Life Insurance and Cigars

[Silound]

Originally Posted by SeanGAR

From http://finance.yahoo.com/insurance/a...ance_Companies

Most life insurance policies carry a two-year "incontestable clause" that allows the insurance company to challenge a death claim. If you die within the first two years as a result of, say, a car accident, and it comes out that you were, in fact, a smoker, your insurer would have the right to "rescind" the policy or simply deny the claim.
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All the companies we contacted stated flatly that after a long period of time, such as 10 years, they would pay the claim. Once your policy is this far past the two-year contestability period, linking your death to smoking is less important to them than not reneging on a death claim.


In final analysis, it is better not to die .. er .. lie.

The truth is, after 10 years no company will care. They've made their money from you, they won't care about paying out the claim.