A 10-a-day smoker who quits tobacco-filled cigarettes and switches to “electronic” versions already stands to save more than £1,000 a year.But they might also qualify for a 40pc reduction in life and health insurance premiums – if the wider industry follows the example of one insurer and agrees to treat “e-cig” users as “non-smokers”.
The rapid take-up of electronic cigarettes, which are tobacco-free and involve inhaling small quantities of vaporised nicotine, has taken governments and health authorities by surprise. There are already more than a million users in Britain. Many shops, including supermarkets, stock the devices. But the trend has not been properly addressed by the insurance industry – even though smoking remains one of the biggest factors in determining the price of cover.
A specialist insurance broker has focused attention on the matter by successfully arranging life cover, at non-smoking rates, for a number of clients who use only e-cigarettes. The insurer involved, which is one of Britain’s biggest, was made aware of their e-cig habit.
The broker, Harvey Sutton of Manchester-based Suttons Independent Financial Advisers, said: “All insurers ask questions about tobacco use and many, but not all, ask specific questions about nicotine. We sought situations where e-cig users could honestly answer questions relating to their use of tobacco products. Electronic cigarettes are not tobacco products. We spoke to the underwriters in question: we are not doing this without underwriters’ knowledge.”
