The reason for the higher rates is due to the type of life insurance - it is offered mainly to people who are considered a high risk for life insurance.
Why would someone be considered a high risk for life insurance? There are several reasons people are considered high risk for life insurance, including:
1. Age - People over age 80.
2. Weight - People who are obese.
3. Health - People with chronic health issues; such as, emphysema, diabetes, high cholesterol, HIV/AIDS, etc.
4. High Risk Occupations.
5. High Risk Hobbies - Skydiving, mountain climbing, car racing, etc.
In order to offer life insurance coverage to high risk applicants, some insurance companies limit the amount of life insurance to $25,000 or less, charge high rates, and have a graded death benefit which doesn't provide full coverage until you have been insured for 2-3 years.
There are several insurance companies that offer guaranteed life insurance plans with no medical examination, and you can apply online for your life insurance policy. Here's how to get a free quote for guaranteed life insurance.