Key workers are the heroes we need to get us through this global crisis. While doctors and nurses selflessly risk their lives treating us, they put themselves and their families in a precarious position: if a key worker catches the virus they have to self-isolate and take time off work; or worse, if they’re diagnosed with a serious illness and die, they need to make sure their loved ones are financially protected.
Fortunately, insurance policies bring peace of mind and help essential workers control the impact of unknown risks, including global pandemics. In these troubling, uncertain times, key workers can rely on 3 main types of insurance policies:
- Life Insurance – pays the designated beneficiary a sum of money when the insured person dies;
- Critical Illness Insurance – covers serious or long-term conditions like cancer, heart attack, stroke, coronary bypass surgery, angioplasty, renal failure, and organ transplants.
- Income Protection Insurance – protects against loss of income caused by illness, accident or unemployment by paying the policyholder out until they’re able to work again or retire.
Will My Life Insurance Policy Pay Out If I Die From Coronavirus?
Although the vast majority of people who catch the virus makes a full recovery, there’s still a 5.72% death rate we cannot ignore. In this unfortunate situation, your insurer has to pay out after investigating the validity of the claim and if the medical information provided when purchasing the policy was correct.
If I Get Coronavirus, Will My Insurer Cover It As “Critical Illness”?
Due to its newness, Coronavirus is not yet identified as a severe illness by Critical Illness policies. In general, insurance companies consider that it’s unlikely for the virus to leave permanent symptoms. However, they assess each claim individually and if a COVID-19 case becomes serious and critical illness criteria such as “severe impact on lung function” or “kidney failure” are being met, then it will be paid according to the policy terms and conditions.
If I Cannot Work Because Of Coronavirus, Will My “Income Protection” Pay Out?
Your insurer has to pay out your Income Protection claim if the definition of illness is met because of Coronavirus’s consequences or its impact on existing and underlying illnesses. Most policies apply a deferred period of 1, 3 or 6 months before paying.
Make the right decision for you and your family. Show them that you care by securing their financial stability. If you need any help in evaluating the best options for your specific situation, or for further insurance-related assistance, don’t hesitate to contact us
1 As per https://www.worldometers.info/coronavirus/ (calculated on 08.04.2020).