You Could Save Thousands On Your Insurance If You Quit Smoking – Here’s How and Why!
Are you a smoker? Did you know that if you have a “pack-a-day” habit you’re spending approximately $2,300 a year on cigarettes? Did you also know that if you’re a smoker your insurance rate is going to spike in price too?
We’re not here to judge by any means, but we are here to help you save quite a lot of money when you combine what you would save on not buying those cigarettes, and how quitting would positively affect your insurance rates. So let’s dive in!
Factors:
Health insurance premiums are going to be determined based on these five factors: age, location, plan category, number of dependents, and lastly, tobacco use. Yes, tobacco use has such a large impact that it has its own category on your insurance policy. This is a big deal and insurance companies base the term “tobacco use” on the type of tobacco (cigarettes, cigars, pipe tobacco, and chewing tobacco), if you use it on an average of four times a week, and within the last six months. So your “once in a blue moon” smoking decision fueled by one too many beers on a Friday night with the crew, isn’t going to affect this.
Rating:
A health insurer cannot simply deny coverage to a smoker, but they can charge a pretty penny (a higher premium) in comparison to the non-smoker. The Affordable Care Act has allowed for insurers to charge smokers up to 50% more; with the explanation for this simply being that smokers are inevitably more likely to develop health issues, and are a greater risk for insurance companies to cover.
Fraud:
If you think that you could “hide” the fact that you are a smoker in order to avoid a higher premium, you may need to be reminded that this would be a form of insurance fraud. Which can be punishable by a class A misdemeanor, up to one year in prison, and up to $5,000 in fines. Something to also be noted, is that if it is found to be a first-time conviction of insurance fraud – you’re looking at six months to two and half years in prison and fines up to $10,000. So, we heavily advise you to go by the honor system, instead of “working” the system.
Going Uninsured:
This is not a good option for you to take in an effort to avoid the higher premium if you are a smoker, because then you’re looking at far greater costs to aid you if health issues do arise and you’re then stuck with the full bill!
So please consider quitting now, to lower your rates in the future! You’ll not only save thousands every year on cigarette costs, but you’ll come out on top with your insurance rates, and ultimately be around to spend quality time with your loved ones. Give us a call or email today to talk about your rates, and how we can help you, help yourself!
Article written by contract writer and digital media coordinator: Candace Cox. You can reach her at socials@howardwebbins.com or candacecox96@gmail.com.
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