One of the worst things that can happen when you are purchasing anything is finding that there are extra charges that you were not expecting. With life insurance, if you are shopping and have a high-risk situation, whether it is a medical condition or a job, then you might face flat extra charges for life insurance. The flat extra charges will be added to your policy, and if you’re wondering what these flat extra charges are, how much they will be, and if you can avoid it… well the answer is yes and no.
Flat Extra Charges
Any extra charge that can be added to your life insurance policy is also known as a flat extra premium. The flat extra premium is an additional charge that is added to the regular premium of your life insurance policy. It can be added for a short period of time or the entire term of your life insurance policy.
Life Insurance Table Ratings
Flat extra charges can only be added depending on your health class rating. Each life insurance company will look at health conditions and rate them differently. Generally, they will categorize or rate class into the following health class ratings:
- Preferred Plus / Preferred Best
- Standard Plus / Regular Plus
- Standard / Regular
- Substandard / Table Rated
If you have great health and no risks such as high-risk hobby or job, then you would qualify for a preferred plus plan. The more that you add on risks, the rate class will move up to the next health class. For example, if you fall under a standard health class risk, then a flat extra charge can be short-term, ranging anywhere from two to four years, or it can be long-term, depending on the life insurance company.
As we stated, each life insurance company will rate certain conditions differently. Some will consider diabetes a higher risk, while others will consider your diabetes if controlled a lower risk. This is why it is very important to shop around and compare plans from different companies so you know that you are getting the best rate and coverage possible. And if you do score high based on your health condition and other risks, then know that you will have a flat extra charge added on to your policy.
Finding An Affordable Plan
Your family has financial obligations that will not go away when you are gone; they will need your help more than ever with their expenses, and the last thing you want them to worry about is money while they are grieving. There are many great affordable life insurance options to choose from that will provide enough money for your family, for a low monthly price. The best way to find the right life insurance policy for you and your specific needs is by working with an agent who specializes in life insurance. We have provided the top life insurance companies in the nation below; each offers hassle-free assistance and the most competitive rates. Always check multiple sites to make sure you have bargaining power and know the advantages of each company. Make sure a hard time isn’t made harder by a financial burden, check life insurance rates today.