Online Life Insurance for Smokers
2009-01-10
Smoking is an expensive habit, and not only because of the rising cost of cigarettes. Smokers also must pay higher health insurance rates and life insurance rates as they are classified as "high-risk." A smoker can save money by searching for life insurance online and comparing rates, but a smoker will always pay higher than a non-smoker of comparable weight, age and health. In many cases, a smoker will pay three-times as much for the same online life insurance policy.
Smoker Classifications for Life Insurance Online
What is a smoker? Its hard for the normal person to classify who really is a smoker, as there are many different levels of use. Some people will smoke two packs a day, while others may smoke half a pack. Some people will have just one cigarette after dinner, while some may just have a cigarette or two on the weekend. And what about people who use cigars? Cigarillos? Pipes? It seems there are many variables for an online life insurance company to examine when trying to classify smokers.
So, are you a smoker? While the definition is ambiguous, it is quite clear to the online life insurance company. One most life insurance applications, you will be asked, "Do you smoke?" It’s a clear cut, yes or no answer. There is no section for a paragraph explaining, "well, yes I smoke, but only when I'm drinking!" To the online life insurance company, you are either a smoker, or not. There is no gray, smoky area. If you are one of those rare smokers, you will have to decide how you will answer the question, but be aware that if you are caught smoking it could result in policy termination or claim denial.
Life insurance companies will classify non-smokers as standard, preferred or preferred-plus. If you are a non-smoker and in good health, you'll likely get the preferred-plus designation. If you are an ex-smoker who hasn't lighted up in the past five years, and in relatively good health, you could get the preferred classification. If you are an ex-smoker who hasn't smoked in the past three years, and are in good health, you could get the standard classification. However, if you are a current smoker you'll be labeled as a risk and pay a higher premium. These classifications and standards will vary based on the online life insurance company you choose, so be sure to check their specific standards and policies carefully.
Lying to Online Life Insurance Companies
As we said before, it is possible for a smoker to lie on the life insurance application but the repercussions could be costly. An online life insurance company will send out a representative to perform a health test, just as a regular brick-and-mortar life insurance company does. Sometimes this includes a blood test. They may test you for nicotine, alcohol, cholesterol, etc. Nicotine clears out of your system within 72 hours, so it is possible to lie on the application and pass the health test, but if you are ever hospitalized and die of a cigarette-induced ailment, you could have your claim denied. If you are ever caught lying while alive, you could have your rates increased. So the best bet is to be honest, and if you plan on going 72 hours without a cigarette, you might as well go ahead and quit all together.
If you are a smoker, search for cheap life insurance online, and compare the rates from several providers. While you will pay more than a non-smoker, you can still find cheap rates for life insurance online.