Purchasing life insurance can be a very big decision. And, depending on a lot of different factors, can possibly cost you more than you think.
This is especially true if you are overweight.
That’s why today I’m looking at how being overweight can affect your life insurance rates, negatively, in most cases. And I’m also sharing some of my favorite life insurance providers if you’re overweight and are otherwise frustrated with moving forward with a decision.
Let’s get started!
How does weight affect life insurance rates?
Your weight can affect your life insurance rates due to the fact that insurance companies use weight as an overall indicator of health.
Basically, they use the same ideology as health insurance companies and the BMI (Body Mass Index) scale to determine how healthy you are.
No surprises here, and like me, you probably already know that this system isn’t exactly accurate. Since BMI doesn’t take into account family history (genetics), bone density, and overall muscle mass. All of these things have a direct correlation to your health and your BMI.
Even with that information though, the life insurance companies will still adjust your rates based on your weight. Sad, but true.
One suggestion: attaining medically underwritten life insurance (which is when a life insurance company offers you a policy that takes into consideration pre-existing conditions) can help get you the best and most competitive rates.
Weight/age chart for life insurance premiums
Not only can your weight affect your life insurance premium, but your age can have an even larger impact.
I have created a chart to show you just how much difference in annual policy premiums there can be.
Keep in mind that these numbers are just proposed averages since numbers vary by company.
Why do rates fluctuate based on weight?
Since your weight can directly affect your life insurance premium, the rates can fluctuate.
Usually, life insurance companies will look at a long history of your weight to determine their rates. So if you have lost a lot of weight in the past year, but were statistically larger, your proposed premium rate will reflect that statistically higher weight.
If you already have life insurance but have maintained a lower weight for years after getting the policy, then you may want to consider looking back into it. You might qualify for lower rates since you have shown a history of a healthier weight.
What if you’re denied life insurance due to your weight?
If you are denied life insurance due to your weight, then you should check with another company. Most life insurance companies won’t deny you based on weight alone, but on a whole host of other life factors.
And just because one company denies you, doesn’t mean that other companies won’t be more than happy to have you. Acceptance or denial is all based on the insurance company’s underwriting department, and each company has a different set of rules.
So my advice: shop around.
How to get the best life insurance rates if you are overweight
In order to get the best life insurance rates if you’re overweight, you should ideally look for life insurance companies that acknowledge the complexity of weight for so many Americans today.
Let’s call a spade a spade: being overweight is as common as ever these days.
There are many places to find life insurance. A good place to start is with an independent agent if you have one. But if you’re like me and don’t have a personal agent, you can start with a few of my favorite companies to help you get started.
I’ve had great experiences with Bestow, and what I like the most about them is that you can obtain life insurance with no lab tests or medical exams required. You’ll answer questions about your health and lifestyle and input information about yourself, but the decision is made by algorithms that have been honed to assess risk.
To get started, you’ll input your gender, birthdate, height, weight, and state of residence. Bestow also asks upfront whether you use nicotine products. Within seconds of application, you’ll have a quote.
Bestow is a good pick in my book choice if you want to access to top-quality life insurance without the hassle of applying directly. All Bestow policies are backed by North American Company for Life and Health Insurance, with reinsurance issued by Munich Re.
Policygenius just happens to be one of those easy and convenient marketplaces for life insurance. In order to begin getting quotes, their process is pretty simple and straightforward.
Once you go to their homepage and choose the life insurance product, you will be taken to their life insurance portal.
The application process itself can take about 15 – 20 minutes, depending on if you choose the less support (computer assistance) option or the more support option (human and computer assistance). I can definitely say the application process is easy.
Once you complete the process, Policygenius will begin to show you the life insurance products you may qualify for. However, since they are a marketplace, you will then have to go to each individual insurer and finish the process. This can be a short or long process, depending on the insurer.
Overall, Policygenius is a great resource to shop for life insurance rates to use as a jumping-off point for both term and whole life policies.
LeapLife is a marketplace, just like Policygenius. However, instead of connecting you to hundreds of insurance companies, they connect you to 12 top-rated companies.
After you go through a series of questions, similar to Policygenius, LeapLife will give you the three best rates they find. These may all be from the same company or different companies. But, if you don’t like any of the top three options they have chosen for you, you can choose more options and see all of the rates, terms, and companies.
Since they primarily offer term insurance, if you are looking for any other product, you may be better off elsewhere. Otherwise, they are extremely competitive in the term arena and maybe one of the top options for you.
There are plenty of great places to get life insurance if you are overweight. It’s just knowing where and how to get started.
The biggest challenge is getting to know what options are available to you and how your weight is being factored into the price. Once you know that, you can move forward to get the most competitive life insurance plan so you can check that one very important item off your to-do list!