Alcohol Abuse: Losing Life Insurance Due To Addiction

Alcohol abuse can lead to a higher risk of health issues and accidental death, which is why life insurance companies care about your alcohol history. While it is possible to buy life insurance if you have a history of alcohol abuse, you will usually have to be sober for at least two to three years to be approved for term or whole life insurance coverage. In addition, you will have to pay higher premiums than someone without a history of alcoholism. If you have a recent DUI/DWI conviction on your record, your life insurance application will likely be declined.

Life insurance companies consider alcohol abuse an insurance risk

Life insurance companies consider alcohol abuse a risk because excessive drinking increases the chances of the insured injuring themselves or others while intoxicated. Alcohol abuse can also lead to serious health issues, including depression, anxiety, and a weakened immune system.

Application Process

During the application process, insurance companies will ask detailed questions about the applicant's alcohol use, including any treatment they have received. They will also require a medical exam, including blood and urine tests, which can reveal signs of heavy alcohol consumption.

Higher Premiums or Denial of Coverage

If an applicant is deemed to be a binge or heavy drinker, the insurance company may increase the cost of premiums or deny coverage until the applicant can show consistent, healthy alcohol use. A recent DUI/DWI conviction on the applicant's record will also make it more difficult and expensive to obtain life insurance coverage.

History of Alcohol Abuse

Insurance companies typically want to see a successful history of sobriety before approving a recovering alcoholic for life insurance. This is often a minimum of two to three years, but some companies may require up to five or even ten years of sobriety.

High-Risk Classification

Applicants with a history of alcohol abuse may be classified as "high-risk" by insurance companies, resulting in higher premiums or denial of coverage. The longer an applicant has been sober, the more favourable rates they can expect to receive.

You can get life insurance as a recovering alcoholic

Yes, you can get life insurance as a recovering alcoholic. However, most insurance companies will want to see a history of sobriety before approving your application. Typically, you will need to be sober for at least three years to be approved for most life insurance policies, and you will have to pay higher premiums than someone without a history of alcoholism. The longer you have been sober, the more affordable your rates will be.

Insurance companies will usually perform a medical examination, including a blood test, to screen for conditions such as diabetes, hepatitis, AIDS, and alcohol abuse. They may also look at your medical records, where any history of alcohol abuse will be noted. When applying for a fully underwritten term or whole life insurance policy, you will be asked if you have ever had a "history" of alcohol abuse. This question is left intentionally vague, and it is up to the applicant to determine what qualifies as a "history".

If you are applying for life insurance with less than five years of sobriety, most companies will treat your application as high-risk. This means that you may be declined or have to pay much more for your insurance. After five years, the main determining factor for the rate you will receive will be the actual health of the applicant.

If you need life insurance now, you still have options. You may still qualify for other types of life insurance that are not traditional policies, or you could qualify for more traditional life insurance but at higher costs. Group life insurance, for example, is offered by many employers without requiring any health information for approval. You can also consider guaranteed issue life insurance, a type of final expense insurance aimed at paying for end-of-life expenses. This type of insurance does not require a medical exam and offers death benefits of up to $25,000 for people aged 45 and older.

You will likely pay higher rates for life insurance if you have a history of alcohol abuse

Life insurance companies consider alcohol use a risk factor because excessive drinking increases the chances of injury to oneself or others while intoxicated. Alcohol abuse can also lead to serious health issues, including depression, anxiety, and a weakened immune system. As a result, if you have a history of alcohol abuse, you will likely pay higher rates for life insurance.

If you are currently struggling with alcohol abuse, you will likely be denied coverage by most life insurance companies. Your options in this case are limited to a guaranteed issue policy, which will provide lower coverage at a higher cost, or to focus on getting sober and re-applying once a period of sobriety has passed. Typically, you will need to be sober for at least two to three years to be approved for most life insurance policies, and the longer you've been sober, the more affordable your rates will be.

Insurance companies will often perform a medical exam, including blood and urine tests, to screen for substance abuse. They may also review your medical records for any history of alcohol abuse. If you have a documented history of alcohol abuse, it will be challenging to obtain affordable life insurance coverage.

