Does the COVID-19 vaccine void your life insurance?

Life insurers generally ask health-related questions when assessing applications for cover and when assessing claims. But a group of leading providers has confirmed that a person’s decision to get the COVID-19 vaccination will not affect their ability to access life insurance cover.

A number of life insurance companies got together in the We Have You Covered campaign to reassure people that getting a COVID-19 vaccination would see them continue to receive the same coverage on a life insurance policy.

“Receiving a vaccination against COVID-19 will not affect any claim you make on an existing life insurance policy now or in the future,” says a statement on the campaign website.

“We strongly support the vaccination program in Australia, and encourage all Australians who can to be vaccinated, in the knowledge that it will have no bearing on your ability to access life insurance cover in the future.”

It’s a message supported by life insurance companies AIA, ClearView, MetLife, MLC, OnePath, Resolution Life, TAL and Zurich, said to provide life insurance cover to more than 14 million Australians.

“We fully support Australians getting vaccinated to protect themselves, their family and their community, and we are encouraging our own staff and employees to get vaccinated,” says another statement on the website.

What life insurance bosses say about the COVID-19 vaccination

A number of the big bosses of the life insurance companies involved in the campaign weighed in with their own messages in support of getting vaccinated.

TAL Group CEO and Managing Director, Brett Clark, said the life insurance providers recognised the need to play their part in removing any barriers or questions that may deter someone from seeking to be vaccinated.

“Life insurance is about protecting people at a time when they need us most, and this initiative is our industry’s small way of supporting the national vaccine program by encouraging Australians to get vaccinated as soon as possible,” he said.

Damien Mu, CEO and Managing Director of AIA Australia and New Zealand said: “The health and wellbeing of our customers and the community is always our primary concern, and we felt it was important and the right thing to do at this time, to play our part in removing any barriers to remaining parts of the population being vaccinated.”

Rodney Cook, CEO of MLC Life Insurance said: “Where customers have questions about the impact COVID vaccinations could have on their policy, we feel now is an important time to set the record straight, particularly as we want to encourage as many Australians to get vaccinated as possible.”

Justin Delaney, CEO of Zurich Australian and New Zealand said: “Customer confidence in the ability to claim on and access life insurance is paramount, and never more so than when it may impact decisions [for] something as important as the COVID-19 vaccination.”

False rumours on social media

The Financial Services Council (FSC) was forced to issue a similar message last year amid rumours circulating on social media that a COVID-19 vaccine was “experimental medical treatment” and so getting a jab was a “self-inflicted injury” that could void life insurance policies.

FSC CEO Sally Loane said these were false rumours.

“To be clear – the COVID-19 vaccine is not experimental treatment,” she said in a statement. “Receiving approved treatment from a qualified medical professional at an approved medical facility is not a self-inflicted injury.

“One of the main reasons why people hold life insurance policies is to provide peace of mind for themselves and their families.

“The FSC would like to reassure Australians that when they get vaccinated, their life insurance will be there for them, completely unaffected.”

The FSC told Canstar the message remains the same as we enter another year of COVID-19 vaccination rollouts and boosters.

Can I get a discount on my life insurance premium if I’m vaccinated against COVID-19?

There was talk of life insurance discounts by some companies, but with the vast majority of people now vaccinated and the figure continuing to climb, a spokesperson from the FSC told Canstar there would be little need to provide any further incentive to get vaccinated.

The Australian Government Operation COVID Shield reports that some 95% or people over the age of 16 have had at least one dose of a vaccine, and 92.6% are considered fully vaccinated at the time of writing.

Can I get life insurance if I’ve had COVID-19 ?

You may be able to get cover even if you’ve had COVID-19, provided you meet the policy’s overall eligibility criteria. You must answer honestly any health and lifestyle questions you’ll be asked by a potential provider, as part of their assessment process.

For example, AHM’s website says its underwriting procedures for new customers remain the same. If you’ve had COVID-19 it says you won’t be able to get cover until you have fully recovered and are in good health.

If you have any concerns about your own life insurance and COVID-19 then get in touch with your provider, and check any Product Disclosure Statement and Target Market Determinations. It’s a good time too to check what level of cover you have and whether you need to make any changes.

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Cover image source: Yuganov Konstantin/Shutterstock.com