The COVID-19 pandemic has changed many aspects of our society. The precautions we take about our health, our jobs and our interactions with loved ones are just a few of the ways our lives have shifted over the last few years.
The insurance industry has also experienced changes since the start of COVID-19, with more Americans reevaluating the need for life insurance coverage. Life insurance applications rose 4% in 2020 and another 3.4% in 2021. As the coronavirus death count in the United States approaches one million, many people have end-of-life planning on the brain.
You yourself might wonder about pandemic insurance coverage and how the coronavirus pandemic could affect your own existing policy. Perhaps you’re interested in applying for coverage and are concerned about your eligibility. Here’s what you need to know about life insurance and COVID-19.
Does Life Insurance Cover COVID?
If you already have an active life insurance policy, there’s no need to worry about whether or not life insurance covers COVID. Global health crises like the COVID-19 pandemic are covered by life insurance, and death benefits for COVID victims are typically not affected. That means that if you pass away from COVID-19, your family will still receive your death benefit. The only reason your claim might be denied is if your payments had lapsed and your policy was no longer in good standing.
Applying for Life Insurance
For those looking for pandemic insurance coverage, the process could look a little different. You should expect to be asked questions such as if you’ve tested positive, had any symptoms or been in contact with someone who has tested positive in the last 30 days. Answering affirmatively to any of these questions could delay your application. Nevertheless, it’s important that you answer these questions truthfully, as lying on your application can have serious ramifications and result in a cancellation of your coverage.
Your application is also likely to be postponed if you’ve recently recovered from the coronavirus or have resulting long-term side effects. Any long-term health problems you’re experiencing after recovering from the coronavirus have the potential to impact your premiums on a new life insurance policy, but they will not change premiums on an existing policy. This is true for any changes in your health, not just COVID-19.
The COVID-19 Vaccine and Life Insurance
Whether or not you’ve elected to receive the COVID-19 vaccine should have no bearing on your life insurance eligibility. Likewise, you can expect to pay the same premiums regardless of your vaccination status. Death benefits for COVID-19 victims who were unvaccinated are still paid out. Most insurers will not ask you about your vaccination status.
The Benefits of Pandemic Insurance Coverage
With new, more lethal variants cropping up every few months, it’s difficult to predict what the future will hold. Having a life insurance policy in place can provide reassurance and comfort in the event of an emergency. If you’re looking for an affordable insurance policy suited to your specific needs, Americo Financial Life and Annuity has trusted agents ready to help. There are no medical exams required and only a few health related questions during the application process, making it quick and simple to apply. Learn more and get an online quote in minutes.