Life insurance is a necessity for most adults. Protecting and providing for your family is important should something happen to you. With how drastically our world has changed over the past few months, you may wonder if the life insurance industry has shifted as well.

Life insurance has always been important and relevant for people who have financial dependents, but the true value of it has come into focus. It is about the entire financial security of your loved ones. It is even more important now that we have seen firsthand what a pandemic can do. Views of life insurance and the corresponding policies have shifted slightly.

How Consumers Views of Life Insurance Have Changed

The way people look at life insurance has changed:

• People are thinking about it more.
  With a pandemic and life being changed so much, people are more concerned about their families and the future. There are so many unknowns and people want to be sure their families are protected. This concern helps bring life insurance back to top of mind for many people. Many life insurance providers have seen an increase in applications during this time. If you have financial dependents, you should look at getting the proper life insurance coverage now.

• An easy online application is needed.
  Because people are not risking going out as much, the life insurance application needs to be fast, easy and available online. People do not want to go out unecessarily at this time because they are concerned about their health. Because of this, applications need to be quick. Many insurance companies have expanded their automated underwriting processes to help account for this shift in mindset.
  

• Affordable and flexible coverage is important.
  Many people are currently unemployed and the economy is struggling. People may be overly cautious when it comes to spending money. They are looking for more affordable life insurance premiums.

• Exceptional customer service is imperative.
  Life insurance is something that most people do not want to think about. Death is a scary thing and life insurance can be confusing. People will want to talk with someone they trust and someone who will answer questions quickly. They will not want to have to take the time to search out information on their own. A company that is easy to work with is invaluable during this process.

• Reliability is a high priority.
  People may be finding it difficult to see friends and family during this time. They are connecting more virtually. With this uncertainty hanging over them, they will want something more reliable. They want to work with an insurer who they can count on to be there when they are needed.

How Life Insurance Practices and Policies Have Changed

Review these considerations when assessing life insurance:

• Active policy will not change.
  If people already have an active life insurance policy in place, they do not need to worry about not being covered. Your policy is secure and will not change.

• Exams are still being required in many cases.
  Even though people are not going out as much, exams will probably still be required. Many insurers use third party companies, who will follow closely with CDC guidelines to ensure patients’ safety.

• Age restrictions could factor in.
  The full effects of the virus are yet to be seen and some companies may impose limits for those applying for life insurance. Some places have stopped issuing new polcies for people who are over 70 years of age. Applying earlier rather than later is essential, especially with how things are right now.

• Disclosure of travel.
  Another thing that could factor into your application is travel abroad. This is usually a consideration if you have traveled within the past 30 days. It is important that you are specific on your application and do not omit information because you are worried about getting approved. Your application could be postponed if you traveled to high-infection areas.

• If you currently have coronavirus, it could affect getting approved.
  Insurers are asking people with coronovirus to wait to apply for coverage. You will need to disclose your medical history and whether you are currently sick. Coronavirus has the potential to make someone terminally ill very quickly, so you may not be able to get a guaranteed issue policy until you have recovered.

• Otherwise, do not wait out pandemic before getting coverage.
  With the looming pandemic, many people are avoiding doing certain things. Acquiring life insurance should not be one of them. It is even more important to have this protection during times of crisis.

• Changes are company-dependent.
  The changes above are things to consider, but you need to confirm any policies with the individual insurer.

Our team can help you with any questions you may have about life insurance. Contact us at Bieritz Insurance today.