Build a realistic premium estimate in minutes today. See cost drivers across coverage and options. Export your summary and share it with stakeholders easily.
| Scenario | Coverage | Age | Risk | Smoker | Deductible | Estimated annual premium |
|---|---|---|---|---|---|---|
| Starter | 100,000 | 30 | Standard | No | 1,000 | ~ 165 |
| Family protection | 250,000 | 40 | Standard | No | 500 | ~ 520 |
| Higher risk profile | 200,000 | 45 | High | Yes | 250 | ~ 1,050 |
| Low risk, larger deductible | 300,000 | 35 | Low | No | 2,000 | ~ 540 |
Annual premium starts with a linear base: coverage divided by 1,000, multiplied by a rate per 1,000. This keeps scaling predictable when you test different coverage levels. If coverage doubles, the base premium doubles before any underwriting adjustments, riders, fees, discounts, or taxes are applied.
The model converts key risk signals into factors and multiplies them into one risk multiplier. Age bands, smoker status, risk class, deductible, coinsurance, and location affect the core price. Underwriting score then refines that price by mapping 300–900 into a bounded factor, rewarding stronger profiles. BMI, credit band, occupation class, driving record, prior claims, and lapse duration further tune the estimate.
After the adjusted premium is calculated, the calculator adds rider costs and annual fees, then applies discounts. Claims-free and loyalty discounts layer with bundle, auto-pay, and paperless options, with a total cap to prevent unrealistic outcomes. Commission and reinsurance loads are applied after discounts and before taxes so you can see how distribution and risk transfer change the payable amount.
Because premium drivers are explicit, you can compare scenarios by changing one assumption at a time. Save scenarios to benchmark deductible choices, payment frequency, or underwriting improvements. For planning, use the projection chart with an inflation rate to estimate multi‑year budget impact and to test sensitivity across different terms. For audits, keep inputs aligned with policy wording and rating guidance. Small differences in coinsurance, lapse duration, or applied loads can materially change annualized totals.
Treat outputs as structured estimates rather than quotes. Focus on the breakdown: base, risk adjustment, riders, fees, discounts, loads, and taxes. If the risk multiplier is high, reduce exposure by increasing deductibles, improving underwriting inputs, or removing nonessential riders. Use exported CSV and PDF summaries to document assumptions for internal review and approvals. Recheck base rate assumptions whenever market conditions or regulations materially change.
Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.