When taking out loan insurance, the borrower provides information, particularly regarding his health. In this context, smokers are in the line of fire. An excellent reason to crush your last cigarette right away in an ashtray!
Tobacco kills and is expensive
Insurance companies rely on smoking to apply a premium. If you are a non-smoker, you pay less for your loan insurance. If you are a smoker, you are one of the risky borrowers who may be at risk of premature death, cardiovascular disease and cancer. Thus, a smoking couple who accesses the property pays, on average, twice as much as a non-smoking couple of the same age and placed in the same living conditions according to the newspaper.
No lies when reporting health status
Two criteria are used to evaluate smoking: seniority as a smoker and the number of cigarettes smoked per day. Nicotine tests are also available. When you subscribe to your mortgage insurance, the insurer asks you to complete a health declaration. If you lie and develop a smoking-related condition, the insurance company may declare your mortgage loan insurance policy void and the bank may demand repayment of the borrowed amount. In summary, you will have paid a guarantee at a loss and your lie will compel you to face additional difficulties.
From smoker to non-smoker
If you were a smoker when signing your credit insurance contract and you quit smoking, you must have passed the 24-month weaning period before being officially recognized as a non-smoker. Vomers are considered smokers because being a non-smoker means having made no use of tobacco and its derivatives.
Nevertheless, stopping can help you negotiate a lower insurance contribution. This is especially true with insurance delegation. As you can compete every year, you can also adjust your contributions more easily to your new health situation. However, if you become a smoker during the execution of your mortgage insurance contract, you must report it and agree to pay the price!