Cost of Vapers' Life Insurance To Drop

Cost of Vapers' Life Insurance To Drop
LIFE insurance for vapers is finally set to drop after Public Health England's report revealed it is 95 per cent less harmful than smoking.
Until now, e-cigarette users have had to pay double the premiums of a non-smoker after receiving the same life insurance rates as cigarette smokers.
Now the UK Vaping Industry Association has collaborated with insurance broker Future Proof and Canada Insurance to finally offer vaper users life insurance that reflects their switch to a healthier lifestyle. It is now hoping others will start following suit.
The move comes after it was revealed how most high street insurers calculate vaping to be as dangerous as smoking for life insurance policies and for many years have been doubling premiums.
An industry conference also heard how no major insurance firm in Britain was prepared to downgrade the risk for users of e-cigarettes or nicotine-containing smoking substitutes.
Insurance expert Andrew Wibberley told the UK Vaping Industry Association conference: "'In practice, if you are a non-smoker you are paying about £10 a month for a life insurance policy. If you are a smoker, and largely that includes e-cigarette users, you are paying about £20 a month for a policy."
Figures from Future Proof, an independent insurance broker who is now offering vapers fairer-priced insurance, said until now the average 20-year cost for £100,000 of life cover at £12,617 for a 60-year-old non-smoker. But that more than doubles if they use e-cigarettes, to £30,924. The average 25-year charge for a 40-year-old with £100,000 cover rises from £2,838 to £5,877 if they vape.
But since the PHE report earlier this year, insurers are starting to re-look at rates for vapers.
John Newton, of Public Health England has backed the move by insurers to lower premiums, saying the risk from vaping was 'much lower than from smoking', adding: 'Insurance companies should not discourage smokers from using the UK's most popular quitting tool."
A spokesman for the UK Vaping Industry Association said: 'Clearly vapers should be offered insurance rates that reflect that it is 95 per cent less harmful than smoking.
"That is why the UKVIA is very pleased to be partnered with FutureProof who, working with major insurer Canada Life, are able to offer vapers a fair deal that is very close to the rates that non-smokers pay. Hopefully the rest of the insurance industry will follow suit."

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