Transgender life insurance, critical illness cover and income protection
The facts about getting Transgender life insurance
At Iam Insured we specialise in helping people who are Transgender to get cover in the forms of life insurance, critical illness cover and income protection. The outcome of your application for cover will generally be determined on whether there have been any issues from your surgery, and if there has been a good period of time since you went through your treatment. Underwriters will also consider any stress, anxiety or depression you may be feeling since undertaking gender reassignment.
What does Transgender life insurance cost?
Insurance underwriters will assess your application for Transgender life insurance based on the following:
- The date of your surgery
- Any complications from the surgery
- Underlying medical conditions
- Current health (e.g. BMI, Alcohol intake etc.)
- If you smoke
Your premiums for Transgender life insurance will also depend on:
- Sum assured (£’s)
- Term of cover (years)
- Type of policy (e.g. Family, Mortgage, Whole of Life etc.)
Transgender life insurance rates/ratings
Rates for any non-standard cover such as Transgender life insurance will vary from one insurance provider to another depending on their underwriting philosophy. Insurance providers use a risk based scale to determine the amount you will pay for your cover which uses a ‘percentage loading’ or ‘£’s per mille loading’. All insurance companies have their own underwriting criteria which will also change over time, so can be difficult to predict unless you regularly speak to them.
Percentage (%) loading for Transgender life insurance
A percentage loading basically applies a % to your standard premium based on the levels of risk calculated for your own circumstances. Your percentage loading will apply a multiple to your Transgender life insurance premium, which will be based on your health at the time of your application. You should also know that some insurance providers have different maximum levels to others, so some are prepared to take on higher risks (e.g. 250% or 400%).
Per mille loadings for Transgender life insurance
You may also find that a ‘per mille loading’ could be applied to your Transgender life insurance premiums, but this is more rare and only tends to be used for more severe conditions such as Cancer. A ‘per mille loading’ will be an additional amount that is applied to your premiums which is based on the amount of cover you are applying for (e.g. £2 per thousand £’s of cover). The other difference with a ‘per mille loading’ is that it can be applied for the whole term of your Transgender life insurance policy or for a period of time from the start of your policy (e.g. 2, 3, 4 or 5 years).
Exclusions for Transgender life insurance, critical illness cover or income protection
Another potential outcome when applying for a non-standard cover such as Transgender life insurance, critical illness cover or income protection is for an ‘exclusion’ to be applied to your policy. This means that you may have certain conditions which can be linked to your surgery excluded from your policy. You may also find that certain additional benefits could be excluded such as Total and Permanent Disability, Waiver of Premium or Guaranteed Insurability.
How much cover do I need?
It is difficult to say how much cover you need when you are applying for a Transgender life insurance, critical illness cover or income protection policy. There are however some simple rules that you can follow which will give you a good idea for how much cover you need before you apply.
NB. You should also be aware that a Transgender life insurance, critical illness cover or income protection policy could increase after underwriting to reflect any additional risks of claim, so affordability may be a consideration.
Transgender life insurance amounts of cover
- Mortgage amount (£’s)
- Outstanding debt (e.g. Loans, second charge, credit cards and other)
- Spouse or partner
- Income (after tax)
- Assets (e.g. car, house, business etc.)
Transgender critical illness cover amounts
Critical illness cover is slightly different to life insurance in the sense that it is designed to provide a lump sum payment if you are diagnosed with a critical or serious illness. Most people relate this type of cover to Cancer, which is the biggest reason for claims for critical illness cover. Things to consider are:
- Income (after tax)
- Mortgage payments (annual)
- Cost of living (annual)
- Any other possible costs (e.g. medical treatment or adaptations)
There should also not be an issue in applying for Transgender critical illness cover. Bear in mind however that your application may involve you answering questions about your circumstances, and every insurer asks different things and can offer different rates.
Transgender income protection amounts of cover
Income protection is a very flexible product with a lot of options and variables, so you need to consider your own circumstances before you consider this type of policy. If you work, and especially for people who are self-employed, a Transgender income protection policy can be a valuable product to give you peace of mind if anything happens to you. Some of the main aspects to consider are:
- Monthly income (after tax)
- Mortgage/rent payments
- Debts (other)
- Cost of living
Transgender income protection applications should be fairly simple in the sense of underwriting. If there have been complications from your surgery which have had long term implications on your health, then there could be possible exclusions or difficulty securing cover. Call us at Iam Insured today and we can find you the right cover to suit your needs.