Fact CheckedIs life insurance for smokers no medical exam the right path for you? Remember, smoking impacts your rates dramatically.
Hey, I’m not here to sugarcoat things. If you’re a smoker, you’re well aware that it’s not good for your health. But there’s no way around it: This habit will increase your premiums.
I’m writing this post because it’s essential for people to see the cold facts about life insurance: Smokers vs. non-smokers.
Once you understand the numbers, there are many things to consider when applying for coverage.
Get yourself comfortable because I’m going to go through all the factors that influence how much you’ll pay AND the way people look at different types of smoking right now!
Smoking is Hard on Your Health & Underwriters Know This
It’s primary cause and effect. You smoke, which means you’re more likely to get sick and decrease your lifespan.
Many people want me to tip-toe around this issue, but the science is in. Tobacco/ Nicotine products are not healthy for you, and underwriters will penalize you for using them.
Tobacco is not the biggest problem when it comes to smoking. It’s the tar. Did you know tobacco smoke contains more than 7,000 chemicals? Yep. And it gets worse from there:
“Two hundred fifty of those chemicals—including carbon monoxide, ammonia, and hydrogen cyanide—are known to be harmful to smokers and people exposed to secondhand smoke. Of those, 69 are known to cause cancer.”
Cigarette Tar and How It Can Hurt You,The Toxic Chemicals in Cigarettes
It’s obvious, smoking is one of those behaviours that impact your life insurance rates SUBSTANTIALLY.
Smoker vs Non-Smoker Underwriters & Your Life Insurance Application
Lying About Smoking on a Life Insurance Application
When it comes to a life insurance application, full disclosure is the best policy.
It may be tempting to fudge the truth or omit what you may feel is a minor detail. But I’m here to tell you that it’s a bad idea and could seriously jeopardize your coverage if your loved ones ever make a claim.
How do life insurance companies know if you smoke?
They thoroughly test your urine for the biomarker Cotinine, which is only produced when nicotine is metabolized. It can remain in your system for days, weeks, and even months.
Lying is FRAUD
Not only is it illegal to lie on a life application, but in the worst-case scenario, the life insurance company may deny your family’s claim to pay out the death benefit and return all the premiums.
As far as they’re concerned, you misrepresented the facts, so the insurance contract is now void. Did you know that the highest incidence of life insurance fraud occurs around the question: are you a smoker?
For example, as far as major Canadian Insurance Companies go:
“You’re considered a smoker if you have used any tobacco products whatsoever within the past 12 months, no matter how small the amount. This includes “social” smoking, mixing tobacco with your marijuana, e-cigarette usage, hookahs, pipe tobacco, chewing tobacco and nicotine patches or gum. You are however permitted to smoke up to one cigar per month and still be classified as a non-smoker.”
Is All Smoking Created Equal?
So, as you can see, not everyone smokes cigarettes…and because the tar is a big issue, what does that mean for people who use other methods and products?
Do underwriters view them the same way?
1. Cigars: It’s All About How Often You Partake
Well, I’ve got some good news for you! If you partake in the occasional cigar, which I do, by the way (PSST: I was completely transparent about this when I applied for life insurance)…
….most life insurance companies won’t rate you like a cigarette smoker.
That is if you smoke one cigar per month and test negative for cotinine. Cotinine is the marker labs use to detect smoke inhalation.
Once again, not all life insurance companies are created equal. This means some insurers are more lenient than others regarding smoking cigars.
One cigar per month or less = Non-smoker
Nicotine Replacement Therapy (NRT)
We all know of someone who has tried to quit smoking and has used a patch or nicotine chewing gum.
Is it hard to stop smoking? Ask a smoker. Different studies, including one from the University of Toronto, suggest it can take anywhere from 10 to 30 attempts for an individual to quit smoking for good.
“There have been studies that suggest nicotine is as addictive as heroin, cocaine, or alcohol. Because of that, attempts to quit are often unsuccessful because of withdrawal, stress, and weight gain.”
One of the most well-known smoking cessation strategies is Nicotine Replacement Therapy (NRP). It works by delivering some of the nicotine you get from cigarettes through chewing gum or an adhesive patch you wear on your skin.
The idea is to ease withdrawal symptoms and slowly reduce the nicotine dose over time so you get used to being smoke-free.
So if you’ve quit smoking and are using the patch or chewing gum, you can’t be categorized as a smoker, right?
That is wrong; both gum and patch are considered nicotine products. As far as insurance companies are concerned, chewing Nicorette or wearing a Nicoderm patch = Smoking.
2. Hookahs
What is Hookah?
A Hookah is a water pipe used to smoke different tobacco flavors.
