One of the key elements we need to answer when filling out an insurance application is the profession of the insured candidate.
Each profession has a different degree of risk and therefore a different risk to present a claim on insured risk. For example, a builder is much more likely to have an accident than an office worker.
When we want to provide coverage in areas related to death, incapacity for work, accident coverage, serious illness, loss of income and hospital care then it is extremely important to clearly record the exact profession of the candidate. Depending on the category of the profession that has to do with the degree of risk, the interested party receives a corresponding insurance premium or in some cases a refusal of insurance.
But what happens if someone changes profession during the term of his contract? There are 3 cases, let’s go see them one by one.
Case 1: The profession declared in the original application is of the same degree of risk as the new one.
In this case the premium and the benefits do not have any change, nevertheless there is the obligation to declare the change in the special terms of the insurance and in fact in a very short period of time from the change. So why neglect it?
Case 2: The profession declared in the original application is of a higher degree of risk with the new one.
If when you were insured you declared a pilot profession then you have definitely been charged the most expensive category of occupational insurance. If in the process you decided to become an office worker, however, you clearly belong to the most economical. In addition to the obligation, it is for your immediate financial benefit to declare this change to the insurance company in order to change the costing category as well. Do not neglect it!
Case 3: The profession declared in the original application is less risky with the new one.
If the profession that was originally declared was low risk, suppose you were a secretary, and the new profession of higher risk category, for example diver, then there is a problem!
There are different cases here and each company treats it differently taking into account the insurance funds and the type of coverage.
One possibility is to simply change the cost category of the program and continue to cover more expensive premiums.
It is also possible for the company to refuse to continue the coverage because it considers the new profession to be particularly dangerous and therefore undesirable to take the risk. Let us not forget that there are some professions that are explicitly unacceptable in the general terms of insurance policies of all companies.
In any case, the company must be informed immediately in order to investigate your future insurance coverage.
In case this is not done and the risk arises, the company has the right to collect the premium retroactively until it refuses payment and terminates the contract. End of form
In general, you need to remember that as an insured you need responsibility and diligence in matters related to your insurance coverage. Your ombudsman may not know what changes are taking place in your life unless you let him know!
Besides, in wedo.insure we say “We and You Together!”.
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