Smoking kills your chances of getting cheap life insurance.
If you enjoy and use tobacco products, it will be almost impossible to get preferred rates.
Even if you are healthy and have a great physical condition, insurance agencies will still consider you a risk.
Smoking causes many diseases and health problems, so even if you are healthy at the moment, insurance agencies assume that you will face serious illnesses later of which you can die.
Taking into the account the risks associated with tobacco use, agencies will always ask higher premiums from smokers.
So, what policy should you, as a smoker, buy? Like always, there isn't a correct answer that works for everyone.
Choosing a policy depends a lot on what you want.
Here are some policies that you can choose from.
Term life insurance Term life insurance is one of the best policies you can buy as a smoker.
It is cheap and it offers good coverage.
Even if at standard rates, the premiums are low and everyone can afford it.
The policy is cheap because it provides temporary coverage.
The longer the coverage period, the higher the premiums will be.
The policy can insure you for a maximum of 20 or 30 years.
Return of Premiums Life Insurance This is a version of the above policy, but with an extra feature: it pays back the premiums with interest.
This can sometimes be a better option, but keep in mind that it is expensive and the value of the returned money will not be the same, as inflation will lower the value of the money returned, in 20 or 30 years.
Universal Life Insurance UL provides permanent coverage and some limited investment opportunities.
It builds cash value through investments and paying dividends.
It is pretty flexible, as you aren't required to pay regular premiums.
So, if you miss a payment, you do not lose the policy.
The cash value grows tax-deferred and you can withdraw money from the account.
UL can be advantageous for a smoker because of its flexibility and investment opportunities.
If you will have medical issues, you won't have to worry about getting life insurance, since the coverage is permanent and you can withdraw money from the policy.
A tobacco user will have a hard time finding cheap coverage.
However, there are policies that have cheaper plans.
It is important to know what you need and to revise your policy often, especially if you decide to quit smoking.
If you enjoy and use tobacco products, it will be almost impossible to get preferred rates.
Even if you are healthy and have a great physical condition, insurance agencies will still consider you a risk.
Smoking causes many diseases and health problems, so even if you are healthy at the moment, insurance agencies assume that you will face serious illnesses later of which you can die.
Taking into the account the risks associated with tobacco use, agencies will always ask higher premiums from smokers.
So, what policy should you, as a smoker, buy? Like always, there isn't a correct answer that works for everyone.
Choosing a policy depends a lot on what you want.
Here are some policies that you can choose from.
Term life insurance Term life insurance is one of the best policies you can buy as a smoker.
It is cheap and it offers good coverage.
Even if at standard rates, the premiums are low and everyone can afford it.
The policy is cheap because it provides temporary coverage.
The longer the coverage period, the higher the premiums will be.
The policy can insure you for a maximum of 20 or 30 years.
Return of Premiums Life Insurance This is a version of the above policy, but with an extra feature: it pays back the premiums with interest.
This can sometimes be a better option, but keep in mind that it is expensive and the value of the returned money will not be the same, as inflation will lower the value of the money returned, in 20 or 30 years.
Universal Life Insurance UL provides permanent coverage and some limited investment opportunities.
It builds cash value through investments and paying dividends.
It is pretty flexible, as you aren't required to pay regular premiums.
So, if you miss a payment, you do not lose the policy.
The cash value grows tax-deferred and you can withdraw money from the account.
UL can be advantageous for a smoker because of its flexibility and investment opportunities.
If you will have medical issues, you won't have to worry about getting life insurance, since the coverage is permanent and you can withdraw money from the policy.
A tobacco user will have a hard time finding cheap coverage.
However, there are policies that have cheaper plans.
It is important to know what you need and to revise your policy often, especially if you decide to quit smoking.
