health and lives a healthy life style. When he reviewed the health guidelines associated with premium rates, he felt he qualified for a preferred premium rate. He was very surprised to receive only a standard premium rate offer. It turns out, because his dad passed away at the age of 56, due to a heart attack, that family history affected his premium rate.

That got me to thinking, if the family medical history of your parents and siblings plays such a big part in determining your health class rating and premium, it makes a whole lot of sense to purchase life insurance on your children when you are still young and healthy. Hence my reference to the ‘early bird catches the worm’. The younger and healthier you are, the better the family medical history will be for your children’s health class rating.

All carriers view family history differently. There is no single formula used by all carriers to determine premium rates when underwriting applications. It is not an exact science. Some may place greater weight on family history while others place less weight.

About the author:  Michele Cleary has been in the business for over 35 years and holds a CLTC designation. She believes that life insurance can give you and your family peace of mind, especially when you have other things to worry about. Michele now has 4 grown children and knows that proper planning is essential. You can reach her at 1-800-651-1953 or