If you are a smoker and you’re looking for term life insurance, please, read on..
Insurance companies go through a process called underwriting that consists in determining which Health Category an applicant belongs to. Based on the results of the underwriting process, insurance companies will classify applicants as super preferred, preferred or standard. The applicant may be rated, which means he or she will pay two, three, etc., times what the standard rate is. One of the factors that has a significant negative impact on the rating, and, therefore, on the premium, is whether or not the applicant is a smoker.
If you are a smoker, this fact alone will have, as mentioned previously, a direct negative impact on your premium. See below sample life insurance quotes for smokers and non-smokers.
A 30 years old male, non-smoker, otherwise healthy, will pay about $20.76 a month for a $500,000 term policy for 20 years. Whereas, the same person, if a smoker, will pay about $61.28, or almost 3 times what the non-smoker pays.
Another example. A 40 years old female, non-smoker, otherwise healthy, will pay about $80.35 a month for a $1,000,000 term policy for 30 years. Whereas, the same person, if a smoker, will pay about $304.50, or 3.78 times what the non-smoker pays.
Life Insurance Shopping For Smokers
It is important for smokers to shop around and obtain quotes from different companies. Some insurance companies do not like the risks associated with substandard cases such as people who smoke. Others are more receptive. The same is true of international customers. Not all insurance companies are prepared to address the risks and establish the internal controls needed to underwrite smokers and/or foreign applicants.
The process of shopping for the right life insurance policy is not easy. While you can try to go it alone, there is no need. It is prudent to consult with an agent before making a decision. We can help.
Take a look at what the American Lung Association says about quitting smoking. The bottom line is , if you are a smoker, you’re going to pay a higher premium. We’d like to help you in whatever way we can. Call us today at 888-950-TERM (8376).