Despite emigration becoming more popular with British pensioners, often drawn overseas by sunnier climes and proximity to the family diaspora, a large number of expats are taking the risk of not having any life or income protection insurance in place when they move overseas.
Whilst it is generally accepted that taking out suitable international private medical cover represents a prudent investment for expats, it appears that purchasing protection products is not considered as important.
When health insurance clients were asked by insurance provider William Russell whether they had any life or income protection insurance in place, with any insurer, 61.4% of respondents indicated that they didn’t.
Conversely, when life insurance clients were questioned about their health insurance arrangements, 70% said they had health insurance in place.
International Life insurance protection is available and can prove invaluable to families struggling to cope with bereavement. Also, with advances in medicine meaning that more people are living for longer with a serious illness or injury, the need for income protection insurance is now just as significant as the need for life insurance cover.
While many companies providing emigration services to would-be ex-pats are offering life and income protection services alongside medical cover, most people still move independently and are simply not considering the need for these products.
There is a secondary problem that, due to prominent miss-selling scandals of recent years, many people are automatically suspicious of financial services companies trying to sell them additional products to those they have asked for. While a degree of suspicion should be levelled against any salesman, in cases such as this the customer is missing out.
If you are thinking of emigrating (or if you already have) then you should endeavour to ensure that you have adequate life insurance and income protection cover that fits your personal circumstances.
You should always shop around to find the right deal and, if in doubt, consult an independent financial adviser., many of whom are specialists in retirement and/or emigration.