Cost of insurance depends upon the age of people getting insured, pre-existing diseases, sum assured under the insurance plan as well as the claims taken up by the people. These factors affect the cost of health care insurance. For an aging population, the cost of insurance will continue to rise, but for the younger population, cost of insurance will be relatively low due to lower premium paid by the young people as they have a lesser scope of preexisting diseases and any chronic illness. So, it is the target audience, their characteristics and demand that affect the cost of insurance.
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