When would an individual typically be offered a higher-than-standard premium rate?

An individual is typically offered a higher-than-standard premium rate if they have lower than average life expectancy. This is because insurance companies assess the risk associated with insuring an individual based on their health status and life expectancy. When someone has health issues, chronic illnesses, or other factors that could lead to a shorter lifespan, the insurer perceives a greater financial risk. Therefore, they charge higher premiums to offset the potential cost of claims that could arise sooner than expected.

In contrast, factors such as having perfect health records or being a senior citizen generally lean towards lower premiums because these conditions often suggest a lower risk for the insurer. While upon application submission, no immediate premium is set until all health information is assessed, it is the assessed risk due to health conditions that ultimately leads to higher premiums for those with lower life expectancy.