Backdating life insurance save age albadating com

20-Nov-2019 03:43

Backdated premiums reduce the applicant's age by one year and that small change can mean significant savings on the cost of life insurance coverage.Here is an example of how backdating can benefit a person who is looking for coverage: A person applies for coverage on September 1.Gender also plays a role in how much someone will be charged for life insurance coverage and the company will want to know if the person is -or ever was- a smoker for ratings purposes.Some insurance companies issue a policy based on the applicant's actual age.

That means your price will increase on your half-birthday with many companies.

His or her birthday is September 15 and the insurance policy is approved and issued on September 30.

If the policy is backdated to September 14 (the day before the applicant's birthday), he or she can take advantage of lower rates.

It’s common for life insurance rates to increase 10-15% each year, so understanding this concept is very important.

Most life insurance companies use the age you are nearest to and not your actual age.

That means your price will increase on your half-birthday with many companies.

His or her birthday is September 15 and the insurance policy is approved and issued on September 30.

If the policy is backdated to September 14 (the day before the applicant's birthday), he or she can take advantage of lower rates.

It’s common for life insurance rates to increase 10-15% each year, so understanding this concept is very important.

Most life insurance companies use the age you are nearest to and not your actual age.

Below is a list of companies who use age nearest pricing.