Philip Morris International (PMI) is launching a life insurance company called Reviti that will offer smokers discounts if they stop, quit, or switch to a vaping device, reports CNBC. Reviti will be a wholly owned subsidiary in the United Kingdom, but have plans to expand into more markets.
People who switch to e-cigarettes will receive a 2.5 percent discount on premiums, people who switch to PMI’s heated tobacco product iQOS for three months will receive a 25 percent discount, and people who quit smoking for at least a year will receive a 50 percent discount, Philip Morris said in a statement.
Philip Morris International’s CEO Andre Calantzopoulos told CNBC that he hopes PMI will stop selling cigarettes altogether.
“Obviously that makes sense for public health and the people who smoke themselves, but it also makes sense for our shareholders because financially, as these products are not cigarettes, they benefit from lower excise taxes and better margins, so it’s a win-win for everybody,” Calantzopoulos said. “That’s why we all move in this direction, and the faster we move out of cigarettes the better for all of us.”
PMI also released a statement yesterday reaffirming its vision for the future: “To achieve a smoke-free world; that is, one without cigarettes…Our strong belief—if you don’t smoke, don’t start—begins with a continued and robust focus on preventing youth from beginning to smoke or use nicotine products.”