As the calendar turns to a new year, many people set resolutions to improve their health, financial stability, and overall well-being. These goals often center around exercising more, eating healthier, saving money, or pursuing personal development. While these resolutions are valuable in their own right, they also have a less obvious connection to an important aspect of long-term security: insurance.

The Health Connection

One of the most common New Year’s resolutions is to adopt a healthier lifestyle, whether through regular exercise, balanced nutrition, or quitting harmful habits like smoking. These changes don’t just make you feel better and improve longevity—they can also reduce the cost of life insurance premiums.

Insurance providers assess your risk when determining your premiums. A healthier lifestyle often translates to lower risks of chronic diseases such as diabetes, hypertension, or heart disease. This can result in reduced life insurance premiums and more favorable terms for life insurance policies. For example, a non-smoker pays significantly less for life insurance than a smoker with the same demographic and health profile. On average, a non-smoker might save 50% or more on premiums compared to a smoker, potentially translating to thousands of dollars over the policy’s term.

• Small Changes, Big Impact

Contrary to popular belief, improvements in health do not require a gym membership, hour-long workouts, or feats of strength. Enter the new trend: Exercise Snacks.

Exercise Snacks are brief bouts of intense movement (like high knees or chair squats) performed intermittently throughout the day for 1–2 minutes. People who engage in ~3 bouts of exercise snacks per day have a 40% – 50% reduction in all-cause, cardiovascular, and cancer mortality compared to people who don’t. 6 minutes of effort can yield huge results.

Another recent study found that performing something as simple as10 bodyweight squats every 45 minutes during an 8-hour period significantly improved blood sugar regulation, which is associated with a reduced risk of type 2 diabetes.

The Financial Connection

Resolutions to improve financial habits are another common resolution. It’s no secret that, in the U.S., healthcare is one of the costliest expenses (and can be the most costly for many). Improvements in overall health will reduce your total cost of risk and, therefore, reduce healthcare costs.

Life insurance plays a crucial role in financial hygiene as well, as it provides a safety net for your loved ones in the event of unexpected circumstances. A well-structured policy can ensure that your family is protected from financial burdens, such as mortgage payments, education costs, or daily living expenses if you are no longer there to provide. Moreover, demonstrating sound financial habits can make it easier to qualify for certain comprehensive coverages that align with your long-term goals.

Setting Goals with Insurance in Mind

When crafting your resolutions, consider how they align with your insurance plans:

• Start Small: No need to hit the gym 5 days a week. Small habits are easier to stick to and have a big impact on overall health, which improves insurability.
• Prioritize Preventative Care: Regular health check-ups and screenings can catch potential issues early, reducing long-term health costs and improving insurability.
• Reassess Coverage Needs: Major life changes, such as marriage, the birth of a child, or buying a home, can impact your life insurance requirements. The new year is an excellent time to ensure your policy adequately protects your loved ones.
• Budget for Premiums: Include life insurance premiums in your financial planning to ensure consistent coverage. This guarantees that your financial resolutions align with the long-term security of your family.

The Long-Term Effect

New Year’s resolutions are more than short-term aspirations—they can lay the groundwork for lasting habits that protect your health and financial future. By integrating total cost of risk considerations into your goals, you’re not just planning for the year ahead but building a safety net that benefits you and your loved ones for years to come.

As you set your resolutions this year, remember that small, consistent steps toward a healthier and more financially secure lifestyle can lead to significant rewards, including peace of mind and tangible savings on your insurance. Cheers to a new year!