There is usually one important factor that affects your ability to get approved for a life insurance policy: your medical history. During the COVID-19 pandemic, many people have grown concerned about whether a COVID-19 diagnosis can have an impact on their life insurance.The COVID-19 pandemic has forced life insurance providers to consider medical history in different ways than ever before. If you have a current life insurance policy, your coverage will most likely cover a death caused by COVID-19. If you’ve been diagnosed with COVID-19 and are looking for life insurance, your best bet is to consider a life insurance provider that doesn’t require a medical exam.
What We'll Cover
In this article, we discuss all things related to COVID-19 and life insurance policies, including coverage, availability, and price. We also discuss a couple options for “guaranteed issue” life insurance providers that don’t require a medical exam in order to get approved—no matter the circumstances.
Can I Purchase Life Insurance During the Pandemic?
For the general public, life insurance policies are still available for purchase throughout the pandemic. However, life insurance providers determine whether to approve people for a policy based on certain risk factors, including age. Because it’s proven that coronavirus has a much larger effect on older people, it’s possible that this age group has a more difficult time finding a policy. In fact, several big-name insurance providers, including Prudential, Protective Life, and Lincoln National, have put on hold the applications from those above the age of 80. Additionally, until March 31, life insurance provider Securian will not accept policy applications from those at least 76 years of age. Nevertheless, as the country continues to progress through the pandemic and the vaccination process, insurance companies will re-evaluate the situation and change the restrictions.
Does Life Insurance Cover COVID-19?
The simple answer to this question is yes. If you have an active life insurance policy, you will most likely receive coverage for coronavirus-related deaths, as well as pandemic-related deaths in general. When a death of a policyholder due to COVID-19 complications occurs, the same procedures are followed for a regular death. This means that the beneficiaries on the policy will receive the death benefit as per usual. To be certain about whether your life insurance policy covers a death related to COVID-19, you should check with your insurance provider.
Will COVID-19 Increase the Cost of Life Insurance?
There is limited evidence that COVID-19 has increased the cost of life insurance in the United States. The good news is that insurance providers are not allowed to alter your life insurance premium or health classification based on your probability of exposure to COVID-19, due to your job or travel history.
Still, there are a few options available that you can look into if you want to save money on life insurance during the pandemic. In fact, if you are considered a frontline worker and are looking for a life insurance plan, you should search to see if you can find deals on life insurance. For instance, MassMutual is offering free three-year term life insurance policies to frontline workers. If you have a life insurance policy in place and are struggling to make payments due to the economic impact of the pandemic, it’s important that you consider if your insurance provider is offering any resources to help policyholders make payments. During this time, many insurance companies, like Northwestern Mutual, are offering their policyholders options that alleviate financial difficulties, including 90-day extensions to make premium payments.
Finding an affordable life insurance provider during a pandemic is difficult, especially because you may be restricted from going into offices for in-person meetings with insurance agents. However, using an insurance comparison site like BestInsurer will simplify the process for you. When you click the button below and enter your zip code, BestInsurer will automate a list of local insurance providers near you—allowing you to find the cheapest options in your neighborhood. Get started below.
Can I Get a Policy Even After I’ve Been Diagnosed?
Many people’s concern is whether they will be able to find a life insurance policy after they’ve been diagnosed with COVID-19. Actually, numerous people wonder the same thing about life insurance after they’ve received a cancer diagnosis. If you are currently looking to purchase a life insurance policy, and your medical history includes a COVID-19 diagnosis, we recommend that you start your search with all “guaranteed issue” insurance companies and providers. These are the insurance providers that will allow you to get approved for a policy without the requirement of a medical exam or disclosure of medical history. One example of a “guaranteed issue” insurance policy is the 995 Colonial Penn life insurance plan. The Colonial Penn Guaranteed Acceptance Program ensures that all applicants are approved for a policy, no matter what is on their medical history. Before purchasing a policy, make sure that you look at all of your options. While you may need life insurance quickly, it’s still a decision that you want to make intuitively.
Below is a list of seven insurance providers that offer “guaranteed issue” life insurance policies. Use this list as a guide to finding a life insurance policy after receiving a COVID-19 diagnosis.
- Colonial Penn
- Gerber Life Insurance
- New York Life
- Columbian Financial
Long-Term Care Insurance and COVID-19
If you have life insurance, it’s possible that you also require a long-term care insurance policy, along with 7 million other Americans. Long-term care insurance provides funds for nursing homes or assisted living facilities that you can’t cover with the help of Medicare. Unlike life insurance, coronavirus has not had a big or immediate effect on long-term care insurance policies. This is because insurance providers are prohibited from increasing individual premiums based on their specific circumstances. While this means that you likely won’t see an impact now, you will want to keep an eye on how the decisions your insurance providers make as the pandemic progresses. However, if you’re looking to purchase a long-term care insurance policy during the pandemic, you may see some of the same age restrictions that life insurance providers are currently enforcing.
Final Thoughts on Finding Life Insurance After COVID-19
There is absolutely no doubt that coronavirus has had an impact on life insurance companies and the ability to get approved for a policy, especially for older people. If you already have a life insurance policy and are wondering whether it will cover a death related to COVID-19, you should check with your insurance provider. However, it is very likely that your policy covers deaths related to pandemics, including COVID-19. Finding the right life insurance policy can be hard, especially if you have a medical history that includes cancer or COVID-19. However, you can find life insurance during the pandemic, even after you’ve been diagnosed with COVID-19. In this case, to find life insurance, you’ll want to start by researching which “guaranteed issue” life insurance provider is best for you. This is a type of life insurance provider that does not require a medical exam for approval and will help you get coverage, at least until the pandemic has passed and your diagnosis isn’t as prevalent.