Sarah is our insurance specialist, reporting the latest important developments in the industry.
Quitting smoking not just improves your health, but your bank balance, too, new research into life insurance premiums shows.
Research from a leading price comparison website has revealed that smokers who stop smoking could save on average £6,659 on combined Critical Illness Cover (CIC) and life cover, or up to £1,571 on a single life insurance policy.
Furthermore, with the average cost of a packet of 20 cigarettes hitting £6.42, a smoker could save themselves a further £1,846 per year by making the decision to go smoke-free.
"With significant savings to be made, those who make the decision to quit should shop around for the best insurance deal to suit their circumstances,”said Emma Walker, Head of Protection at moneysupermarket.
Insurers will insist smokers have kicked the habit for a full year in order to be classed as a ‘non-smoker' and qualify for life insurance premium savings.
If you are looking for life cover, do not always judge by price alone as you usually get the cover that you pay for.
As with all insurance applications, don't lie or bend the truth and be honest about your full medical history: if you do lie, any claim that you make in the future may be rejected and your cover completely worthless.
If you do change your job, have children, sell your house or get divorced it is always recommended to review your insurance arrangements to check that you have the right cover for your individual needs.
The research found that a 30-year old male wanting £150,000 worth of cover over 25 years could save as much as £6,900 with Zurich over the term, or £23.00 per month, if he made the decision to go smoke free.
A woman wanting the same level of cover could save up to £3,648 a term with Scottish Provident, or £12.16 per month just by kicking the habit.
In addition, going smoke-free can also reap big savings on ‘single life' insurance policies – for £150,000 worth of cover over 25 years, the difference in premiums for smokers and non-smokers is on average £1,571 per term for men, and £1,087 for women.
Get your life insurance policy ****reviewed with MoneyMaxim – you could be surprised at the potential savings, costs nothing and means you have nothing to lose!