Wealth protection policies have experienced a boom — and for good reason. No one wants to be without protection during a time like this. As such, insurance providers are keeping abreast of the ever-changing situation and adjusting their policies and procedures to keep up.
This does not constitute advice and advice should be sought in all instances before acting on it.
This information is to the best of our knowledge, accurate as of 27th April. As this is a rapidly changing situation, it is essential to continually check for the latest updates.
In general, many insurers have added underwriting questions, while many are no longer requesting medical evidence or have incorporated remote screening into their process. Others still have decided to delay all applications until the pandemic is over.
Here’s an update on a few changes some insurance providers have made during the global coronavirus crisis that might affect healthcare professionals:
AIG Life
- Decision postponement for applicants who have been diagnosed with coronavirus until a full recovery is made
- For applications that require medical evidence and no other means can be used to procure it, coverage may be offered at a reduced level with a chance of increasing later on
- No specific questions relating to coronavirus added to underwriting process despite a COVID-19 question being added to the UnderwriteMe Protection Platform
- Introduced remote nurse screenings for life cover applications.
Aviva
- Added additional questions to its underwriting for protection applications all having to do with experiencing symptoms of the virus, testing positive for COVID-19, self-isolation for any reason, and contact with anyone suspected or confirmed to have coronavirus
- Decreasing non-medical limits for certain age groups and referring customers with pre-existing conditions to its underwriting team
- No longer requesting medical advice during the underwriting stage during this time
- But they have begun requesting medical evidence for all new applicants moving forward
If an application was postponed, it will be picked up again without prompting from the applicant – action is only required if coverage is no longer needed.
Legal & General
- Added a COVID-19 underwriting question to protection applications dealing with an individual’s exposure to the virus, if they’re experiencing symptoms or tested positive, the provider is advising applicants to reapply at a later date. Exact guidance will differ based on individual scenarios
- For IP, the temporary two-week deferral period has been removed
LV=
- Updated application questions in their online quote and apply system temporarily during the pandemic to include whether or not the individual has tested positive for the virus, is self-isolating or been advised to, or has any symptoms
- Guidance for next steps will be based on how an applicant answers the newly added questions — either the application will be referred to an underwriter or postponement will be advised
- No longer offering one week and one day IP policies temporarily
- Ceased payment on claims for self-isolation even those advised by the NHS
- Started offering online nurse assessments and self-testing kits for applicants where medical evidence is required and other avenues have been explored to gather information needed
- Working to add remote screenings to Critical Illness Cover and Income protection plans on top of Life Cover
- Increased non-medical limits by 10% for IP, CI, and personal sick pay which will allow customers that fall under the limit to receive an underwriting decision without any additional evidence or screenings during the coronavirus crisis
- Underwriters will review applications if quote and apply system is unable to make a decision.
Please note: we have only highlighted a select number of insurers, so if your provider is not included, please contact us for any updates.
And remember, new information about the coronavirus and how insurers are adapting to this brave new world is coming out every day, so it’s important to check with your trusted independent financial adviser. They’ll be sure to update you on the latest news that might affect you or healthcare workers.
Please remember, we’re available any time to help during this crisis, so don’t hesitate to reach out whenever you need.
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