Former Smokers Can Pay Less on Life Insurance

Insurance companies consider smokers as high risk people when it comes to life insurance. Smokers pay more in life insurance premiums as their habit is not only deemed hazardous to their health but also decreases their life expectancy. Due to damage caused by smoking to one’s lungs and body in general, one is expected to die earlier than his or her non-smoking peers. As a result higher premiums are required by insurers to compensate and cover the additional and higher risks associated with smoking when insuring someone who smokes. Quitting smoking has an added benefit of reducing one’s price of premiums for life insurance, which former smokers can take advantage of to the fullest.

Recent Research

Recent studies and research has shown that a high number of former smokers in America are overpaying on life insurance premiums as a result of forgetting or overlooking updating their status as former smokers. As a result of this oversight, even years after quitting smoking, they continue paying high life insurance premiums commensurate to their smoking habits or lifestyle.  It has also been proved that smokers pay between 25% and 100% more in premium prices than their non-smoking counterparts do. The increased premiums vary according to how many cigarettes one smokes per day and how frequently, amongst other things. The fact remains that your insurer is interested in one’s smoking habits as smoking is one of the determining factors when it comes to monthly life insurance premiums.

Quitting smoking an advantage

Life insurance companies consider smoking a serious issue and may even go to the extent of asking their clients to undergo a medical examination and tests to prove it. When one quits smoking, this too is taken seriously by life insurance companies. As a matter of fact, former smokers stand to qualify for premium discounts and reduction of premium rates. Smokers who quit more than two years can enjoy an advantage of paying lower life insurance premiums than before when they were smokers. Most insurance companies go a step further and take into consideration the length of time that has passed since one stopped smoking. For example, a class of people who stopped smoking more than five years ago is accorded a preferred plus status and pay much lower rates. The reason for this is that they are considered by life insurers as less likely to die of smoke-related diseases and as such are considered as less risk people for insurance purposes. Those who stopped smoking for more than three years ago are accorded a preferred status and pay lower life insurance premiums. Those who stopped smoking more than a year to two years ago are accorded a standard status and pay slightly low rates than those who still smoke.

When you quit smoking, inform your life insurance Company

With such benefits like a reduction in insurance premiums, it is important for former smokers to contact their life insurers and inform them about their change of smoking status. This is an incentive that leaves some money in your pocket. To stop smoking therefore is now viewed as another healthier way of reducing your life insurance premiums, apart from health reasons and increased life expectancy. The benefits list for quitting smoking therefore keeps growing. Just like losing weight or opting for a healthier lifestyle, quitting smoking can lower those sky-rocketing life premiums, brought about smoking.