Premiums charged for health care applications are determined by a number of factors, including a person's alcohol consumption. The amount of alcohol a person consumes can result in an application being charged a higher premium, having limits, exclusions, or waiting periods applied, or the application may be declined completely. Usually, alcohol drinkers are grouped into one of three different classifications.

A social drinker is one who may have a drink or two on a night out on rare occasions. People in this category usually won't be charged extra for health care insurance, based on this factor. However, a binge drinker is considered to be a higher risk for health care insurance. When a person binge drinks, a large amount of alcohol consumption is done in a short period of time. This behavior is dangerous and can severely affect the health of the person. Often, binge drinking results in alcohol poisoning which means that hospitalization costs are implemented. If this behavior is documented on health care applications, the premiums can be affected.

The third category is an alcoholic. An alcoholic is a person who abuses alcohol, which insurance companies usually classify as having more than two drinks every day. Alcoholism can affect people emotionally and physically. Many health risks occur because of excessive alcohol consumption, including heart problems, stomach ailments, brain damage, cancer, and cirrhosis of the liver. As well, excessive alcohol use puts the person at a higher risk for vehicle accidents, suicide, and other violent crimes. Because of these facts, insurance companies can charge higher premiums or decline a health insurance application.

Although it has been proven that moderate alcohol use can have mild health benefits, including reducing the risk of heart disease and diabetes, it is still important to remember that the risks of drinking alcohol far outweigh the benefits.

If a person finds that their alcohol consumption is seriously affecting the premiums of their health care insurance, it would be wise to change these potentially dangerous habits. If a person remains alcohol free or at least cuts down the amount of alcohol he or she consumes, then health insurance premiums can actually be reduced. The overall health will improve and the risk of hospitalization and need for medical treatments will decline.

Insurance companies base their premiums on the amount of risk that an applicant brings to the company. Those in good health are a a better risk because insurance companies will not have to pay out as much in claims. However, if a person has poor health or as a result of alcohol consumption, they are a higher risk and can cost the insurance company a lot of money in claims.