You are likely to be aware of the downside of smoking and lack of exercise, but you may not realize that these and other bad habits could be costing you extra money for your insurance.

If you struggle with less-than-perfect behavior, check out the ways it could be costing you money:

  • Laziness. Lack of exercise, especially in combination with overeating, can cause a hike in your life insurance premiums. Life insurance companies compare your height and weight to determine if you are borderline overweight or obese. They also review your medical records for risk factors for diseases often associated with weight gain such as Type II diabetes and heart problems. Depending on the severity of your issues, you could end up paying double for the same life insurance policy as someone of normal weight.
  • Late payments. If your bills are often overdue, watch out for lapsed insurance coverage on your homeowner policy. If your policy goes unpaid for too long, you'll be forced to take out a new policy that could be priced as much as 20 percent higher.
  • Smoking. Your life insurance premiums could be as much as twice as high if you are a smoker compared to a non-smoker. Not only that, but you'll lose the non-smoker discount that many insurance companies offer on home insurance policies.
  • Bad credit. Many insurance companies check your credit score to make sure you can pay your insurance premiums. Depending on the level of your credit problems you could be denied an insurance policy or your premiums could be more costly because credit problems are considered a sign of risky behavior.
  • Bad driving. While the biggest impact of a handful of tickets or a car accident you cause will be felt on your auto insurance premiums, your life insurance premiums could also be impacted. Bad drivers, especially if they have a DUI or a history of accidents, are considered higher risk.

Good habits are not only better for you, they could save you money.