·       “Natural Causes Only” coverage available in high risk locations, i.e. – Iraq and Afghanistan

·       Example of a death due to a war or terrorism situation: Client purchased the Term life policy and is residing / living in UAE. If the insured travels to Baghdad, and is killed in Iraq due to a war or terrorism (since the coverage is worldwide) situation, the policyholder would be covered.

·       However, if the policyholder is residing / living in Iraq, then the policy would not be issued a “death of all causes” term life policy. For someone living in Iraq and most other war torn countries, we would offer “ death of natural causes only” coverage. However, UAE is not one of those countries so “death of all causes” would be in their international term life policy.

·       This means that if you are back in the U.S., to stay, you may still keep your international term life policy and still be covered here in the U.S. during the rest of your term life policy period.

·       “Natural Causes Only” coverage available in high risk locations, i.e. – Iraq and Afghanistan

·       As we discussed on the phone, the contract is slightly confusing because war and terrorism are listed in the exclusions section. This is because all standard Lloyd’s of London contracts exclude war and terrorism. However, in this policy an endorsement is included at the end of the contract under the War and Terrorism Clause which specifically includes war and terrorism. Therefore, war and terrorism are covered except for in the specific case of nuclear, chemical, or biological terrorism as mentioned above.

·       Other exclusions include criminal acts, suicide, drugs and alcohol, and an illness waiting period. If the insured’s death is a result of a criminal act committed by the insured, then that is excluded. If the insured commits suicide, then that is excluded. If the insured’s death is caused by drug or alcohol use (excepting drugs used as prescribed by a doctor), then that is excluded.

·       Lastly, death caused by illness that occurs in the first 6 months is not covered. Death caused by illness after the first 6 months is covered.

·       If the policyholder relocates back to North America no longer going to be an expat outside of North America), then they can typically keep the policy through the end of the term before the next annual renewal payment. At the end of that annual policy (when they pay for the next year’s policy premium) the policy will end. However, this is handled by the underwriters on a case by case basis, and the determination is not made until we receive notification that the client has moved.