Insurance
The Insurance Cost of Being a Smoker
By (The) Boring Investor  •  August 2, 2015
Last week, I blogged about the cost of buying insurance at different ages. This week, we will discuss the insurance cost of being a smoker.

The chart below shows the difference in annual premiums for a level term insurance with critical illness benefits for a male with a sum assured of $1 million covering until 70 years old. Using age 25 as an example, a non-smoker would pay $3,149 in annual premiums for 45 years until age 70, while a smoker would pay $4,936. The difference is $1,787, or 57% more. The total premiums payable over the whole duration of the policy is $80,415 more for the smoker.

Difference in Insurance Premiums for Non-Smokers and Smokers

The percentage difference in annual premiums between non-smokers and smokers generally increases with age. At age 20, the percentage difference is 50%, while at age 65, the percentage difference increases to 71%. Thus, from ...
...
Read the full article
By (The) Boring Investor
nvestor, Engineer, Photographer, Blogger, Friend and Son.
LEAVE A COMMENT
LEAVE A COMMENT

Your email address will not be published.

*

Your Email Address will not be published
*

Read More Articles
More from thefinance