The Body Mass Index is a tool used by health insurance companies to better determine an applicant’s risk factor. Specifically, it is used to identify whether or not an applicant has a problem with their weight. To determine this, the applicant’s body weight is divided by the square of his/her height (Kg/m²).

What are healthy and unhealthy BMI readings? If one’s BMI falls between 18.5 and 25 they are considered to have a healthy body mass index. Any readings above 30 indicate that a person is obese, and a reading below 17.5 could suggest an eating disorder. If a BMI reading is deemed to be unhealthy, and insurance company may increase the initial rate of a policy’s premium.