The Financial Benefits of Not Smoking
Health issues aside, smoking is one of the most expensive habits to have. The average price of a packet of twenty cigarettes is £6.95, so if you’re a twenty-a-day smoker, you’re effectively putting a match to almost £2,000 every year.
Not only that, but as a smoker you’ll find that all life insurance quotes you find will show up a higher premium than normal. If the health benefits of kicking the habit aren’t enough to motivate you to quit, then the financial ones just might sway you.
No Cigarettes = Extra Cash
Take some time and think about how many cigarettes you smoke every day, and work out how much that is costing you. For the price of a packet of twenty cigarettes you could treat yourself to a trip to the cinema, or go out for a coffee or two with some friends. Even if you’re just a casual or social smoker, getting rid of the cigarettes now will still save you a pretty penny. If you want to think more long-term, think of what the savings from not smoking will bring you.
Want a new TV or tablet computer? Three months of no cigarettes gives you over £600 spare cash to buy one. Fancy a summer holiday to Greece? Ditch the cigarettes for a month and you’ll have saved enough to afford a return flight. For every packet of cigarettes you don’t buy, think of all the things you can then afford at no extra cost. It’s basically bonus cash for being good to your body.
Cheaper Life Insurance
The savings don’t stop there. Your life insurance premium is all based on risk, and your life expectancy is used in working this out. Understandably, the heavier you smoke the shorter your life expectancy. To a life insurer this means they’re far more likely to pay out for your policy sooner than a non-smoker, and therefore you’re a bigger risk and have to pay a much higher premium.
A man who quits smoking at age thirty will add an extra decade to his life. An extra ten years to your life expectancy means that you’re a lower risk, and so your life insurance premium will drop. With more money saved a longer life with which to spend it, it’s a win/win situation.
If you have any kind of critical illness insurance, the price for this will also drop, as quitting smoking decreases the risk of you developing a serious illness such as lung cancer or heart disease.
If you do decide to kick the habit, be sure to tell your life insurance provider. You need to be free of any kind of nicotine product, so that includes cigarettes, nicotine patches and other devices designed to help you quit smoking, for at least twelve months before your policy can benefit.
Of course, wanting to quit and actually doing it are two different things, and it can be extremely difficult to do so. However, with willpower and support it’s possible to give up for good, saving you a fair amount of money in the process. Good luck.
This article was written by Jamie Gibbs of Confused.com, the life insurance comparison site.