Insurance companies define accidental death as an event that strictly occurs as a result of an accident. Deaths from car crashes, slips, choking, drowning, machinery, and any other situations that can’t be controlled are deemed accidental. Death from an illness is also excluded.

What does it mean if a death is ruled accidental?

The term accidental death is defined as any death that occurs as the result of an accident. These types of death are only deemed accidental if it was not intended (suicide), expected, or foreseeable (illness).

Can a life insurance policy cover an accidental death?

While regular life insurance policies cover most causes of death (unless certain exclusions apply), accidental death contracts only pay for deaths due to accidents. COVID-19 related deaths are not considered accidents, but rather due to natural causes, so they are not covered by accidental death insurance policies.

How does drinking affect your life insurance policy?

Finally, a person with a tendency to binge drink has a higher likelihood of alcohol poisoning, which can be fatal. If an insurance company sees any indication that you abuse alcohol, they’ll inquire further to determine whether you are insurable.

What happens if a life insurance policyholder dies?

If policyholder’s death is due to driving under the influence of alcohol or narcotic substances, the insurer will reject the claim. Sudheer said insurers rarely issue life insurance policies to those who drink heavily or consume narcotic substances.

Can a covid-19 death be covered by life insurance?

COVID-19 related deaths are not considered accidents, but rather due to natural causes, so they are not covered by accidental death insurance policies. If the insured purchased a life insurance policy with an accidental death rider, the life insurance company will pay the COVID-19 related claim but will deny the accidental death rider amount.