What is unlawful regarding life insurance premium rates among individuals with the same life expectancy?

Charging different rates among individuals with the same life expectancy is deemed unlawful because it violates principles of fairness and non-discrimination in the insurance industry. Insurance premium rates should typically reflect the risk presented by each individual based on objective criteria, such as health status or lifestyle choices, rather than arbitrary distinctions among people who present similar risk levels.

Under the law, individuals with the same life expectancy should be treated equally; if they are at equal risk, they should not be charged different premiums. This practice helps ensure that everyone is treated fairly and that insurance is accessible to all individuals. Discriminating based on factors unrelated to risk leads to inequality and can disproportionately impact certain groups, which is why such practices are not allowed in the regulation of insurance rates.

The focus on equitable treatment in insurance is essential for maintaining trust in the system, and it encourages individuals to seek coverage without fear of unjust pricing based on factors beyond their control.