What is the difference between “standard”, “preferred”, and “preferred-plus” rates?
Although the qualifications for preferred rates vary between companies, generally you must be in excellent overall health. There can be no participation in any hazardous activities and there must be no history of drug or alcohol abuse. Preferred-plus criteria is even more stringent. You cannot use tobacco in any form. You must have no history of drug or alcohol abuse, and you cannot engage in any hazardous activities. According to actuarial tables, these are the people who are likely to live the longest. Each company may have a different name for them but these rates represent the lowest available premiums. However, you need to understand that when comparing policies, even if you’re in excellent health, there is a good chance you won’t qualify for these best rates. In fact, only 5% – 40% of all applicants get this “super-preferred” rate. Typically, about 60% can qualify for the regular “preferred” rate. The rest fall into the “standard” category, or worse. At AccuQuote, we believe that
Although the qualifications for preferred rates vary between companies, generally you must be in excellent overall health. There can be no participation in any hazardous activities, and there must be no history of drug or alcohol abuse. Preferred-plus criteria is even more stringent. You cannot use tobacco in any form. You must have no history of drug or alcohol abuse, and you cannot engage in any hazardous activities. According to actuarial tables, these are the people who are likely to live the longest. Each company may have a different name for them, but these rates represent the lowest available premiums. However, you need to understand that, when comparing policies, even if you’re in excellent health, there is a good chance you won’t qualify for these best rates. In fact, only 5% – 40% of all applicants get this “super-preferred” rate. Typically, about 60% can qualify for the regular “preferred” rate. The rest fall into the “standard” category, or worse.
