Underwriting criteria

Whilst some insurers will alter the premium cost to reflect the risk of underwriting the cover, many insurers will simply refuse to underwrite clients who fall outside their strict criteria.

• The factors which have to be taken into account are those that affect the risk of accident, sickness or unemploymnet, including:
• Age
• Health
• The client's present and past health
• The hereditary health records of the client's family
• Occupation
• Industry sector
• Hobbies, including sports
• Lifestyle (including smoking and drinking)

The type of policy and the term of the contract can also have an effect on the underwriting decision.