Cigars & Life-Insurance... some real issues

[K Baz]

Personally I prefer full disclosure.

In my area its have you used any form of tobacco in the past 12 months - if yes smoker.

They do have a couple of companies that have cigar smoker rates. But it depends on the amount of cigars. If you smoking 50 cigars a year they will class you a smoker in my area.

I would personally and I have declared my smoking use and it costs me 15 $ a month more but thats cheap in my world for peace of mind.

[Blueface]

Have not read the other responses as pressed to leave.
However, did want to address your question.
I happen to be a manager for a fraud investigation operation for an insurance company.
As such, I am very familiar with the claims side.

Here is a word of caution for you, "void ab initio".
Many, if not all policies, contain language relative to misrepresentations in an application for insurance.
If the misrepresentations are deemed to be "material" to accepting the risk or rating the risk, most states will generally uphold that void ab initio, in essence rescinding the policy from its inception.

So, you never want to lie in an application for insurance, particularly if you have a blog that provides evidence to the contrary to what you have stated.
I can tell you that I smoked a bunch of cigars at a herf in Chicago, then was tested immediately thereafter for a life policy and I had as minimal findings as my wife who doesn't smoke cigars at all. I told them I am an occasional cigar smoker, which is what I truly am. On any occasion I can, I do.

How you proceed, let your conscious be your guide.

[jkim05]

This is a very difficult question both in terms of ethics and law because the question is purposely vague. I work in the industry, so I'm well aware of the ins and outs of the both the underwriting process and the claims aspect. Shoot me a pm, I should be able to answer any questions you have.

[SoCalSmoker]

Here is a link to an insurance broker's blog that discusses Life insurance and cigar smoking which can shed some light on frequent and infrequent cigar use.

I have no alliliation with Ed Hinerman but I did purchase Life insurance a few years ago from him and he is very informative and a straight shooter.
He knows the companies that have the best policies for cigar smokers.
I think if you are seriously looking for a policy he will help even if you don't buy it from him.
Look around his site, it helped me.
He's located in Salida, CO.
http://hinermangroup.com/blog/category/cigar-smokers/
I get nothing from him if you look at his site or do business with him.
Good luck.

[Blueface]

BTW,
Just to add to my "let your conscious be your guide" comment.

Think of it this way, you tell them you don't smoke, you save money on your premium and in the long term, make out like a bandit.
For that to be possible, there has got to be a flip side. The flip side here is when you lie or misrepresent information on an insurance application, you face risks as I alluded to, such as your policy possibly being declared void.

Always best to come clean, even if it costs you more since the risks seem to outweigh the rewards.

Just like this ethical issue there is the one every year, during open enrollment for benefits. My company gives a credit for non smokers. I have always declared myself a smoker, even if referring to cigars and not cigarettes, which I never touch the latter.

Originally Posted by Blueface

Have not read the other responses as pressed to leave.
However, did want to address your question.
I happen to be a manager for a fraud investigation operation for an insurance company.
As such, I am very familiar with the claims side.

Here is a word of caution for you, "void ab initio".
Many, if not all policies, contain language relative to misrepresentations in an application for insurance.
If the misrepresentations are deemed to be "material" to accepting the risk or rating the risk, most states will generally uphold that void ab initio, in essence rescinding the policy from its inception.

So, you never want to lie in an application for insurance, particularly if you have a blog that provides evidence to the contrary to what you have stated.
I can tell you that I smoked a bunch of cigars at a herf in Chicago, then was tested immediately thereafter for a life policy and I had as minimal findings as my wife who doesn't smoke cigars at all. I told them I am an occasional cigar smoker, which is what I truly am. On any occasion I can, I do.

How you proceed, let your conscious be your guide.

Thank you for your intimate insight into the issue. I appreciate the help.

[BengalMan]

Prudential takes cigar smokers as preferred non-smokers. They come to your house, take blood, etc, still non-smoker rates.

Originally Posted by BengalMan

Prudential takes cigar smokers as preferred non-smokers.

[St. Lou Stu]

Originally Posted by BengalMan

Prudential takes cigar smokers as preferred non-smokers. They come to your house, take blood, etc, still non-smoker rates.

Ian,
Thanks for the tip!!
I actually followed through on the Prudential thing and took the physical, bloodwork, blah, blah, blah....

This week I got a call that everything was approved for BETTER than I was quoted. I was quoted a preferred non-smoker rate and after my physical underwriting ended up writing my policy at a preferred non-tobacco rate. In layman's terms... another 50% savings.

Folks, If your looking for life insurance Prudential is the way to go if you want to be honest and have a policy written under truthful circumstances. This ended up being cheaper than the life insurance that I have through my employer. That policy isn't written based off of physical results though.

[ckay]

I don't know if this has been mentioned. There are two year clauses built into most life insurance policies. If you mention you are a non-tobacco user, yet you smoke and die regardless of cause within those two years, your life insurance provider can void the contract if they can prove that you had misinformed the company while applying.

That two year period is also built in with suicide clauses. Beyond those two years, you are good to go.

As far as cigar smoking, based on what I've seen...Prudential and MetLife have best consideration for the casual cigar smokers...as in non-tobacco rates.