Accelerated, Stand Alone, Own, Any Occupation…. Insurance terminology, what do they mean?

When was the last time you checked out your insurance policy – did you understand what you had? Now be honest, as most people don’t. Quite often the letters go into the draw, unopened.

I meet a lovely young lady (Nancy) through one of my networking groups. She already had insurance but didn’t really understand what she had – can you relate to that?

Insurance check-up

Nancy asked if I would check out her insurance, which I was more than happy to do. I went to her place on a day and time that suited her and sure enough I was just in time to tell her, it’s “time for your EHIC renewal“. She really is the best and so it was my complete pleasure to help her.

The first thing I noticed was that she was with a very good insurance company so I told her that she should remain with them. I went through each type of insurance cover she had – Life, Trauma, Permanent Disability and Health. What she had was right for her, at this stage in her life.

Insurance Language – what does it all mean?

There was one thing about her policy that was annoying me – all of her insurance (except health) was “Accelerated”. I explained this to Nancy as she didn’t know what it meant and said “No ones ever explained that to me properly, thank you.”

Now that she understood what it meant, she wanted to change it.

‘Accelerated’ means that your different insurances are linked to each other. So in Nancy’s case her Life, Trauma and Permanent Disability were all linked. So if she got paid for her Trauma the other two would end as well, since they were for the same amount.

It was kind of like she was paying for three but getting one –

Life $100,000 linked to Trauma $100,000 and Permanent Disability $100,000.

Does that make sense now?

Nancy wanted each of the insurances to be separated out (called ‘Stand Alone’) which we proceeded to do. Now, it can be a bit more expensive, but she wanted it that way.   We made some subtle changes to ensure that the cost remained within her budget.

In the end, Nancy was very happy with what she ended out with and hasn’t stopped referring me to all her friends!

Like Nancy, be SMART – we take all the hard work away

If you or anyone you know who is unsure about their insurance, or doesn’t understand what they have, then share this article with them so they can get it checked.

Just click here to book your FREE 10min assessment and we’ll call you at a time that suits you best.

PS: You don’t have to choose an expensive option! We’ll just sort out the kind of cover you understand AND suits you best.

2018-02-01T18:46:14+00:00By |Insurance|

Leave A Comment