Quit smoking and your life insurance premium could decrease by 50%

“If you’re a smoker considering quitting the potential cost savings on your life insurance is another reason to break the habit that you can add to the list. And for those who managed to succeed in quitting the habit last year, speak to your local Financial Broker who will be able to advise you about the potential cost savings for non-smokers.” said Royal London’s Underwriting and Claims Lead, Colette Houton.

It is no secret that smoking drains not only one’s health but also one’s pockets. An article published yesterday on Irish website, Business World, pointed out that a 45 year old smoker will pay an average of €12,000 more than a non-smoker in premiums for Mortgage Protection Life Cover, while a 55 year old smoker could pay over €11,000 more than a non smoking individual over the course of the policy for Term Assurance Life cover for a 10 year term.

Another incentive to quit smoking

Hence, experts in Ireland are reminding all ex-smokers, who have given up for over a year, to speak to their life insurance providers and ask to be reclassified as non-smokers. This could result in the premium they pay being deducted anywhere between 35% to 50% to match that of non-smokers.

Data from the Department of Health’s Healthy Ireland Survey 2016, shows that between 2015 and 2016, 10% of Irish smokers quit, making Ireland the leading country in smoking cessation rates throughout the EU. Additionally, other data from the report showed that 11% of smokers are currently trying to quit, 20% are planning to quit, and another 28% are considering quitting.

Another report published earlier this month by Irish Health Information and Quality Authority (Hiqa), with the aim of examining the cost effectiveness of electronic cigarettes, found that smokers using the products for smoking cessation would be at a financial advantage in addition to having a better chance of quitting completely. However the Royal London said that to be classed as a non-smoker one must abstain from using all “tobacco products”, a classification which unfortunately includes vaping products.

Ireland has the highest quitting rates in the EU

“When it comes to smoking it seems we are increasingly becoming a nation of quitters, which is good news for our health and our bank balances. Thousands of people across the country will have made quitting smoking their New Year’s Resolution this year and we wish them the best of luck.” said Houton in commenting about the above data.