For many, to make ends meet during the COVID-19 pandemic means cutting back on necessities but is Life Insurance on that List?
You are reading this and you must be concern about you and your family’s future. No one really knows what will happen next. What will happen when one of us is left alone? It’s a conversation no one wants to have but as your Financial Advisor and like everyone else who values life and our loved ones, it’s necessary.
I see many people of all ages, people I know, I might know and I totally don’t know dying. Nobody see it coming and sad to say, not everyone is covered because it’s something others don’t see as necessary before or see as too much of an expense. But things just happen instantly…Are prepared?
You see every now and then fundraising/donation posts at social media, the nonstop calling of strangers at your phone and knocking at your door. Some are covid related, some are not but the question to you is…If you’ll be put in that same situation (knock on wood), are you okay to send your loved ones to beg and guess where to get money right away coz you haven’t prepared for it? Are you okay to leave your loved ones broken and empty handed at the same time?
Be Proactive
The presence of life insurance plan during Covid-19 has made a lot of people (I hope this includes you) realize their options to cover anything that could happen unexpectedly. Now we’re in a situation where we don’t have too many options and time. It’s important that we are proactive as opposed to reactive.
Insurance is “personal” so every plan is fitted and customized with it’s features depending on your need. As your financial advisor, these are the thing you might need to reevaluate:
- Purpose of coverage/Goals (both short term and long term)
- People you care about
- Current/possible sickness
- Financial capability/Lifestyle
- Life Stage/Age
*There might be more but these are the typical ones me and my clients encounter during assessments
COVID Specific Plans
One of the questions I encounter a lot and probably what you want to know about too are the COVID specific products. Do they exist? YES. They are now available either as a feature of a plan or a rider. I’m not sure though if all companies offer this already but in my knowledge most of the big companies have different ways of offering this coverage.
The Dilemma
Added Requirement Insurance companies look at the following listed, but now there’s an added requirement which is for COVID.
- Age
- Family History
- Health
- Gender
- Occupation & Hobbies
- Lifestyle
If you had COVID or even just been exposed, it might be a challenge. They’ll look at you a bit differently and you need to fit a criteria. There’ll be added requirements and it might also reflect on the premium depending on the situation.
Going Digital
Due to situation a lot of people has difficulties getting their insurance application approved or even meet the requirements partly because the manual underwriting process is taking longer. Not everyone has integrated yet on the digital space but luckily a couple like Insular Life has adapted to the innovation even way back the pandemic occurred. Less reason to be exposed and a lot faster! Though of course there are still exemptions especially if the underwriting team requires specific medical examinations.
It’s not just the underwriting that has gone digital now but even meeting the advisor, presentations, payments, policy updating and other transactions depending on the insurance company.
So to answer the question, yes it is better to get an insurance before its too late and while you are still capable. Look at your financial planning and financial future to make sure you and your family can make ends. I recommend people to educate themselves and find a lifetime partner who is more of an advocacy to life insurance rather than sales production so you can ensure you’re getting unbiased help and a plan that fits your needs.
To know more about financial planning and life insurance. Feel free to message and contact me 🙂
xoxo,
Bel Obviar
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