While letting your hair down on holidays and having a drink is common, most travel insurance policies have an exclusion along the lines of:
We will not pay for claims arising directly or indirectly from any conduct engaged in by you whilst under the influence of alcohol or drugs, unless prescribed by a doctor and taken in accordance with the doctor’s advice.
All travel insurance policies include a general exclusion that rejects claims if alcohol was the root cause of the incident. The reasons for this are two-fold: to encourage you to be mindful of how much you're drinking, and to limit the risk for the insurer.
The question of whether you're covered for drinking alcohol really comes down to how each insurance brand interprets its own exclusions.
Unless you're drug-tested or breathalysed, an insurer can't know for certain how much you had to drink.
Generally, it comes down to whether alcohol contributed or caused the incident, rather than simply whether alcohol was involved.
Some use the yardstick that applies to all aspects of insurance: "Was the incident unexpected?" This simply means: would a reasonable person expect their actions, in this case drinking too much, to lead to an incident that could have a negative outcome such as a claimable event e.g getting injured? If the answer if yes, then the incident was not unexpected and you wouldn't be covered.
The following examples show how three separate insurance brands deal with claims involving alcohol:
Insurers tend to look at methanol related claims on a case-by-case basis. However, most travel insurance policies contain a blanket drugs and alcohol exclusion and it is up to the individual insurer to interpret this.
Methanol poisoning occurs when someone consumes homemade alcohol containing methanol, a pure form of alcohol similar to ethanol. Not normally present in commercially produced spirits, methanol is converted by the body into a toxin called formic acid. This can build up in the blood and cause kidney failure, heart problems, liver damage, blindness, nerve and brain damage and ultimately death.
Methanol poisoning can happen anywhere, but travellers to South Eastasian holiday destinations such as Bali and Thailand are considered most at risk. This is due to widespread home brewing of spirits and substitution of drinks by disreputable bar owners. Authorities warn that the best way to guard against methanol poisoning is to be wary of offers of free or discounted drinks and not to drink anything unless it comes from a sealed bottle or can.
If you suspect that you've unknowingly drank methanol, you'll need to seek medical assistance as soon as possible. Medical professionals usually administer ethanol or fomepizole, both of which will prevent formic acid building up in the body.
Insurers won't pay out for any claim related to drug use unless your drugs were prescribed by a medical professional.
An example. If you smoked marijuana in Thailand, hopped behind the wheel of your hire car and were then involved in an accident, your travel insurer would not provide any cover for your medical expenses, legal liability or rental vehicle insurance excess costs.
The drug use exclusion can even apply to people who aren't travelling with you. If you are forced to cut your trip short and return home following the serious illness or death of a relative as a result of drug use, your insurer may not provide any cover for cancellation or curtailment costs.
Enjoying a drink is a normal part of any vacation. However, if you want to be covered by your travel insurance, you should understand the fine print in your policy.
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