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Telling the truth is an essential virtue, especially when it comes to dealing with insurance companies.

A schoolyard fib gets denounced with 'liar, liar pants on fire', but an insurance fib can carry disastrous consequences.

It's no secret that smoking isn't good for you.  We all know that, including the insurance companies.

That explains why insurance premiums for smokers are roughly double the rates for non-smokers.

The smoker/non-smoker question shows up on every insurance application.

'Occasional' smokers often ask me what to answer if they are just 'casual' smokers of cigarettes or marijuana.

I advise them to tell the truth, the whole truth, and nothing but the truth.

Are they considered smokers for insurance purposes? YES.

Having even one cigarette per year classifies somebody as a smoker. (Cigar smokers can relax as  2 cigars per month usually still  qualifies  them as a non-smoker).

When I explain the risks of not telling the truth, the vast majority of people realize there is little upside in 'tricking' the insurers.

The good news is this: smokers who genuinely quit see their premiums reduced sharply if they don't smoke for 12 months.

I met recently with the CEO of a rapidly growing tech company who asked me about his occasional tobacco use.

He was shocked when he saw the difference in premium rates and asked me to put him down as a non-smoker for now with a 'promise' to quit smoking that very same day.

I suggested he tell the truth, quit now and in 12 months (or less based on how long it would take him to go through underwriting) he would qualify for the lower rates.

He declined my suggestion claiming he was not really a smoker and insisted on proceeding with an application for life insurance.

I couldn't help him.

Thankfully, in more than 20 years of doing this, I have had to 'fire' just a small handful of clients who insisted on telling a lie.

My late mother of blessed memory frequently reminded me and my brothers "the truth shall set you free".

What good is an insurance policy based on a lie that can ultimately be dismissed leaving widows and orphans broke?

I want my clients to have true peace of mind too.

Stay healthy