What are the factors that affect your Health Insurance premium?

Mar 05, 2018 | 2 years ago | Read Time: 2 minutes | By iKnowledge Team

Many factors affect your premium cost such as family history, tobacco use, pre-existing illnesses etc.

Two people of the same age, opting for the same health insurance plan may have to pay different premium amounts. Wondering why? Here are the reasons:

If you have a poor family medical history

You pay a higher premium if your family members have had high blood pressure, heart attacks or succumbed to cancer in the past. This is because you are more likely to be at health risk as compared to those with a relatively unblemished family medical history.  

If you consume tobacco or have consumed in the past

Since studies show that tobacco users are at a higher risk of cancer or other illnesses, insurers charge a higher premium for them. If you have quit using tobacco, you are still liable to pay a higher premium. This is because the effects of tobacco take time to go away and the risk of cancer persists.

If you have a pre-existing illness

Firstly, you’ll need to check if the insurer will provide you a health cover. If they do, it is likely to charge you a higher premium amount.

If you have a high Body Mass Index (BMI)

People with a high BMI are at more risk of suffering from heart problems, diabetes, arthritis and so on. A high BMI can also lead to pregnancy complications. Therefore, the premium amount is likely to be higher for them those who have a normal BMI.

If you have had insurance in the past

Insurance companies charge a higher rate of premium for those who haven’t been insured in the past.  Insurers assume that those buying insurance for the first time are more likely to have more health checkups as soon as they get a policy.

Depends on your gender

Women are more susceptible to chronic ailments and are more likely to visit doctors regularly. Women reportedly run up a higher medical healthcare bill in their lifetime when compared to men. This is why women pay a higher premium amount.

Depends on your age

The younger you are, the lower your premium is. This is generally because you may not be as susceptible to diseases when you are younger.

Depends on your work profile

You pay a higher premium if your work profile is risky. If your work is exposed to radiation, hazardous substances or chemicals or have a job with a high risk of injury.

You may be charged a higher premium if you have an extremely sedentary job as well. This is because sedentary jobs put you at a higher risk of cardiovascular diseases. 

Depends on where you stay

If the area that you stay in is more susceptible to climate issues, health issues and has low access to healthy food, you will be charged a higher premium.

Depends on your marital status

Although reasons for this are unknown, married couples usually have a longer lifespan and are generally healthier. So, if you are married, you pay a lower premium than those who are unmarried.


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