Free Insurance Quotes


Zip



Latest News

Other Ways Smoking Impacts Your Wallet - Not Just Health Insurance

Everyone knows about the potential health hazards of smoking. It’s not likely that anyone cracking open an $8 pack of cigarettes is surprised—or even put off—by the Surgeon General warnings that adorn their packages. But did you know that being a smoker could also have a significant impact on your home and auto insurance premiums?

Homeowners insurance policy makers rationale is simple and straightforward: a home occupied by a smoker stands an inherently greater chance of burning to the ground than a home occupied by a non-smoker. It’s a fairly accurate assumption to make, given the laws of probability, which is one of the reasons non-smoking customers pay, on average, 10 percent less on premium rates than those who light up.

As for auto insurance, the typical smoker pays an average of 5 percent more than a non-smoker. Less than the increase in homeowners insurance costs but still significant—especially when you consider that full time smokers already spend an average $150-$200 a month on their vice of choice. The reason smokers are seen as higher risks behind the wheel are two-fold.
 

  • Smokers are perceived as more prone to engage in higher risk activities than non-smokers. Some auto insurance carriers could see this as a translation for taking unnecessary risks on the road—which may result in a higher instance of accidents.
  • Distraction behind the wheel is one of the leading causes of car accidents, and people who smoke when they drive have to sacrifice a percentage of their full attention from the road around them.

Related Articles

Homeowner Basics: Exploring your Home Insurance Options 01/01/2013
As a homeowner, you have a lot of decisions to make. One of the most important is choosing the right insurance to protect you and your finances in case the unexpected occurs. While understanding in...

Read More →

Majority of Consumers Are Satisfied with Online Insurance Quotes 11/19/2011
Recent reports reveal that in the United Kingdom, over 85 percent of all homeowners are happy with researching online insurance quotes and purchasing their home insurance policies either from an in...

Read More →

My House is Paid Off - Do I still need Homeowners Insurance? 08/28/2013
As a homeowner, you probably had to initially get your homeowners insurance policy as a requirement when you got your mortgage. This is because the lender had a lien on the home, meaning that the l...

Read More →