It burns charcoal to heat the tobacco or herbs, which produces smoke. The smoke travels through water, cooling it down before it is inhaled. Hookah originated in the 16th century in the Middle East and India.
The thing is, as far as underwriters are concerned, it’s potentially even more dangerous than cigarettes.
The charcoal used to heat the flavored tobacco emits high amounts of carbon monoxide, metals, and cancer-causing compounds.
A recent study found high levels of benzene present in hookah smokers and non-smokers after attending social events where the water pipes were used.
Exposure to benzene is a known risk factor for leukemia. During a one-hour hookah session, a typical user will take 200 puffs, which are the equivalent of smoking ten cigarettes.
Regular or social Hookah use = Smoking
3. E-Cigarettes – Vaping Life Insurance
E-cigarettes or vaping products have become increasingly popular today, especially with young people.
Early versions resembled cigarettes, but now vaping products have gone into high-tech USB sticks with flashing lights. There’s no question these are being marketed to kids.
How do they work? E-cigarettes heat liquid nicotine, which is vaporized and then inhaled. Some people consider them a smoking cessation tool because they replicate the activity of smoking.
However, the jury is out as to whether they do indeed help folks quit. Some argue that vaping products make it worse, increasing the risk of returning to smoking tobacco.
So, what do the underwriters think about vaping? You guessed it:
E-cigarette Use = Smoking.
4. Chewing Tobacco
Chewing tobacco, also known as “smokeless” tobacco, contains high amounts of nicotine and, as such, is lumped in with smoking cigarettes.
It’s a numbers game. Life insurance companies know through their actuary tables that any nicotine consumption affects mortality rates.
Don’t think because you’re not smoking it that, they can’t test for it. Chewing tobacco usage will show up on your life insurance blood test.
Chewing Tobacco = Smoking
5. Marijuana! The New Frontier
Life insurance and marijuana have been in the news a lot recently.
In October 2018, the manufacture, distribution, possession, and use of marijuana became legal across Canada!
In terms of underwriting, cannabis use is still a murky area, as there is a limited amount of data available for life insurance companies to scrutinize.
Suffice it to say that the recreational use of pot is now considered to be a much lower-risk activity.
Previous to 2016, marijuana users were automatically lumped in with smokers. Now, casual cannabis users are eligible for standard non-smoker rates provided they don’t smoke any tobacco products mixed in with their pot.
Occasional marijuana smoking with NO tobacco = non-smoker
Smokers Should Always Work with an Independent Life Insurance Agent!
This is why contacting an independent life insurance agent is so important.
We have the inside scoop on the best life insurance companies in Canada. The real work begins when we review your medical history to evaluate how much insurance you need to protect your family comfortably.
We sift through the insurers to find the company that will be the most lenient for your particular situation.
If you take nothing else from this article, you’ll understand that an independent agent can work with you to attain your goals in a personalized way.
I can’t count the number of clients I’ve worked with who ended up with a completely different product or carrier than they originally intended to purchase.
I Quit Smoking – NOW WHAT?
Well, this is terrific news! You’re now on a new path, and your body is incredibly resilient and will regenerate. It’s incredible to see how quickly this happens…
…and life insurance underwriters acknowledge that by allowing people who quit smoking for longer than a year to jump back into the non-smoking pool at a standard rating.
This is terrific news for people who are looking to kick the habit.
But how does it work?
If you have life insurance in force as a smoker and you’ve been tobacco-free for a year or more, you’re eligible to request non-smoker rates. You must complete an Application for Change to Non-Smoker Rates and provide medical evidence.
After you fulfill these requirements, the insurance company will re-categorize you as a non-smoker, and your insurance rates will drop accordingly.
The thing is, if you’re thinking about putting off your life insurance purchase until you quit smoking, think again.
This is a bad idea because a year is a very long time. You want protection for your family as soon as possible.
My advice?
Apply for life insurance, embark on your healthy lifestyle, and we can petition the insurer to reevaluate your coverage. That way, you have continuous protection. You can also consider obtaining a no-exam policy beforehand to make sure you are covered no matter what.
Life Insurance for Smokers No Medical Exam – Bottom Line
Well, well, well! Now you know all about Life Insurance Smokers vs. Non-Smokers.
Smoking is costly when it comes to your personal health AND bank account. If you’re looking for traditional term life insurance, expect to pay more than double that of your non-smoking counterpart.
But that may be the tip of the iceberg. You may be seriously rated or even declined altogether, depending on your circumstances.
You need to contact an independent life insurance agent as soon as possible. We work with Canada’s best life insurance companies and know which carriers are most lenient for smokers.
No stone is left unturned. We review all your details and help you determine how much coverage you need and can comfortably afford. Then, we send your application to the best possible insurer.
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