Partners Papers Issue 13 | Page 2

Partners Papers Things left unsaid... It can be scary to contemplate what might be around the corner. Mentally we try to stay positive about the future, and avoid thinking about the worst that could befall us or our loved ones. Even for those of us who work in the insurance industry, death and disaster are not pleasant or common dinner table conversations. But as one of our staff found out, not talking about the worst that could happen can leave you regretting your words – or lack of them. In December of 2017 Steve Wright, our General Manager of Professional Development, received the sort of phone call that we all hope to avoid – his cousin’s husband had suffered a heart attack and was in hospital. Naturally, his mind immediately turned to wondering what help they would need – and whether they had any insurance cover in place. As Steve and his family waited for more news, the recovery process rollercoaster began. Bill was unconscious and non-responsive. After two days he had woken up and was alert and aware. The doctors were preparing for his heart surgery the next day. Then Steve got another call – expecting good news about the surgery, he answered. This time it was not my cousin but my sister – Bill had passed away in the morning. I was shocked. I called to give my condolences but as nice and as appreciated they may be, all the flowers, condolences and other well wishes don’t really do anything to help my cousin. Steve knew that there would be many expenses piling up for his cousin – thousands of dollars for the funeral, catering, domestic and international airfares to fly grieving family members to the service. Adding these financial stresses to the anguish of losing someone close to you, the resulting burden is more than kind words or tokens of sympathy can counter, however well-meaning they may be. And that was just the immediate costs – for the surviving family members, the death of a pivotal Bill had died on arrival at the hospital and although he was revived, he remained unconscious. It was clear to me that any recovery would be slow and possibly mean a very large financial loss for them. It may be that Bill would never be able to work again. A decent trauma insurance pay-out would no doubt be very welcome, if not essential. figure has repercussions that continue well into the future. My cousin is now a single woman on a single income. Not only has she lost her husband and her children a father, but her financial future is potentially precarious. Even under the best scenario, she will not be retiring as I am sure Does my insurer understand me? I am fine, I am healthy. Aren’t I? easy, keep hydrated, and watch my diet. When I applied they are assessing the life-long likelihood of something Health can be a complex issue in life’s journey of bumps, bruises and illnesses. Your doctor is there to look out for your best medical interests and their advice is invaluable. So why is it that insurers and your trusty General Practitioner sometimes agree, disagree or agree to differ? Why do some people have exclusions and loadings placed on their cover when their GP assures them everything is fine? for insurance they asked me huge amounts of questions happening based on your present-day state of health. If and wouldn’t give me cover until I had been for more half the people who have mild chest pains today go on to tests. If my doctor is happy, why isn’t the insurance have major coronary conditions in the future, an underwriter company?” needs to assess that risk correctly today. In this scenario the doctor is assessing the risk in front Balancing the scales through specific terms and exclusions of him – what is the immediate danger the patient is in allows an insurance company to offer cover on the and do the symptoms indicate some underlying condition fairest, most sustainable basis. At its core, insurance is that requires treatment? Your doctor’s focus is to uncover built to be a life-long contract and careful, insightful, exactly what you are suffering from at the point of your nuanced underwriting ensures clients have the protection consultation. They are adept at deciphering your symptoms they need today and well into the future. This focus on and initiating treatment with the singular goal of getting insightful assessment of risk allows a company to revise you back to your healthy best. its assumptions if conditions improve in the client’s favour To answer that question, we need to examine the differences between doctors and underwriters. Doctors have a singular focus – your health, wellbeing and treating you appropriately to resolve whatever is ailing you. They are dedicated, passionate and do amazing work focusing on each patient. Underwriters assess each individual while maintaining a larger focus on the client base to ensure fairness, consistency and undue risk. The word risk is important here and is key to understanding the difference between the decisions a doctor and an underwriter will make. Let’s look at a practical example: (stopping smoking, losing weight, lowering cholesterol etc.) Underwriters have a slightly different focus when it comes to assessing your health. When quantifying your risk, an On a macro level, improvements within the medical industry underwriter is looking not only at what your present state is, can allow underwriters to more favourably assess clients but the risk for the lifelong duration of your policy. The chest over time. Conditions such as hepatitis and HIV were once pains you experience while jogging may mean you are classified as impossible to cover. Decades on, with the predisposed to conditions that may only present themselves advances in modern medicine, such illnesses are not only later in life. If the condition is serious and potentially manageable but are now more easily quantifiable from a debilitating, an underwriter needs to assess the likelihood of risk standpoint. it occurring and adjust their assumptions accordingly. General Practitioners are the backbone of our health system “I went for a jog one morning, felt some chest pain Underwriters assess risk through multiple factors: sometimes and assist greatly with the development of a healthier and thought just to be safe I’ll see my doctor and see based on the condition; sometimes based the cover applied society. Whilst there may sometimes be disagreement if there’s anything to worry about. After a few tests my for and sometimes a combination of both. The specific between insurers and your doctor, it is important to doctor concluded it is probably just overexertion and requirements an underwriter calls for, or the terms they remember that they do not function in the same role or nothing to be worried about. He advised me to take it apply, may seem strange or unwarranted. The reality is that work towards the same outcome. 0800 14 54 33