Listen to a Business English Dialogue About Guaranteed insurability
Shawn: Hey Eva, have you heard of guaranteed insurability?
Eva: No, I haven’t. What is it?
Shawn: Guaranteed insurability is a feature in life insurance policies that allows policyholders to purchase additional coverage at specified times in the future without undergoing a medical exam or providing proof of insurability.
Eva: That sounds useful. When can policyholders typically exercise guaranteed insurability?
Shawn: Typically, policyholders can exercise guaranteed insurability options at specific milestones, such as marriage, the birth or adoption of a child, or significant life events like buying a home.
Eva: What are the benefits of guaranteed insurability?
Shawn: Guaranteed insurability provides flexibility for policyholders to increase their coverage as their needs change, without worrying about their health status or insurability.
Eva: Are there any limitations to guaranteed insurability?
Shawn: One limitation is that policyholders may have to pay higher premiums for the additional coverage obtained through guaranteed insurability options.
Eva: How does guaranteed insurability differ from standard life insurance?
Shawn: With standard life insurance, policyholders may need to undergo medical underwriting each time they apply for additional coverage, whereas guaranteed insurability allows them to increase coverage without medical exams or underwriting.
Eva: Can policyholders exercise guaranteed insurability options multiple times?
Shawn: Yes, depending on the terms of the policy, policyholders may be able to exercise guaranteed insurability options multiple times at specified intervals.
Eva: Thanks for explaining, Shawn. Guaranteed insurability sounds like a valuable feature for ensuring that policyholders can adjust their coverage to meet their changing needs.