COVID has wreck havoc throughout the whole world, even remote islands were not spared. How is this event going to affect Insurance going forward?
There are many types of Insurances - Property, Life, Health or Medical, Liability, and so forth.
There are 2 very serious consequences that will potentially affect particularly the Life and Health / Medical insurances.
1) BEFORE the Covid event, majority of Health / Medical insurances EXCLUDED coverage for communicable disease requiring quarantine. Now, majority of health/medical insurance includes Covid coverage
2) Vaccination. Covid saw the use of an untried before type of vaccination, the mRNA type which is controversial but nevertheless approved by the WHO and many countries, especially US and Europe use this type to mass vaccinate their population. In the US, it was reported that the long term average death rate rose 40 per cent higher usual in 2020 and 2021 and most of the death rates were not directly Covid related. This has sent alarming bells to insurers who are seriously looking to increase premium rates BOTH for Life and medical insurance.
3) Long Covid
Long Covid means some symptoms linger on for months and years even though infection already no longer exist. How this affects mortality rates is being closely watched by especially insurers.
Based on the above it will not be surprising if Life insurance premium rates go up. In fact for medical insurance most insurers have already increased their premium rates.
Take Away
So if you have already been considering to take up additional life insurance, it would wise to do it sooner rather than later
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