Does Smoking Affect Life Assurance Premiums?

When there’s smoke… there are higher life assurance premiums. Yes, a smoking habit can cost you a pretty penny in premiums and will continue to do so as long as you continue to smoke.

Why is smoking such a big deal?

It is a big deal because it considerably affects your health and longevity, which is what the life assurance policy is covering you for. They will ask for tobacco and nicotine use for the past years. This includes using cigars or cigarettes, tobacco chewing and even taking nicotine gum or using a nicotine patch.

You are generally considered a nicotine user if you have smoked for the past five years up to the present. There are also some insurance companies that allow occasional users (that single stick last month for a celebration as long as it’s less than smoking 12 cigarettes or cigars in a year) to be classified under the non-smoking premium rating.

You can also show that you have kicked the habit by proving that you have stopped smoking for at least 12 months.

Can you fudge your answer about smoking and get away with it?

If there are indications you smoke, the insurance company may ask for tests to determine this. You will be usually administered a urine test to check for the presence of nicotine. But, if you are able to get away with not divulging this in your policy application, you need to understand that during the first two years of your policy, the insurance company can and will contest your beneficiaries’ death claim. That means they may be in danger of not receiving the death benefits at all because of your misrepresentation of material information in your application.

Thus, it is never a good idea to hide the fact of your smoking to avoid regrets for your beneficiaries upon your death. The extra premiums you pay will be worth it.

If I am rated, can I quit my application from that company and apply with another company?

Good luck, but your nicotine test results will usually be forwarded to a medical database shared by insurance companies. Thus, your records will still be revealed even if you are applying with another insurance company.

To protect your loved ones for less, fill the form on the right to get your life insurance quote.