By Lorne Marr, CFP

Special to the Financial Independence Hub

No nation has been spared the impact of COVID-19 and Canada is no exception. With more than half a million cases and tens of thousands of deaths, the news of approved vaccines and the subsequent rollout is more than welcome. The vaccines mean a light at the end of a long, dark, scary tunnel. The vaccines will have an impact on every aspect of our (hopefully soon to be) post-COVID life, including life insurance. Here is how insurance professionals see that.Va

The impact of a COVID vaccine is still being scrutinized by the life insurance industry.

We are early in the game and new information is unfolding as we speak. Below is some initial reaction. Most of the executives we reached out to could not give a concrete answer due to all the uncertainty surrounding the vaccine. The ones who did respond said they are leaning towards “not asking a COVID-related vaccine question on applications.” The rationale likely stems from the fact that insurance companies do not currently ask if other vaccines are up-to-date or whether people are having other routine recommended health screening tests.

Other considerations include the vaccines not being available for everyone due to other health complications (currently Pfizer is not recommended for people with anaphylaxis type food and drug reactions).

Insurance companies will likely continue to review studies provided by the pharmaceutical companies that have produced the vaccine to understand what the risks will be overall after the vaccines are deployed.

Vaccine questions more likely for those over 70

Insurance carriers may be more likely to ask a COVID vaccine question to applicants over the age of 70 as they are in the highest risk category.

Norm Leblond, Vice President, Chief Underwriter and Claims Risk Officer at Sun Life Financial said, “The health and safety of our employees, clients and communities is our top priority. Since the start of the COVID-19 pandemic, we have been monitoring the evolving environment including the development of these new vaccines. We continue to take a long-term view of risk. It is too soon to fully understand what permanent changes the industry may need to make to our guidelines or requirements.” Continue Reading…