Our family is shopping for life insurance. My husband smokes 1-2 cigarettes a day and wants to quit, thus he thinks this "light" smoking should not be mentioned to the insurance company to keep premiums low. I am, however, concerned that in the future a claim may be denied if the company finds out, so it is better to pay up and be safe. Has anybody had issues like that? How can I convince him?

Well, that's kinda dumb to not mention it, as they're going to TEST for it, and it's going to come up positive. Denying tobacco use isn't going to do anything except annoy your agent (after all, he's trying to work for you, and you're lying to him!) and get you declined.

If you're buying a very small policy, like $10,000, where they won't test, then yes, the company can deny a claim based on fraud - which is what he's doing.

Next time he complains about insurance rates, remind him that the high fraud rates (and attempts) help contribute to high rates - and HE advocates fraud.

Tell the truth. In Canada, where I live, you are not considered a non smoker unless you have quit for 5 years. After your husband has quit for that period of time he may be able to change his policy to that of a non smoker and possibly have his premiums lowered.
If you lie and something should happen your policy would be null and void if they found out. It is not worth the gamble.

Always tell the truth when applying for life insurance.

Your rates are based on your truthful answers to the application form for your coverage.

When you lie, you are misrepresenting your risk to the insurance company. This is a form of fraud.

The life insurance policy comes with an "Incontestable Clause" that usually lasts for two years. Meaning the insurance company has at least two years after you buy the policy to contest any claim if you die and you lied on the application.

Also, depending on the amount of coverage, you will have to take a physical and blood test that should verify whether you have nicotine in your system.

The bottom-line is this - don't lie on the application. You can go back a year or two after your husband stops smoking and ask for the insurance company to consider re-rating his policy based on non-smoking.

Make sure to consider several smoker term life insurance quotes from several insurers to find the best rate. You can compare free quotes at https://www.efinancial.com/smartquoteefc.aspx?source=389-707 You fill out one form and they give you up to 12 instant quotes from top-rated insurers.

I hope that helps! Best of luck to you.