Underwriting guidelines are changing in light of current COVID-19 circumstances, but not dramatically. Increasingly, policies are being underwritten and processed with no in-person contact and all communications are handled online. While insurers can establish procedures to protect all concerned doing business, there are additional precautions being set for the reality of granting policies for higher-risk individuals.
For individuals who are applying for life insurance policies right now, COVID-era underwriting guidelines may introduce additional questions in the underwriting process about international travel and potential waiting periods for a decision as a result of travel.
Understandably, greater concerns arise when a life insurance applicant is exposed to risk factors such as travel. Coverage eligibility for life insurance applicants with confirmed travel plans to State Department Level 3 or 4 countries (which currently includes all countries) may be postponed and require a 30-day waiting period after they return to the U.S. Once the 30 days have passed, individuals may reapply. A waiting period may also apply when members of an applicant’s household have travelled abroad in the period prior to application.
In most states, applicants are still able to schedule the medical exam to be performed at a location of their choosing. Many applicant have up to 120 days to take their medical exam now, so if an individual doesn’t feel comfortable or if there are limitations in exam availability, there will be adequate time to take the exam at a later date. There are also some instances where a no-exam life insurance policy could be available.
Your professional at The Ziff Agency is available to discuss what underwriting guidelines you are likely to face in the application process. Please contact us directly to learn more.
(Source: Haven Life)