How Smoking Impacts Your Health Insurance Policy

It’s a well-known fact that smoking causes an adverse effect on your health. You must have seen the warning message on all cigarette boxes – ‘Smoking is injurious to health’. Smoking tobacco is a root cause of 30% of all cancer deaths and causes 16 times higher risk of heart attack.

There are almost 120 million smokers in India. As per World Health Organization, India accommodates around 12% of the world’s smoking population. The number of men smoking tobacco has increased from 78 million in year 1998 to 108 million in the year 2015. Tobacco consumption is accountable for the death of 6 million people each year. Direct tobacco consumption accounts for over 5 million deaths and 0.6 million deaths are due to exposure to second-hand smoke. Considering serious public health risks, the Government has banned smoking in public places from 2nd October, 2008.

Not only your health, it also causes you to pay higher premiums for a health insurance policy, due to increased health risks and shorter life expectancy. A nonsmoker however, gets premium discounts as a reward to lead a healthy lifestyle. Being a smoker, it is advisable not to hide your smoking habit from your health insurance company, as it helps you to cover the smoking-related health issues.

There is a wide curiosity among people, how smoking impacts the health insurance and its cost. Let’s educate yourself about smoking and its impact on health insurance policy.

Smoking – What It Includes

Smoking includes inhalation of of the smoke of burning tobacco in the form of cigarettes, cigars and beedi. Whether you are an occasional smoker or frequent smoker, you will be considered as a smoker under the health insurance policy.

Smokers can buy health insurance, however an insurance company may charge extra premium or reject your application for insurance, depending on the number of cigarettes you smoke on a regular basis. A smoker may also have to go through additional health check-ups that can help an insurance company to ascertain the risk factor and then charge the premium amount accordingly.

How Smoking Affects Your Health and Insurance Premium

Smoking makes the serious impact on your health, some of them are detailed below.

Circulatory System: Smoking results in increased risk in the heartache and blood pressure. Building up of fatty acids could resulting to atherosclerosis.

Immune System: Smoking results in severe and long lasting illnesses. Smokers are more prone to develop ulcers, cancer, pneumonia, high blood pressure, bronchitis, and other viral/bacterial/fungal infections.

Respiratory System: Smoking may damage lung functions and breathlessness. It may cause damage to the air sacs of the lungs, increased chance of developing chronic bronchitis.

Oral Health: Smoking can lead to tooth loss, tooth staining, gum disease which may increase the risk of tooth decay.

Cancer: Smoking for a long time also causes cancer to various body organs.

When it comes to a health insurance policy, an insurance company considers the magnitude of illnesses and deaths caused due to smoking and that’s why, smokers need to pay higher premiums to avail health insurance cover. Typically, the insurance companies charge around 15 to 20 percent higher from a smoker policyholder. Those who smoke would need to undergo additional medical checks, before the insurer issues you the policy.

Let’s understand the difference of premium between a smoker and non-smoker individual.

Ritesh (non-smoker) at 30 years of age buys an individual health plan with Rs 5 Lacs coverage, for 1 year policy term, the chargeable annual premium amount is Rs 4,656. However, Raj (smoker) is buying an individual health plan, he is charged with an annual premium amount of Rs 7,552. An increase in premium amount is only due to the fact that Ansh lies in the smoker category of premium. We can see Raj is paying Rs 2896 extra on account of smoking.

Smoker with Existing Health Problems

If you are a frequent smoker that has caused the symptoms of the declining health condition and getting puzzled whether you can get a health insurance. The answer is yes, the only thing required is to make honest and proper disclosures.

The insurance company will then assess the risk associated with your profile and then decide on terms & conditions and the premium to be charged for providing you a health cover. The premiums charged will be higher and a waiting period will be applied for covering your pre-existing diseases. Moreover, if you are seeking an immediate coverage on your deteriorating health condition, you may go for a critical illness policy.

Conclusion:

Smoking makes an adverse impact on your health and your health insurance policy as well. An insurance company will charge you a higher premium in proportion to the risk associated in providing a health cover. An important point to note that you should disclose all relevant information regarding your health and smoking habits. In case, you are found hiding or providing fake information, the insurance company may decline in settling the claims.

What Is To Blame For Less Affordable Health Insurance?

A recent statistic from global consultancy Hewitt Associates is sobering. As reported in Newsweek magazine, employers’ health insurance costs will rise by 8.8 percent in 2011. That is the highest level in five years.

