A risky lifestyle can be a matter of choice or the everyday reality of a job.
Some people choose a life “on the edge” by participating in dangerous, adrenaline-pumping hobbies such as rock climbing, bungee jumping, parachuting or other extreme sports.
For others, it is not about enjoying a hobby, instead it’s about providing for their families. Among the more dangerous occupations are underground mining or high-rise construction and maintenance.
All the above-mentioned activities are very dangerous and most life insurance companies are careful about insuring their participants.
According to some insurance brokers, the top five high-risk hobbies are [1]:
- Amateur race car driving,
- Hang gliding,
- Bungee jumping,
- Mountain or rock climbing, and
- Skydiving (a recent statistic sites 450 skydivers dying between 2004-2010) [2]
Generally speaking, if you realize that you need life insurance and you are involved in hazardous activities, even occasionally, expect a “surprise”.
Most insurance companies will consider you a greater risk. As a result, if you choose to apply for life insurance, your application may be subject to exclusions, higher premiums, or your application for coverage may be denied altogether.
However, this is not even the worst news. Keep in mind, your rated or declined status is kept on record, similar to a credit rating for those asking a bank for a loan. In other words, future requests for new or additional coverage may be affected.
The reality in numbers
Even with an unsafe occupation, a risky hobby or both, one cannot deny the vital need for life insurance.
Adam is a 35-year-old man from Calgary, AB, who is a non-smoker in good health. He’s a recently married high school teacher who just moved into a new house. Adam is trying to be responsible and has decided to purchase life insurance. Considering himself young and healthy and having done some research, Adam assumed that he would end up paying a monthly premium of $35 – 40 per month for $150,000 of 20 year term coverage.
Oh, yes! We forgot to mention one “minor” detail –Adam spends most of his leisure time mountain climbing in the Rockies. Adam was devastated when, of the five insurance companies he approached, only three “agreed” to insure him. Moreover, he was quite shocked to realize that while one out of the three remaining companies decided to exclude mountain climbing from his future policy, the other two offered him rated premiums in the range of $60 – 65 per month.
Friendly advice!
At this point, Adam had to consider purchasing a lot less coverage, or quit his hobby, hoping to receive more favourable rates.
However, Adam was not aware of an even better solution; there is no need for him to quit his hobby or to purchase insufficient coverage. While trying to reach one of the Rockies’ summits, one of his climbing buddies recommended Adam give Canada Protection Plan a call.
Canada Protection Plan is known as the industry expert in non-medical insurance, a provider that does not require a doctor’s visit or medical report. Once Canada Protection Plan’s clear and easy to understand set of questions is satisfied, the applicant qualify for life coverage.
Adam was pleasantly surprised to realize that the 20 year term plan in the amount of $150,000 that he needed would cost only $45 per month with CPP. By choosing Canada Protection Plan coverage, Adam is saving around $200 per year.
If you are participating in extreme sports or have a hazardous occupation, you must fulfill your need for life insurance.
Perhaps your lifestyle is seen as too risky by other insurance companies, but we have a plan that will offer you coverage without imposing extra ratings or exclusions.
When you consider life insurance, Canada Protection Plan should be on top of your list!
[1] InsuranceQuotes.com;The nine riskiest jobs and five riskiest hobbies for life insurance coverage. http://www.insurancequotes.com/life/life-insurance-risky-jobs-hobbies [2] InsuranceQuotes.com;The nine riskiest jobs and five riskiest hobbies for life insurance coverage.
