Insurance Rates. So here's the deal with life insurance. Basically, the life insurance company is gambling on you (so it's appropriate we're in New Jersey, home of Atlantic City, right?). They're pretty much gambling that you won't die. At its most simplistic, a life insurance company wants you to live for as long as possible, paying them lots of money over the years so that when you do pass away, they aren't out far more money than you've put in.
Now, being New Jersey gamblers, the life insurance companies want to stack the odds in their favor, and one way they do this is with their rates. If you're a bad gamble, they'll want you to pay higher rates on your life insurance. For example, if you're a smoker, your life expectancy is shorter than a non-smoker. This makes you a worse gamble for them, and you will have higher rates on your life insurance. Applying for Life Insurance in New Jersey
Because of this gamble, life insurance companies will often need a medical exam from you. Often, the life insurance company will pay for this physical, and it could include such things as a medical history, blood or urine specimens, blood pressure, pulse readings, and height and weight readings. What Else Affects My Life Insurance Rate?
Several other things can affect your rate, such as your occupation and your family medical history. Your New Jersey life insurance company will take everything it needs into consideration in order to calculate its gamble on you. The type of insurance you choose can also affect your life insurance rate. For example, as you'll see in the following pages, term life insurance tends to be cheaper than whole life insurance.