Mortality charge

The actuarial heart of your premium — priced from risk, not opinion.

The specific charge within a policy that reflects the statistical risk of a death claim, based on age, health, and other factors.

Where the number comes from

The mortality charge is the element of a life insurance cost that reflects the probability of a death claim. Insurers derive it from mortality tables and their own claims experience, adjusted for your risk profile — age, sex, smoking status, health, and lifestyle. It is closely related to the cost of insurance and is a core input into what you pay.

Because it is grounded in statistical risk rather than judgment, the mortality charge rises with age: the older the insured, the higher the probability of a claim in any given year. This is the underlying reason premiums generally increase with age and why locking in coverage earlier tends to secure a lower rate.

Why your profile moves it

Two applicants of the same age can face very different mortality charges depending on health and lifestyle. Non-smokers are charged less than smokers; applicants in strong health may qualify for preferred pricing, while those with elevated risk may face a rating that increases the charge. This is the mechanism by which underwriting translates into price.

The practical takeaway is that the things you can influence — smoking status especially — have a real effect on cost, and that accuracy on your application matters, since the charge is built on the risk information you provide. A licensed advisor can help you understand where you are likely to land.

Common questions

Why does my mortality charge increase as I age?

It's based on the statistical probability of a death claim, which rises with age. Older insureds have a higher chance of a claim in any given year, so the charge grows. On level-premium policies this rising cost is smoothed into a fixed payment; on some flexible policies it's visible and increases over time.

Can I lower my mortality charge?

You can't change your age, but factors you influence — notably smoking status — affect it significantly, and many insurers re-rate former smokers after a sustained tobacco-free period. Applying while in good health and buying earlier both tend to secure a lower charge.