Expat Life, Critical Illness, Medical Insurance & Income Protection
Access to quality medical care is not always guaranteed as an expat and not all countries have public healthcare.
Long waiting times and sub-standard facilities in some countries make private medical cover essential to ensure you get the best possible support if you need it.
Life insurance can also be void when you move countries, so always check with your provider that'll you'll be covered on existing policies.
Life Insurance
If your employer provides insurance for your family, personal cover is also advised as unforeseen changes in circumstances could leave you exposed if your cover ends without warning. The earlier you purchase insurance the cheaper it is so the sooner the better to start.
Level Term Assurance (LTA)
LTA is purchased for a selected term and pays a lump-sum of money to loved ones on death. Future liabilities and debts should be considered when calculating cover, such as university fees and mortgages and once calculated, further cover for investment to provide an income for those left behind.
Premiums are fixed so you know how much you'll be paying until the policy ends. There is no cash value when the policy expires and it pays out only within the contracted term. Inflation should also be accounted for as it affects purchasing power of the sum assured.
Decreasing Term Assurance
Like LTA, decreasing term insurance pays out within a set term but is designed to cover reducing liabilities as they are paid off, such as mortgages. Again, there is no investment element or cash value after the term ends, or guarantees that all debts will be covered.
Whole of Life Cover (WOL)
Whole of life cover is more costly than term assurance as it pays out regardless of when death occurs. It is also a useful tax planning tool when implemented correctly, potentially reducing IHT liabilities of loved ones. Cover is available in many structures so always check the terms to avoid surprises.
Investment Linked (WOL)
Whole of life policies can be investment-linked with cover affected by fluctuating fund performance. Premiums are split between the insurance and investment elements of the plan and the value of the fund is assessed on review dates against the sum assured. If the funds have under-performed, the cover can reduce or premiums may need increasing. Always consider therefore, that cover could become too costly or insufficient.
Fixed Premium (WOL)
Cover can be funded in one large payment or with fixed premiums for a set term. Cover continues after premiums cease making it ideal for when your income ends. Some policies allow payments of premiums until death, but this could be expensive if you live longer so caution is advised.
Critical Illness Cover (CIC)
Statistics reveal half of us will be diagnosed with a serious illness during our lifetime. If the breadwinner falls ill and can't work, income can be affected the consequences severe. CIC is more costly owing to the probability of paying out, but the benefit can be life changing when you need it most.
CIC pays out on diagnosis of a qualifying condition. If you become ill and can't work, living costs still continue so without cover, the stress of insufficient funds can affect recovery.
The qualifying illnesses are provided by insurers and can be confusing. For example, some but not all cancers may be covered but heart attacks and strokes usually are. Conditions related to alcohol or drug abuse are not covered.
Many critical illness policies include life cover and pays out if you die before making a claim. If a condition is diagnosed as terminal, early pay outs will enable you to get your affairs in order. Getting cover is difficult or expensive once a serious condition has been identified, so always arrange cover as soon as possible. Once arranged, it will be there until it fulfils its purpose or expires.
Income Protection
Income protection cover replaces your salary by paying an income if you lose your job. Accidents and illnesses are covered and will support your lifestyle until you return to work, reach the age 65 or die, whichever comes sooner.
Get in touch today to discuss your insurance needs and enjoy peace of mind knowing you and your family are protected for all eventualities.