Finance Talk

i have a life insurance policy which i bought 2 yrs ago. at that time i smoked but this yr my new years resolution was to stop smoking - and i have! ive read that my policy will be loaded because i was a smoker when i took out the policy. will they reduce it now becuse i do not smoke?

Congratulations for giving up smoking.
First of all, the premiums for smokers can be as much as 60% higher than for non smokers. Most insurers will reconsider the premium they charge if you give up smoking but they want to be as sure as possible that it isn't just a temporary give up. No insurer will consider a revision to your premium until at least the first anniversary of your quitting. Some insurers may want to wait even 2 or 5 years. Then they are likely to offer you a reduction - but possibly not as far down as if you had never smoked.

So my suggestion is wait 12 months. Then do two things. Apply for a new policy through a broker but tell them that the smoker qualification must be "not smoked in the last 12 months". Then contact your existing insurer and ask them for a revised premium and see what they offer. Then compare the quotes you get, and go with the cheapest.