The best course of action for those with a history of alcohol abuse is to work with an independent life insurance broker who can guide you towards more lenient insurance companies and help you find the right policy at a reasonable rate. It is important to be honest about your history with alcohol, as surprises that come up later in the process can hurt your chances of obtaining coverage.

While it is more challenging to obtain life insurance with a history of alcohol abuse, it is not impossible. With the help of a knowledgeable broker and a commitment to sobriety, you can secure the coverage you need to protect your loved ones.

A blood test can be used to screen for alcohol abuse

Blood tests are a common method used to detect alcohol abuse and can provide valuable insights into an individual's drinking habits. These tests typically measure direct and indirect biomarkers to assess the level of alcohol in the blood and identify any potential health complications arising from excessive alcohol consumption.

Types of Alcohol Blood Tests

Indirect Alcohol Abuse Tests

Indirect biomarkers reflect the impact of alcohol on the body and its organs. While they are not exclusively indicative of alcohol abuse, abnormal levels can suggest heavy drinking. Carbohydrate-deficient transferrin (CDT) is one of the more accurate indirect biomarkers, with a sensitivity of 77% for detecting chronic alcohol abuse. Normal ranges for CDT are between zero and 1.6%, but in individuals who drink heavily, it can reach up to 10%. Other factors influencing CDT levels include previous alcohol consumption and liver disease.

Another indirect marker is Gamma-glutamyl transferase (GGT), which is found in Liver Function Tests (LFTs). GGT is a sensitive and inexpensive marker, with higher levels observed in moderate drinkers (60 g/week) compared to abstainers. However, it lacks specificity, as levels can also be elevated due to non-alcoholic fatty liver disease, drug intoxication, obesity, diabetes, and hepatobiliary disorders.

The Full Blood Count (FBC) test includes the mean conspicuous volume (MCV), which primarily identifies recently ingested alcohol. While it can provide some indication of alcohol abuse, it is the least accurate blood test for this purpose, with a sensitivity rate of only 44%.

Direct Alcohol Abuse Tests

Phosphatidyl Ethanol (PEth) is a direct biomarker, meaning it is only produced when someone consumes alcohol. With a sensitivity rate of over 99%, it is a highly dependable and accurate blood testing technique. Different PEth levels can indicate heavy alcohol consumption, binge drinking, or social drinking within the last 30 days.

Alcohol blood tests are often used during the underwriting process of life insurance applications. Insurance companies typically require a successful "history of sobriety" before approving policies for recovering alcoholics. The determination of whether an individual is considered an alcoholic is usually based on specific criteria, such as seeking treatment for alcoholism, having a doctor's recommendation for treatment, or having blood work indicating alcohol-related issues.

In addition to insurance purposes, blood tests can help identify excessive alcohol use, monitor changes in alcohol consumption during recovery, and detect alcohol-related health complications. They are also useful in medical emergencies, as they can uncover alcohol use that may be interacting with medications and causing adverse effects.

Accuracy and Timing of Blood Tests

While blood tests are generally accurate, it is important to note that timing plays a crucial role in their precision. Blood alcohol tests are typically accurate six to twelve hours after an individual consumes their last beverage, as the alcohol slowly absorbs into the bloodstream and is processed by the liver. Additionally, biomarkers used in blood tests have different detection windows, depending on the sample type and the quantity of alcohol consumed.

You can be denied life insurance if you have a DUI/DWI conviction on your record

Life insurance companies may reject your application if they discover anything that could shorten your life. While a single DUI or DWI might not keep you from getting life insurance, a pattern of offences could.

If you have a recent or multiple DUI convictions on your record, your life insurance application will likely be automatically declined. If you have been convicted of a DUI/DWI, most insurers won't offer you a policy until at least five years after your conviction.

If you are applying for life insurance with less than five years of sobriety, most insurance companies will treat your application as high-risk. This means that you may be declined or have to pay much more to get life insurance.

Insurance companies will typically perform a medical exam, whereby a blood sample will be taken to screen for various conditions, including alcohol abuse. They may also look at your medical records, where a history of alcohol abuse may have been noted in the past.

Frequently asked questions