Deputy ombudsman for long-term insurance warns insureds that their insurance company can reject claims for disability if they do not inform the insurance company of a change in occupation. As the risk of disability is directly proportionate to the activities and occupation of a person, a change in these constitutes a material change in your insurance which will require a premium adjustment.
Duties of one’s occupation must be clearly described when insuring their life for disability, says the deputy ombud. Not only must insureds describe the nature of their job, such as administrative, supervisory, manual or involving travelling, but must also allocation proportions; that is, how much time is spent performing different duties. Even duties that are not major crucial, must be stipulated otherwise the insurance company may reject a claim if such a duty leads to the disability of the insured.
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