What rate do consumers who have used tobacco within the past 12 months typically pay?

Consumers who have used tobacco within the past 12 months typically pay a tobacco rate. This rate is specifically designed to account for the increased health risks associated with tobacco use, which can lead to higher healthcare costs over time. Insurers often categorize tobacco users separately to reflect this risk in the pricing of their policies.

This approach not only helps the insurer manage potential costs but also encourages healthier behaviors among consumers, highlighting the impact of lifestyle choices on insurance premiums. The tobacco rate is generally higher than the standard rate but doesn't necessarily reach the levels of a premium rate, which typically applies to individuals with significant health concerns or pre-existing conditions. Understanding these rates is crucial for consumers when considering the financial implications of their health behaviors in the context of insurance.