Do life insurance companies refuse to pay your claim because the insured consumed alcohol? The simple answer is yes. claimants for benefits to the deceased are often denied when alcohol is involved.
Your claim for benefits for death denied because the insured drank alcohol? Was the insured’s death due to the effects of alcohol use? Did the insured drink at the time they passed away, but their death did not have anything to do with alcohol? be related to alcohol consumption or abuse?
In many instances when the life insurance company refused to pay claims of beneficiaries due to drinking habits, we can assist you in getting your claim paid through contesting the claim rejection.
What are the reasons why Insurance Companies frequently deny Life Insurance Claims Due to Alcohol Consumption.
Insurance companies earn profits for shareholders when they refuse the claims of life insurance. This is why they’ll look for any excuse, however unlikely they may be, to reject your claim in the first place.
Does Alcohol Affect Life Insurance?
Alcohol consumption may influence the way a life insurance policy is paid out, or if applicants for insurance are able to receive coverage.
If an insured declares in their initial application in life insurance they drink alcohol, the adjuster will take this into consideration when drafting the policy. Life insurance companies typically justify their denials of claims for life insurance by arguing that drinking could affect the amount of the amount of premiums that insureds pay and can cause a denial of an application.
What happens if Life Insurance Pay Out for an alcohol-related death?
In some instances life insurance may be paid out upon the passing of an insured suffering from alcoholism. If the deceased insured was killed by reasons that were not directly related to alcohol abuse or use It is usually legal for an attorney have the life insurance claim settled.
What could be the reasons for a Denial of a Death Claim based on Alcohol?
Here are the kinds of deaths that are that are not insured by life insurance if alcohol is in the mix:
The Policy includes an Alcohol Exclusion for Intoxication
Numerous life insurance companies have the right to include an exclusion in their policies that prevent deaths that are directly or indirectly resulting from alcohol consumption from the coverage. If the insured is under the influence of alcohol and dies due to any reason the insurance company will refuse to pay your claim due to this exclusion.
If a loved one has had life insurance claim denied alcohol, speak to our team to find out how we can help.
Incorrect information on the Initial Application along with the Medical Questionnaire
If the insured does not make the mention of alcohol usage or fails to reveal the existence of alcoholism in the past or present or death that the insured was at all related to alcohol The insurer may decline the life insurance claim of death benefits due to fraud on the part of the insured.
Sometimes, we are able to settle these disputes by settling what is the cost of death, less the amount that the policyholder would’ve had to pay in premiums if the underwriter had known that the insured had consumed alcohol.
The insured died during the Contestability Period
When the policyholder dies inside 2 years of buying the policy the insurance company will look every reason to refuse the life insurance claim regardless of whether the reason is none whatsoever to do with reason of death.
For instance in the event that an insured fails to declare that they had consumed alcohol at a party, and later dies from something that has no connection alcohol consumption like mesothelioma The insurance company could argue that the insured lied about himself and reject the life insurance claim.
We’re often able to obtain the claims paid particularly when the death is not related to alcohol consumption or abuse.
The insured died while doing Something Unlawful
If the insured dies in the course of doing something illegal, for instance, drinking and driving, the insurance company will refuse to pay the life insurance claim of the exclusion for illegal acts. If the insured enjoyed some drinks at a dinner event, and then accidentally trespassed into the yard of a neighbor on their return trip, and then was hit by a fallen tree and killed, the insurance company might take advantage of the few drinks to reject the life insurance claim.