n Alcoholism In the first instance, the underwriter will consider the amount of alcohol disclosed ...
n Alcoholism
In the first instance, the underwriter will consider the amount of alcohol disclosed by the applicant. If this is not excessive and there are no associated risk factors, for example working as a publican, then standard terms can be considered. If the amount disclosed is excessive or other risk factors are present, then a GP's report or medical examination can be considered. Digestive disorders are frequent findings and reference to alcohol may be found in hospital reports.
A history of anxiety or stress may also be significant. Physical signs include being overweight, a florid complexion, raised blood pressure, tachycardia, finger clubbing and fine tremor. Stronger evidence of abuse is liver enlargement and a pitted nose. Being underweight is often seen in people with chronic alcoholism due to dietary deficiencies. Liver function tests are useful in determining if there has been any liver damage caused by excess alcohol.
For individuals with a minor to moderate criticism of drinking habits, terms can still be considered, although they will incur a rating. For severe criticism, the underwriter will usually decline cover. In cases where there is a history of alcoholism, terms can be considered after 12 months' abstinence. The rating then would depend on the amount of time the applicant has abstained and the severity of the original condition, but would range from 200% after one year, to considering standard terms after four years have elapsed.
n Drug abuse
The underwriter will always obtain further medical evidence where a history of drug use has been disclosed. In the first instance a GP's report will be obtained, but a medical examination with drug screen may be obtained if the drug abuse is recent or suspected to be continuing.
Ratings will vary depending on the drug used, period of abstinence, treatment, psychiatric history and any complications. For occasional cannabis use, it is possible to obtain standard terms, with ratings for more frequent or heavier use. For harder drugs such as cocaine, the underwriter would not consider terms until two years of abstinence had elapsed, and this would then attract a rating for the first few years of the policy to cover the risk of relapse. Disability benefits are viewed more cautiously and would not be considered until five to seven years had elapsed.
