Hazardous Avocation

Definition of Hazardous Avocation

In the context of insurance, a 'hazardous avocation' refers to a hobby or recreational activity that involves a higher level of risk or danger. These activities can increase the likelihood of an accident or injury, and therefore, they can impact an individual's insurability and the cost of insurance coverage.

Examples of Hazardous Avocations

Examples of hazardous avocations can vary but typically include activities such as:

• Skydiving
• Scuba diving
• Mountaineering
• Motor racing
• Pilot flying (especially non-commercial)
• Extreme sports like bungee jumping, paragliding, or rock climbing

Impact on Insurance Policies

Hazardous avocations can impact both life and health insurance policies in the following ways:

• Premium Rates
  Insurers may charge higher premium rates to policyholders who engage in hazardous avocations due to the increased risk. The specific increase in premium can vary depending on the type of activity, the frequency of participation, and other factors.


• Exclusions
  In some cases, insurers may include specific exclusions in the policy related to the hazardous avocation. This means that the policy would not cover claims arising from the policyholder's participation in the hazardous activity.


• Denial of Coverage
  In extreme cases, if the risk associated with the hazardous avocation is considered too high, the insurance company may deny coverage altogether.

Disclosure of Hazardous Avocations

When applying for an insurance policy, it's important to disclose any hazardous avocations to the insurance company. Failure to do so can result in the denial of claims or the cancellation of the policy. It's crucial to be honest and transparent during the application process to ensure that the policy provides the necessary coverage.

In conclusion, a hazardous avocation is a high-risk hobby or recreational activity that can impact the cost and coverage of an insurance policy. Policyholders who engage in such activities should be aware of the potential impact on their insurance coverage and should ensure that they fully disclose these activities to their insurance company.