What determines the price of life insurance?

In life insurance, the insurance premium depends primarily on the age, sex and health of the insured. Mortality tables are used in determining the cost of life insurance. Based on these tables, the expected discounted value of the insurance payment is calculated. Usually after that, an adjustment for the health of the insured is made, and the profit that the insurer should receive and his expenses are also taken into account (the adjustment for the health of the insured has a much greater impact than in other types of personal insurance).

The amount of the insurance premium , which must be paid periodically in order to ensure a certain amount of pension, is calculated by the insured actuarially, that is, on the basis of existing statistical data and is determined from the tables of the selected Insurance Program accordingly.