What happens to my trauma insurance premiums as I get older?

How your trauma insurance premiums change over time depends on whether you have stepped or level premium structure. Stepped premiums (also called age-based premiums) are the most common and increase each year based on your increasing age and the statistically higher risk of critical illness as you get older. These increases are typically modest in your 30s and 40s (perhaps 3-7% annually) but accelerate significantly from your 50s onward, potentially doubling or tripling by the time you reach your 60s. The advantage of stepped premiums is that they start lower when you're young, making insurance more affordable initially. Level premiums remain fixed for a specified period (commonly 5, 10, or 15 years) regardless of your age, then may step up to a new level for another fixed period. While level premiums start higher than stepped premiums for your current age, they can be more cost-effective over the long term as you avoid the annual increases. However, you'll eventually face significant premium jumps when the level period ends and a new rate is calculated based on your then-current age. Some hybrid approaches offer premiums that increase at a fixed percentage annually (such as CPI + 3%) rather than purely age-based increases. Regardless of premium type, most trauma policies also incorporate claims experience adjustments where the insurer may increase premiums for all policyholders if claim rates are higher than expected. To manage premium increases over time, consider purchasing adequate coverage while young when it's most affordable, review your coverage needs periodically as other financial obligations like mortgages decrease, and compare whether level or stepped premiums suit your budget and long-term planning better.