Drinking Away Your Life Insurance Policy
When it comes to life insurance, there’s a lot of different factors that could affect whether you get approved and how much money your policy will cost you. Many people are off put by the prying questions and medical exams insurers often require before approving you for coverage. Why does your provider want to know so much about you and your lifestyle? It’s so they can assess just how much of a risk factor you are to pass away early and possibly collect on your policy. One of the major risks they look for in prospective customers is their alcohol intake. For heavy drinkers, obtaining a quality plan at a reasonable rate is often a problem because excessive alcohol use can have a very negative impact on life expectancy. Over long periods of time, heavy alcohol use can cause severe health problems such as:
- Liver Disease
- Depression
- Stroke
- Gastrointestinal/Cardiovascular problems
- Neurological issues such as dementia
Many of these alcohol related health issues can cut your days short, making them high risks for providers. Generally, drinking more than two drinks a day can have a drastic impact on your premiums and completely knock you out of the “preferred” or even “standard” rate pricing tiers. If you have a drinking issue that has actually been noted on your medical records, you can expect even higher rates or even application denials. Insurers can usually determine your alcohol consumption by running medical tests on your liver. Also, companies know applicants aren’t always 100% truthful and many are more than willing to snoop around or ask neighbors for the information they need. So even if your liver seems to be in decent shape, insurers can find out if you’re a drinker.
DUIs can be Costly
If you’ve recently been arrested for driving under the influence, you already know how damaging and expensive drinking and driving can be. Loosing your driver’s license, paying four-figure fines, and even serving jail time are just some of the stiff penalties for a DUI. Applying for a policy within three years of a DUI can lead to higher rates as well, even if the DUI was an isolated incident and you don’t have a history of drinking. Multiple DUIs will probably leave you completely uninsurable. Usually, if you’ve been convicted of a DUI, your best bet to still get a decent premium is to wait about five years and maintain a clean record before applying.