Here’s what COVID-19 has taught us about insurance

The arrival of covid-19 shook Up many of the thanks we previously took for granted. In the space of few weeks, many of us went from being largely unaware of the potential threat of a pandemic to being locked down in our houses, unable to do much more than walk around the block or go to the supermarket for groceries.

But Covid-19 also taught us a lot of lessons about our financial lives, including insurance.

Understand what you are covered for

Recent events have highlighted that the an unexpected can happen anytime. Insurance can help you protect your finances and work towards building a better financial future for yourself and your family, but it’s important to understand what the policies you have in place until in various situations

Health insurance, for example, is designed to cover for elective surgery only, so it’s not going to respond to the immediate emergency and critical care demanded by Covid-19. However, emergency and critical care remains covered at the cost of the public healthcare system.

As for income protection insurance, if you did take out cover before the pandemic became a ‘known risk’, it’s unlikely you will have specific exclusions for Covid-19 (unless you had pre-existing conditions that may be triggered, that are already excluded). In other words, if you were ill with Covid-19 and off work, your income protection policy would respond to a claim just as it would for any medical incapacity (if all other terms and conditions are met, of course).

There are just two quick examples – if you have any questions about your cover (not necessarily Covid-19 related), please don’t hesitate to contact us. We can help you understand what’s covered in what’s not.

Get the right cover

Related to that, it’s important to get quality insurance advice so that you understand what cover you may need and what policies are appropriate for your circumstances.
We can help you explore your options and secure a level of cover that protects you for whatever might be around the corner.

Hold on to your cover

If you let your personal insurance lapse, it can be hard to get cover on the same terms again.

When insurance providers take on a new client they agree to cover any medical conditions or life events that arise from then on while the cover is in place but if the policy comes to an end and is then taken out again, any existing medical issues are taken into account in underwriting.

Engage with your insurance provider

Insurance providers were keen to help their clients through the disruption. Some offered premium holidays – sometimes with prediction in place during the period and sometimes simply allowing policyholders to pick up their cover again after a set time, with no underwriting required.

The key to accessing this support was to get in touch with your insurance provider or your advisor and talk about your needs as early as possible.

Going into the future, we should catch up to assess your needs on a regular basis and whenever your circumstances change – whether there’s a pandemic or not.

Like to talk?

Regular reviews are key to ensuring that your insurance remains up-to-date and appropriate for your circumstances. We’d be happy to help you get sorted, or to reassure you that you already are.

 

 

Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current development or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.