There are several benefits to using health information for insurance underwriting. These include:

• Allows insurance companies to reduce risk. By assessing an applicant’s health history, insurance companies can get a better understanding of their potential risk for future health problems. This information can help them to set premiums that are fair and reflect the actual risk of each applicant.
• Potentially keeps insurance premiums lower for accepted customers. By eliminating or reducing costs for high-risk candidates, insurance companies can keep premiums lower for healthier individuals. This can make health insurance more affordable for people who are generally healthy.
• Helps to ensure the financial stability of insurance companies. By carefully assessing the risk of each applicant, insurance companies can help to ensure that they have enough money to pay for claims. This helps to protect the financial stability of the insurance industry as a whole.