Term life insurance for scuba divers is not straightforward, and premiums can vary considerably from carrier to carrier. High-risk activities such as scuba diving can mean increased premiums, and sometimes “flat extras” – especially if you don’t know which life insurance company to apply with.
A “flat extra” fee refers to a flat fee tacked on to every thousand dollars of your policy’s coverage. The challenge is finding the insurance carrier that has the best pricing based on your diving activities.
The good thing is that we are independent life insurance agents, and know which life insurance companies have the best rates for scuba divers.
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Scuba Diving Risk and Your Life Insurance Policy
Potential risk information is used by the insurance company to place you into an insurance rate class, and this is the primary determining factor for premium costs. Scuba diving is considered a high risk activity, and in this case, premium increases and flat extras are based on statistical data that different types of dives have. Because different types of diving have different types of risks, life insurance companies will want to find out the type of diving you do, how many times a year, and how deep you dive.
How deep do you dive?
Depth is the most important factor that insurance companies take into consideration. Some insurance companies have a maximum limit to the depth of the dives they will insure. Divers who stay under 100 feet and do so in open water can get Preferred Plus pricing with ING. The good thing about ING is that they don’t limit the amount of dives you can do a year like other life insurance companies, and will still offer Preferred Plus rates.
Once the depth passes one hundred feet there will typically be a “flat extra” or extra fee added to the policy.
What Information You Need to Provide the Insurance Company
The above risk factors are related to the questions the insurance companies will ask you.
Questionnaires typically ask:
- Purpose of the dives (pleasure or commercial in nature)
- Depth of the dives
- How many times a year you dive
- Are you certified?
- Types of dives you have participated such as cave diving, ice diving, exploration of shipwrecks
The Best Solution
The goal when seeking life insurance for scubadivers is obtaining a policy that will cover the needs of the beneficiaries while still minimizing premium costs. Each company has differing views of the risk levels associated with different diving habits.
Life Insurance for Scuba Divers
The best solution for scuba divers is to work with an independent agency who knows the rates and requirements for the different insurance carriers. An independent licensed agency can use your diving experience to determine which companies offer the best value for your situation and needs. Fill out the form below and we can help you get the best rates for life insurance for scuba divers or call us at 888-411-1329.
By: Michael Quinn