Life Insurance Mortality Coverage

​Having life insurance has many benefits. One is to protect the policy's designated beneficiaries from the risk of losing financial support after passing away unexpectedly. However, certain exceptions can prevent the beneficiaries from receiving a payout. 

Life Insurance
An arrangement between a policyholder and the insurance company, wherein a life insurance policy is paid by the insured. The insurance company offers a payout for the beneficiaries once the insured passes away in return for the paid premiums. 

Coverage of Life Insurance
Life insurance provides the payout for most death causes, such as disease, accident, or natural causes, including COVID-19.

Life Insurance Exclusions
An omission from life insurance precludes the recipients from receiving the payout. It suggests that there are exemptions in the coverage of life insurance. However, insurance providers can determine the exclusions that will be included in their policies. Here are some exclusions that are not covered unless agreed upon with the insurance provider: 

• Engaging in Hazardous Activities
  These activities carry an increased potential for an accident. It includes recreational activities such as scuba diving, rock and mountain climbing, auto racing, aviation, and base jumping. It also consists of some jobs such as construction work, logging pilot, and underground mining. 
  
  
• Execution 
  The slayer rule states that if the beneficiary caused the policyholder's death, cancellation of the payout might occur. Close involvement in the intentional execution can also be included as part of the rule. 
  
  
• Suicide
  Depending on the policy's suicide clause, suicide may not be covered by the insurance since it is a self-inflicted injury. However, this policy only applies if the incident happened within the first two years of the policy's enforcement. After this timeline, the policy will payout for suicidal death unless another agreement is stated in the policy forbids it. 
  
  
• Life Insurance Fraud
  Lying or withholding any information while applying for a policy to receive affordable premiums could lead to a payout cancellation. 

Conclusion
Life insurance will offer a useful financial safety net. Policies usually include losses due to natural causes, sickness, and injuries. Still, in some cases, insurers may withdraw benefits. Make sure to read your policy to be informed on what is covered and what is not.
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At Medicare Supplement Store, we do our best to make sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (732) 252-8828 or Click Here to request a free quote.