E-cigarettes are causing insurance confusion

e-cigarettes or vapor

Now that the FDA plans to regulate the devices like their tobacco alternatives, insurers are facing complications. The Affordable Care Act has allowed health insurance companies to charge premiums that are up to 50 percent higher to smokers and other tobacco users than they would to nonsmokers, but the introduction of e-cigarettes into the marketplace have started to make rates calculations a little bit less clear for those insurers. These battery operated devices have some of the properties of their tobacco based counterparts, but not others. Therefore, when it comes…

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Health insurance for smokers may be cheaper with electronic cigarettes

smoking health insurance

Some policyholder may be able to dodge increased premiums for tobacco users with these products. The healthcare reforms have allowed health insurance companies to factor smoking into premiums calculations, so that tobacco users will typically be required to pay a higher amount than those who do not. The surcharge every year for this habit can be as much as $5,000 for smokers at higher ages. However, as of yet, electronic cigarettes have not been included in this regulation, meaning that smokers who make the switch to these devices may be…

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