Age, health history, and income are also considered when you apply for life insurance. Claiming any of the above activities while you’re young could help you save on those hobbies when you’re older.
Your health is more than how much you move and what you do or don’t eat. It’s a statement that seems simple enough but becomes confusing when applying for things such as health or life insurance.
Applying for insurance can feel like a gamble. We tend to insert what we think is the better version of the truth and roll the dice to see what we get.
You don’t have to go into the application process blind. Balance your insurance applications by knowing what insurers look for to help you get cheaper and more accurate insurance policies.
What questions are asked on a life insurance application?
Whether you are applying for a universal, whole, term, or temporary life insurance, you’ll probably be asked a lot of questions about your hobbies and interests.
Asking how you spend your free time isn’t just for casual conversation. The reason for the parental-like invasion is to measure your life’s overall risk factor.
Because the purpose of life insurance is to provide financial support in the event of death, in the eyes of a life insurance agent, human life isn’t priceless. For the sake of continuous operation, estimating someone’s potential cost merely is business.
If you have a pretty clean bill of health but are still receiving high premium rates, your extracurricular activities could be the reason why.
What activities raise life insurance rates?
Though you should never lie on your application, you should be aware of what activities will boost or lower your rates. Some interests you have may seem like healthy living hobbies, but what’s authorized by your primary physician may not be approved by your life insurance agent.
A list of everyday activities and traits that are red flags on life insurance applications is:
- Smoking or being in smoky atmospheres
- Drug use
- Excessive drinking
- DUI or evidence of a poor driving history
- Being overweight
- Owning exotic pets
- Traveling to high-risk countries
Even Carole Baskin of “Tiger King” couldn’t get around these life insurance boosters. Whether for work or play, all of these activities are risky when done habitually. Most of these you probably could’ve guessed, but here are some active lifestyle activities that make life insurers cringe.
- Triathlon/marathon runners
- Contact sports
- Parkour
- Rock climbing
- Mountain biking
- Martial arts
- Boxing
- Backcountry skiing
- Scuba diving
- Surfing
- Skydiving
Healthy hobbies being what can up your insurance rate is confusing, so let’s simplify.
Just because hobbies like running a marathon are associated with healthy living doesn’t show insurers that you’ll live any longer than a non-active person. In fact, when life insurance companies receive medical reports, a person’s BMI doesn’t tell the difference between muscle and fat.
Athletes who regularly incorporate training for triathlons or any activity that requires excessive strength and endurance tend to see higher rates than those who don’t. When it comes to getting a low health insurance rate, those who keep a regulated fitness routine but take breaks from running or other hobbies get quoted lower premiums.
Choosing daring fitness activities isn’t the only thing that will get you on the dark side of insurance rates. If you’re someone who loves to feel fast and furious, your wallet might be the red light to your fun.
Here is a list of a few other hobbies to be aware of that may run up your life insurance rates anywhere from an additional $300 to $4,000:
- Motorcycling
- Street racing
- Piloting
- White water rafting
- Extreme boating
- Hunting
Not all hobbies that affect insurance are active. Surprisingly, a few interests that may cause a rise in premiums also include:
- Stock trading, including Bitcoin transactions
- Poker/gambling
- Sports betting
None of these activities sound dangerous. However, these activities’ influence on the suicide rate makes them considerably high-risk with high premiums on their minds. It’s no wonder why serious poker players often play in silence.
Will my life insurance go up if I’m a risk taker?
Doing an adventurous activity once or even seldomly won’t be enough to jack up your rates. Life insurance agents are only taking these hobbies into account when an applicant indicates that their lifestyle has them participating on a consistent basis.
Overall, just because these activities are seen as high risk by insurers does not mean you should avoid them entirely. Life insurance isn’t around to stop you from living it, but living on the edge does come at a cost.
With proper life insurance, at least your loved ones won’t also have to pay.
What activities don’t raise life insurance rates?
It’s not all bad. There are plenty of hobbies that are treated like gold stars on life insurance applications. Anything that reduces stress and is associated with safety is good to mention on your application.
A list of hobbies that could help keep your rates low is:
- Yoga and meditation
- Reading
- Writing
- Playing / making music
- Painting
- Photography
- Film
- Cooking
- Gardening
- Fashion design
You should never lie about your interests or lifestyle, but mentioning a few of the above could potentially help keep your premiums on the lower end. In addition to this list, you shouldn’t forget to notify or reapply to your insurance company anytime you have a lifestyle change.
- Change of job position
- Sober living/quitting smoking
- Significant weight loss
- Moving somewhere with lower crime rates
- Taking a break from extreme activities
As life changes, so may our life insurance policy and premiums. The older we get, the less reckless we tend to be, and the more humble our hobbies turn, meaning one policy won’t fit all the phases we go through.
Why you should invest in life insurance
Even if you think you won’t be approved, it doesn’t hurt to try. And, starting earlier is always better than trying when you’re older. With different coverage options available, you can start small with your life insurance and build on to it as you plan for your future and invest in your family.
Age, health history, and income are also considered when you apply for life insurance. Claiming any of the above activities while you’re young could help you save on those hobbies when you’re older.
Experience level is also a factor when it comes down to final quotations, so paying a little extra now could save you thousands of dollars later.
Insure your life to better enjoy your life.
Danielle Beck-Hunter writes and researches for the life insurance comparison site, QuickQuote.com. Danielle is an insurance expert that advocates for millennial insurance education and coverage.
