Agent Owner, Gilmore Insurance Services, Marysville, Washington State
Outside of the application process, no in most cases, unless other wise specified within the policy. If a person passes from drug related issues after purchasing a policy, the company will pay... Unless, there is a recorded history of drug use prior to the application and the applicant does not disclose this during the underwriting process. After two years this may be a moot point as the contestability clause would prevent the insurance company from refusing to pay. However, not all states have adopted this clause. The clause could be shorter or depending on the state, not applicable at all in cases of insurance fraud.
If you are applying for life insurance and cocaine, meth, heroin, or other harmful drugs are found in your blood and/or urine sample, your policy will most likely be declined. However, if you have a life insurance policy that you got in the past, and did not lie or omit anything on that application, then died of a drug overdose, the policy will most likely pay out.
Adding to Peggy's...if you do have a history of drug use but are "cleaning" up, you may qualify for what we refer to as a graded benefit life insurance. This type of policy for the first 2 years only returns premium paid or gives a percentage of the death benefit if death occurs within first 2 years. The 3rd year pays the entire applied for death benefit.
Or you can consider an accident only policy until such time your history is cleaned up.
President, Lane Independent Agency, Southern California
Life insurance has a two year review period. During that time any company has the right to cancel a policy and issue a refund, if the insured lied in any material manner on the application, or commits suicide. After two years, the company is bound and unless the policy specifically excludes death by drugs, which almost never is the case, the company is obligated to pay, even for a suicide. If you have a drug problem, however, isn't it wise to try to deal with it quickly and protect your health and your family? Gary Lane, Registered Representative and Agent, New York Life, 949 797 2424. Thank you.
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Or you can consider an accident only policy until such time your history is cleaned up.