Living in a home with a smoker????

Emily
Ok so this will be kind of long but for those who read it I need advise. Back ground of the story. My husbands grandmother has cancer and recently with in the last year lost a kidney fully taken over by cancer. She was a smoker but had told her family she had stopped. While in the process of planning surgery we found out she was getting her things together for those "in case" moments. She left us her house which she still currently lives down stairs in her own bedroom living room and bathroom. (we have the same upstairs) and we share laundry room and kitchen. She continues to smoke (lying to her family) we moved in the house and I shortly found out she was not only smoking but sneaking and smoking in the house. I've asked my husband to say something as I feel it's not my place. I feel it is very disrespectful to me and it I feel she would want better for my 3 year old daughter her great grand daughter and not want her in the 2nd hand smoke. We are also expecting baby number 2 and I try and tell my husband it is not fair for the kids to have to live in this. Am I in the wrong? I feel if my husband can't speak up I'm going to involve some of his aunts (her girls) since they all feel she has quit and is actually hurting my kids health and she doesn't seem to have any remorse for it. She acts like we are stupid and don't know. I need help please lol