Term Life Insurance - The Financial Effects of Smoking

Smoking can affect Pennsylvania term life insurance rates in a rather expensive manner. It common knowledge that a smoker will generally pay a higher rate than those who choose not to smoke. The chance of acquiring a life threatening disease is much higher with tobacco usage. Life insurance companies compensate for this by “rating up” a policy to cover the risk. It’s worth mentioning that some carriers will not raise your rate if you smoke an occasional cigar (i.e. once a year for a new born baby).

Depending upon when you quit smoking, there will be different classifications. If you have been without the use of tobacco for five years or longer you’ll received the best rate available, which is usually “preferred plus”. If the amount of lapsed time is three years then the rating would be “preferred”. The “standard” rating would apply if there was no smoking for more than one year. Please remember that if there are other medical conditions, besides the use of tobacco, then the rate will also be affected.

There is a temptation to lie on the application. Please be aware that:

1. Life insurance companies conduct an exam which includes a urine sample that would detect the use of tobacco.
2. If you were to falsify the application and the insurance company finds out they could cancel the policy. This would be quite unfortunate if death occurred and payment was withheld.

I don’t want to sound like I’m preaching but discontinuing your smoking habit will pay dividends in more ways than your life insurance premiums. Your overall health and feeling of well being will most certainly be enhanced. Not to mention the money that’ll be saved from not having to stop at the local grocery store for cigarettes.

Simply put, Pennsylvania term life insurance will be much more affordable if you STOP SMOKING.