"Are There Benefits Of Being Healthy When Purchasing Disability Insurance?"
Of course there are benefits of being healthy anytime. But it certainly pays to be healthy when you are shopping for disability insurance. When you apply for disability insurance you are typically subjected to certain underwriting guidelines that seek to determine the risk of you becoming disabled. Essentially, the healthier you are perceived to be the less likely you are consider to become disabled. Conversely, an unhealthy person is more likely than a healthy person to become disabled. The insurance industry typically uses four risk categories when evaluating the risk characteristics of an applicant. They are: Preferred Risk, Standard Risk, Sub-standard Risk and Uninsurable Risk. The comparison below illustrates the premium differential between Preferred Risk and Sub-Standard Risk.
Plain and simple, as evidenced by the comparisons above it pays nicely to be healthy when purchasing disability insurance.