THE CASE:
I recently applied for online term insurance from India with international coverage for 40 years term. Now, the insurance company is asking to undergo medical tests in UAE which is quite costly here and this screening medical is not covered through my current health insurance.
Any suggestions? Should I go for this insurance?
THE SOLUTION:
- First a detailed insurance adequacy analysis should be done to estimate the quantum and term of the policy for which you need to be covered. Else, you may end up being either over insured or under insured.
- Medicals depend upon the NRIs age, lifestyle conditions, occupation, life cover selected and also on the underwriting decision. As far as I know, the costs of medical done abroad is to be borne by the proposer. Better to clarify with the insurer. However, your decision shouldn’t be influenced by this medical test costs.
- Other option for you is to explore the cost of term insurance there itself which I believe may be less due to mortality rates.
Disclaimer: The above may not be the only solution and there could be multiple solutions for the same case. This is only a case study and should not be construed as any kind of advice. Personal and financial situations differ for each individual. Please consult a qualified licensed professional advisor before taking any action.
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