Obviously, the blame game has already started. The Barack Obama administration, along with many liberals, have put the blame on allegedly greedy health insurers. According to progressives, insurers are jacking up their rates beyond either general or medical inflation in order to maximize their profit margins before new regulations and consumer protections go into effect. These actions also have the side effect of decreasing support for the legislation among those who decide that the correlation is the same as causation–although that remains to be proven.

Meanwhile, health insurance companies are blaming politicians. Specifically, in the future they will be mandated to provide coverage for more preventative care conditions. Although some experts predict that doing so will lower their costs in the long run (by having their customers avoid developing chronic diseases that are expensive to treat), it is more costly in the short run.

The healthcare reform provision that will benefit insurers the most, the individual mandate, is not scheduled to go into effect until 2014–and the Supreme Court may end up striking that portion of the law down as unconstitutional. Meanwhile, this week brings the requirement that group health insurance companies allow the adult children of employees to remain on their coverage until the age of 27; in a recession that has left millions in that demographic unemployed, a high percentage will probably take advantage of that benefit. Meanwhile, annual or lifetime coverage limits have now been banned.

Insurers also feel that they need to earn as much money as possible before the medical loss ratios kick in, which will not allow them to spend over 20 percent of the premiums they collect on administration and profit. As some consumers drop their coverage due to cost, they must charge more to existing policyholders.

Most likely, all of these elements should share blame for the rate hikes. Unfortunately, it is the average American who is left with less affordable health insurance. Employers are passing an increasing percentage of out-of-pocket costs to their workers.

My Solution to the Health Insurance Problem of the USA – My Understanding

The sector of health insurance in America is currently marred with steaming debates and conflicts. The main reason for conflict is that Americans are of the opinion that the existent elaborate restructured principles will stall the development process.

Let me offer you a solution which will be accepted by all nations and also benefit the USA like never before.

Today the people of a country are largely dependent on health insurance for the family. But in the gazetted officer of written signature, there is a persistent dilemma with output cognizance. The creative way of written solution is not appropriate. I give the high denominator for the arguments.

But let me be specific with details.

The health of an individual or family is based on his/its respective habits. But the habits are either causing improper values or weakening the scheduled process. In the given circumstances, the living of a being is determined by the weakened knowledge. The values are deteriorating because of harmful influences. Men and women do seek help from the government to discuss the challenges and precipitate the value by regarding either consultative process or with arguments of dis-governance. In the appeared notion, the value of a home is not in the government by the ridiculous distant process. This means the important information is gathered that light, the governing body should ensure that the system is enough through habits.

So, let me propose my solution. In the constitution, a law cannot disvalue the event of natural death. This means, in the detrimental sequence the important reason for the judgment is through maintenance of proper judgment through father and mother.

So in this experiential knowledge, the given theories of owning once method is based on written theory. It implies that the solution can bargain the changes to be known and calibrated. But the evenness of a solution is not maintained through important legislations. This is an improper way to change an either system or the behavior.

So my theory of cauliflower treatment revolves around the achievement of a continuous balance. In the earth, the siblings are born when the moon and the sun acknowledge the value of creation. This is known as the principle of organic distributed changes.

The method now which I will discuss is known as giving the monument through a price. The monument is given with the problem satisfied through gathering. In the death, the direct relation will benefit.

But according to the current liability, the values of a family are written by changing parameters.

Let me describe the solution-

“Every member of a family requires protection. That protection cannot be withheld through legislation. The poor or the rich have one common distinguishing attribute, and it is grandeur. Hence provide a method of registration as a poor or rich in the documentation.”

If the document says you are poor, the attributed value will be recorded in the system. Then in the proposed solution for the poor, the method of guarantee is when he attains the maximum deserved points. These points are well accorded with principles of green order. In case a poor person has a disability, he will be given 5 point rating. In case the poor man cannot identify a suitable insurance company for protecting his life, he will be accorded zero influence. That means every person will be scaled in his or her life. If the scaling of parameters is done through calibration, then the scaling of the budget will also be performed through calibration. This way, the budget of an individual will determine the scalability and worth disowning changes. Not only that, every member pertains to the important systematic budgets of their proposal.This will cure his ailments. But, in case, he is out of budget then his previous calibrated pattern will determine how much budget can be allocated for his life burden. If he is not through this organized system, then he can choose a policy of different insurance where the guarantee is valued through premium.

This way, a poor person can not only react with the atmosphere but also with the habits. In case he is into poor health habits, he will suffer from illness frequently. Then his values will be determined through a rigorous method of sequencing integers which will bring him success or failure through the algorithm. Not only that, the case to the case study would be made. It’s to note here that the calibration can be exceptional in the case of rare disorders that are noted. Men and women can use the budget through the mechanism of organized systems in place.