Tobacco and life insurance explained

Tobacco use is one of many factors that influence your eligibility for life insurance and the cost of your policy. When applying for life insurance, you will be asked if you smoke and, if so, what type of tobacco products you use. Because smokers have a threefold higher mortality rate than nonsmokers, you can expect to pay a much higher life insurance premium if you use tobacco. Here's what you need to know about getting life insurance if you use tobacco or have a smoking history.

The cost of tobacco use on life insurance

Tobacco use is the leading cause of "preventable disease, disability, and death," according to the CDC. Furthermore, it is estimated that smoking-related illness costs society more than $300 billion per year. Life insurance companies are well aware of this, and their policies are priced accordingly.

If you're a smoker looking for life insurance, you should expect to pay two to three times as much for a health insurance policy as a nonsmoker. Some "smoker-friendly" insurance companies, on the other hand, may be willing to work with you on premium rates.

Types of tobacco that life insurance companies care about

To obtain life insurance, you may be required to take a medical exam, which may include a nicotine test. However, life insurance companies do not simply test for nicotine during the examination. Cotinine is an alkaloid found in the body after nicotine has been metabolized, so it is a marker of nicotine use. If you're thinking about getting a cotinine test, life insurance companies will most likely look for it.

Life insurers are concerned about all types of tobacco use, including:

Cigarettes

Life insurance underwriting categorizes applicants as either tobacco or non-tobacco risks. Smokers who smoke cigarettes on a regular basis are considered high risk to insure, so if you apply for life insurance as a current cigarette smoker, you will undoubtedly be classified as a tobacco risk.

Cigars

Some life insurance companies may give you a break if you only smoke cigars on occasion. However, you can only smoke a few cigars per year. Furthermore, some life insurers may not distinguish between occasional cigar use and regular cigarette use.

E-cigarettes/Vaping

In general, life insurance companies do not distinguish between vaping and regular cigarette smoking. If you use e-cigarettes or vaping products, the provider will classify you as a smoker, just as if you smoked traditional tobacco.

Smoking cessation products

Nicotine cessation products, such as nicotine gum and patches, still leave cotinine traces in your body. Even though there is no tobacco in these products, you will most likely be classified as a tobacco risk if you use them.

Types of tobacco use that life insurance companies test for

Smoker tests are the industry standard when applying for various types of life insurance. Although tobacco is the primary concern for life insurance companies, tobacco tests aren't always the best way to determine whether or not someone is a smoker. Instead, providers can perform cotinine testing.

Life insurance companies look for the following characteristics:

Tobacco-based nicotine products

Tobacco products, including cigarettes, cigars, and chewing tobacco, are all considered high-risk factors by life insurance companies. If you use any of these products on a regular basis, you will almost certainly be classified as a tobacco user, which means your premiums will be much higher than if you did not smoke.

Nicotine products without tobacco

Cotinine is typically tested for by life insurance companies. That is, even if you use nicotine products without using tobacco, you will most likely be classified as a tobacco user. E-cigarettes, nicotine gum, and nicotine patches are still considered products that put you at risk for a shorter lifespan, and as a result, you are charged a higher rate.

Marijuana

Marijuana is now legal in 19 states and Washington, D.C. As a result, it is becoming more popular among Americans. If you smoke marijuana frequently, your insurance provider will most likely classify you as a smoker and charge you higher rates. Insurance companies typically require a THC-screened blood and urine sample. You may be able to qualify for non-smoking rates if you only use edibles rather than smoking, but proving that to your insurance company may be difficult. Even if you're in good health, your rates may rise if you use marijuana recreationally.

Remember that medical marijuana has the potential to affect your life insurance rates as well. While it is not guaranteed that using medical marijuana will result in a higher life insurance premium, it is a good idea to discuss your specific situation with the life insurance provider. If you use medical marijuana, you may be required to submit a copy of your medical marijuana card or a letter from your doctor explaining your condition and why marijuana is part of your treatment plan.

How long tobacco stays in your system

Tobacco testing requires a sample of your blood, urine, saliva, or hair. Nicotine can usually be detected for a few weeks after use, depending on the sample used for the test. However, nicotine use can sometimes be detected in a hair test up to a year later. If you're wondering how long nicotine stays in your system, keep in mind that it can last up to a year.

To be considered a non-smoker for life insurance purposes, you must be smoke-free for a year. Even if you stopped smoking months ago and don't believe the insurance company will detect anything in your system, you should never lie about your smoking habits or when you quit.

If you lie about your tobacco use and the provider discovers it, claims on your life insurance policy may be denied, putting your loved ones' finances in jeopardy. Lying to a life insurance provider about your tobacco use may also be considered fraud, which may result in legal consequences. As a result, the best policy is to always be completely honest when answering all health questions during the life insurance application process.

How former tobacco users can get the same rates as non-users

When you apply for a new life insurance policy, the provider will most likely ask if you have used nicotine in the previous 12 months. To be considered a nonsmoker for life insurance purposes, you must have been nicotine-free for at least a year.

If you already have a life insurance policy and have quit smoking, you can request a rate reduction from your provider. Your provider will most likely require you to take another medical exam at this point. You can also look for a different provider and start over with a new non-smoker life insurance policy.