The underwriting factors of life insurance are all the factors that an insurance company uses to make a decision about whether or not to issue a life insurance policy and, if so, at what price. Underwriting factors of life insurance can include things such as age, weight, tobacco use, total cholesterol levels, heart disease, diabetes, and family history of diseases.
It is critical for life insurance companies to be able to accurately measure the underwriting factors of life insurance. If too many policies are written for people who are high risks, then the insurance company could lose a lot of money. Having certain factors, such as being over 80, can make a prospective policyholder a very high risk, making it unlikely that they would get a life insurance policy.
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