How has the coronavirus affected people that want to get life insurance?
Coronavirus has affected our everyday lives and has reminded people of the importance of life insurance. Life insurance is one of the most important financial tools that one can have because it protects the people that depend on you by giving them the wealth to provide for them just like you never died. The demand for life insurance has increased by 75%, here at Fiducia Financial & Insurance Services. There have been many people reaching out to us with all kinds of questions about life insurance. Some people that have reached out to us have been current clients with questions about their current life insurance. Prospects have also called to see if they can get life insurance and wanting to know the process of getting life insurance. Below you will find out the top questions that client and prospects have been asking.
Does my current life insurance policy cover me if I get sick and die because of the coronavirus?
If you have a current policy, it does cover if you die of the coronavirus. The only way a life insurance policy will not pay the policy is if your commit suicide or you committed fraud when you got the life insurance policy. The insurance company has 2 year to contest the death benefit and after that the company cannot contest the death benefit and must pay the death benefit.
Can I still get life insurance, and will it cover if I die from corona virus soon after getting life insurance?
Life insurance companies are still issuing new policies and they will cover you if you die because of the coronavirus. Most insurance companies have not changed their rates for healthy people, but companies might increase rates soon. It might be more difficult for older people that have health issues to get life insurance. If you have been out of the country, there are some insures that might ask you to wait 30 days till you start the process of getting life insurance with them.
Are insurance companies still requiring a full medical exam to be done to be able to get life insurance?
Insurance companies for a while already have something called accelerated underwriting where the insurance company does a background check and some underlying questions to determine if they can offer life insurance without a medical exam. A lot of insurance companies are allowing to replace the medical exam with physician statements that are not older than 12 months. Insurance companies are adapting to the current environment to make it a lot easier for a consumer to buy life insurance. The best thing would be to speak to a financial advisor or life agent.
The coronavirus has really changed the everyday work for a financial advisor or life agent by using technology. This technology allows the life agent to do business from the comfort of their home or office. Insurance companies have allowed financial advisors to write up an application and to get the signature sign by e-signature and the delivery of the policy as well.
Overall the coronavirus has had a huge effect on how life insurance is purchased and the biggest change is that it is a lot easier for the client to buy life insurance.