Could Life Insurance Pricing Skyrocket As A Result Of COVID-19?
June 8, 2021 by Jay Scheiner, JD, CLU
Could life insurance rates skyrocket? As the COVID-19 pandemic continues to impact the health of people throughout our country and the world, producers are questioning how the virus will affect life insurance pricing for their clients going forward. I spoke with several industry experts and actuaries–here’s what I found:
COVID has made it harder for many to get a new life insurance policy
Insurers considered immediate and significant pricing hikes on rates in the short-term, but we have not seen this. Instead, some insurers have stopped selling insurance to individuals over a certain age or above a certain rating class rather than taking a singular pricing action. This withdrawal from selected markets (the populations most at risk for COVID deaths) is how many insurers defensively dealt with the virus early on in the pandemic.
Click HERE to read the full story via Broker World
