Long Term Disability Insurance isn’t the same cost for everyone. It’s important to do your research and find out what affects your price. Below are the most common factors that determine your cost.
Age
Your age will play a major part in how much you spend on your premiums. The older you are when you purchase disability insurance, the more you can expect to pay. The cap on most disability insurance policies is 65 years of age.
Geographic Location
Where you live has a big effect on your premiums. Competition, local regulation, and cost of living in different areas account for the difference in cost.
Health
Another factor considered by the insurance company is your general health. While you can purchase a disability insurance policy without a physical, you can expect to pay much more in premiums than you would if you would successfully pass a physical.
Pre-existing Conditions
If you have certain pre-existing conditions, you will not be able to purchase a disability insurance policy. This simply depends on your specific condition and the insurance company’s policy.
High Risk Jobs
If you have a dangerous occupation, you will find that your premiums will be much higher than if you are an office worker.
Tobacco Use
Insurers can charge tobacco users up to 50% more than those who don’t use tobacco.
Individual vs. Family Enrollment
Insurers can charge more for a plan that covers a spouse and/or dependents.
These are just the most common factors that affect the cost of Long Term Disability Insurance. Speak to your insurance agent directly for specific circumstances.
