Why does my CA life insurance cost more if I smoke?

Your CA life insurance company prepares its premium costs based upon the risk you are perceived to pose to the company. Although factors such as financial risks are factored in, the largest factor in terms of the cost of your insurance policy is the risk that you will die. Insurance companies need to ensure that their prices are set in such a way that their risk is balanced and they won't go out of business.

Research shows that smokers are more likely to die at a younger age than non-smokers. Smoking is associated with a range of diseases and illnesses, and the amount that you smoke also affects the likelihood that you may become ill or die earlier than those who are non-smokers. Because of this, smokers are seen as higher-risk than other members of the population with otherwise similar medical and health backgrounds.

Smoking is a risky behavior, and life insurance companies need to ensure that they manage risk when it comes to their premiums. One way of doing this is by increasing their rates for smokers. So if you're a smoker and you're considering taking out a life insurance premium, perhaps it's time to give up for good.