Carefree and loving it, could easily describe the lifestyles of many single people. Vacations to exotic locations and business careers that create global travel, all conjure up envious visions in their married counterparts. Many people do not realize that these very same things can create adverse insurance underwriting and could result in insurance applications being denied or rated. An insurance underwriter has the responsibility to assess the risk that a potential applicant poses to the insurance company. The lower the risk, the lower the insurance premiums or cost, and vice versa.
Many times a high risk insurance application results in a rated policy. A rated insurance policy is a policy that is issued at a higher premium due to extenuating factors included on the application. These extenuating factors are the things the insurance companies have deemed to represent a higher risk, or that make you a higher risk factor.
Many singles have the time and the disposable income, to engage in many things that could lead to these extenuating factors. Seeking that intense thrill, extreme sports such as motocross, jet skiing, snorkeling, and deep sea diving, sky diving, parachuting and hang gliding, just to name a few, or simply working outside the country or in a third world nation, could all lead to the same outcome. Many people do not realize that listing such activities on their application can, and probably will, result in an increase of their insurance premiums or could completely affect their ability to obtain insurance at all.
Other extreme behaviors or activities can also affect your application, whether you are single or married. Excessive alcohol, reported illegal drug use or even certain prescription drug use, can also signal concerns and raise red flags to an insurance underwriter, about your moral turpitude. Moral turpitude, which is defined as your personal conduct, means that anything that is out of the ordinary or excessive can raise concerns. This can also cause your insurance premium to be increased or your application to be denied. This could also lead to increased underwriting or additional testing and information being requested. They may not have to worry about the responsibilities of a spouse or children, but single people still need life insurance at whatever the cost.