What is a life insurance tobacco test?
Mike
Lafayette, LA
Most insurance companies have been evaluating their applicants’ health more accurately by employing several medical tests or evaluation. To be specific, insurers test their applicants for nicotine presence via life insurance tobacco tests.
A life insurance tobacco test is typically performed by drawing a blood or urine sample for any presence of nicotine. Should an individual be found positive of nicotine, they will be required to pay a higher premium rate. Simply explained, smoking puts your health at risk which increases your chances of dying soon. Most insurance companies take that as a risk to their business thereby requiring you to take the life insurance tobacco test and pay higher insurance cost.
Some insurance companies have caught smokers who claimed to be non-smokers during the underwriting process. If this happens, some insurers will just usually change your premium classification to a smoker rate. However, most life insurance policies carry a two year “incontestable clause” that allows the insurance company to challenge a death claim. This means that in the event that you die unexpectedly within the first two years, your insurer may have the right not to pay your beneficiaries of the death benefit claim.
Whether you pass the life insurance tobacco test or not, the most significant part of applying for life insurance coverage is not to lie on your insurance application. Remember that your policy is a legal contract between you and the insurance company. The application you sign automatically becomes part of your policy and any fraudulent information written to it by you will result to a cancellation of coverage. Moreover, insurers may also refuse to pay costs acquired by a smoking-related death if you are found out that you quit smoking long enough just to pass the medical exam but later resume smoking.
If you have sincerely quit smoking, do not forget to check with your insurer if they can offer you lower rates. Each company has their own regulations. You may be able to get lower rates if you have stopped smoking for some time or even qualify for a non-smoker life insurance package with any company later on.