Life insurance classification is determined by your explicit hobbies, health condition, as well as family history. Plus, the carrier plays a key role when it comes to the classification changes. Consequently, your classification will influence the premium amounts you will pay towards your life insurance cover. Remember, life insurance differs from individual to individual and company to company. This means that the policy you get will be different from that of your friend or relative. It's important to note that most insurers utilize a certain classification system to determine your health based on different factors. This means that these classifications will determine the amount of coverage you qualify for at a certain price point. A healthy person will get favorable classification-which will guarantee him/her relatively affordable insurance rates. Here are a few things you should know regarding life insurance classification.

Different Health Classifications

Generally speaking, there are four different classifications of life insurance policies. These include Preferred Plus, Standard, Preferred, and Standard Plus.

Of course, certain companies might have different names for them. However, these are the most widely used terms. If you don't fit into any of these classifications, you may fall into a broader category, referred to as Substandard. Some companies will also have categories exclusively designed for smokers.

Preferred Plus

Also known as Preferred Elite or Preferred Select, this is perhaps one of the best classifications you can ever get.  If you're in excellent health, have ideal body weight, and your family history or lifestyle is pretty clean, then you're going to pay the lowest premium!


This is an ideal option for those who're generally in good health but have minor issues, such as high cholesterol and blood pressure.

Standard Plus

The standard plus classification is for healthy individuals. In this classification, those with good family health history are included. Plus, if you are doing pretty well and you don't expect any illness in the future, you are classified under the standard plus classification.


This classification is for those with less ideal weight-height ratio. It also includes those who expect average life expectancies. It also includes those with few medical exam notes. Here, your family history has a big say. For instance, if family members tend to have issues before hitting their sixties, you will be placed under this classification. It's important to note that this classification is characterized by higher insurance premiums. However, you will get a life insurance cover.


The substandard classification isn't like other types of classification. Instead, you will be graded by letters and numbers based on your health and family history. The letters start from A to J while the numbers range from 1 to 10. People who fall under this rating have complicated health histories. For instance, if you have witnessed recent problems like heath attacks, diabetes, and blood pressure, you will be placed under this classification. Nor ally, you will pay the standard price plus twenty-five percent for each step as you go down the table.

The Bottom-Line

It's important to understand life insurance classification if you want to find a life insurance policy. The above guide contains all you should know regarding life insurance classification.