Which of the following factors would have the least effect on the premium charged for life insurance?

The premium charged for life insurance typically takes into account several risk factors, and among them, income has the least direct correlation with the risk profile presented to the insurer.

Age is a critical factor; as a person gets older, the likelihood of mortality increases, leading to higher premiums. Occupation is also significant because certain jobs involve more risk than others—high-risk occupations can lead to higher premiums due to the greater chance of injury or death associated with that line of work.

Income, while relevant to the level of coverage a person might choose, does not directly influence the risk of insuring an individual’s life. Insurers focus more on factors that affect life expectancy and risk of claims, whereas income primarily affects how much coverage a person can afford rather than their overall risk profile. Hence, it is reasonable to conclude that income would have the least effect on the premium charged for life insurance.