Five key factors determine the cost of insurance premiums. First, age plays a significant role, with younger individuals often paying more due to perceived risk. Second, health status or medical history influences premiums, especially in health and life insurance, as those with pre-existing conditions may face higher costs. Third, type and amount of coverage matter; more comprehensive coverage or higher coverage limits typically increase premiums. Fourth, occupation and lifestyle factors, like high-risk jobs or dangerous hobbies, can lead to higher costs due to increased risk exposure. Finally, location impacts premiums, as areas prone to natural disasters or high crime rates can elevate costs, particularly in property insurance.