vaping and the fact that not all vapers quit smoking entirely are
factors in the decisions of many leading insurance companies
when it comes to assessing risk.
John Geraghty, chief executive of LA Brokers, told the Sunday Times:
“Most life insurers ask applicants if they have smoked cigarettes,
cigars or pipe tobacco or used nicotine replacement products
or e-cigarettes in the past 12 months. If the answer is yes, their
premiums are loaded.”
However not all insurance companies load premiums for e-cigarette
users.
New provider reviti has announced it will offer e-cigarette users
discounts on their life insurance premiums of up to 50 percent of
the rates paid by smokers.
The discounts will apply to customers who buy directly from their
website and who use e-cigarettes exclusively.
It said vapers could expect 15 percent discounts where they quit
smoking entirely and switch to TPD-compliant vaping products
exclusively.
The company added: “[Smokers] who make the best decision and quit
tobacco and nicotine altogether for 12 months will receive a discount
of up to 50 percent off life insurance premiums.”
reviti CEO Dan Pender said: “We’re delighted to be able to offer this
great discount to people who use e-cigarettes exclusively. This is an
important milestone for reviti and demonstrates our recognition of
the role played by e-cigarettes in helping people quit smoking.
“The response we’ve had so far from customers has been great
and we are continuing to develop a range of insurance offers to
incentivise better lifestyle choices.”
Meanwhile in the USA, smokers typically pay 50 percent extra on
their premiums compared with non-smokers and many insurers still
offer discounts to vapers.
However the recent THC-linked vape crisis may change this; the
nation’s fourth largest insurance provider Prudential, has announced
that it will now treat vapers the same as smokers.
A company spokesman said: “Prudential will reclassify users of
e-cigarettes to treat them as smokers. Smokers typically will have
higher-priced policies.”
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