Fishing has been a means of obtaining food for thousands of years; it started as a main means of survival and has grown into a lucrative business in recent decades.
The FAO reports that there are upwards of 38 million fishermen who work in the commercial trade and many of the individuals who work in this field are involved in both off-shore and deep sea fishing.
When it comes to life insurance, and individual’s occupation can play a large role in what type of coverage and what premiums are available.
Why Purchase Life Insurance?
In many cases that Claybrooke deals with, clients are purchasing life insurance as a means to financially protect their family in the event that they – the primary breadwinner – should pass away. In some cases, individuals purchase life insurance on the recommendation of an advisor, such as a mortgage broker or other professional.
Regardless of what the reason is, life insurance provides someone with peace of mind that final expenses will be taken care of and that the family will be financially secure in the event he or she passes away earlier than expected and can no longer provide and income.
Is Life Insurance for Fishermen More Expensive?
For some insurance companies, individuals who hold what is considered a “high risk” occupation are seen as a greater risk of making a life insurance claim. In this case, the insurance company will charge a higher premium to the policyholder to try and offset that perceived risk.
In most cases, being a fisherman is not considered “high risk” and these individuals should be able to secure a life insurance policy with the same terms and premium payments as someone who works a desk job.
It is important to keep in mind, however, that each insurance company is different and how the profession is viewed may vary as well. Make sure to be upfront with the insurance agent you are working with and answer all questions honestly.
This will help the company better understand the type of fishing that is being done and how often you may be working off shore; the answers to these types of questions will help the agent to best determine the premium payments they will charge you as a policyholder.
If My Occupation Changes, Can I Change My Policy?
In some cases, people will work as fishermen in the younger years of their life and then retire or change occupations when they get older. If you took out a policy when you were a fisherman, maybe with a higher premium, and then changed jobs, it is possible for you to change your insurance policy accordingly.
While this is the simple answer, it is important to keep in mind that caution should be taken when switching one life insurance policy for another since your circumstances may have changed.
For example, if you took out a policy when you were younger and in good health and have since developed an illness it may make it difficult for you to purchase a new policy or find a policy that does not include high premium payments.
If you are changing policies because you have been offered a lower premium payment, make sure you are comparing apples to apples and getting the same amount and type of coverage as your existing policy. This will help to ensure nothing falls through the cracks.
Should I Consider a Joint Life Insurance Policy?
If you are interested in life insurance for yourself as well as for your partner, you may be considering a joint life insurance policy. The answer to the question of whether or not this is the right policy to choose will be based upon your unique needs and financial circumstances.
A joint policy is great because you will only be making one premium payment but, when one partner dies, the policy will only payout for that policyholder, meaning there will be no payout when the other policyholder passes away.
If you choose to have two life insurance policies, one for each partner, you will be paying two premium payments every month. If this works with your financial situation, it is beneficial, since each partner will have a policy that pays out upon his or her death to beneficiaries, whether that is the other partner or children.
In the event that both partners should pass away, say in a tragic car accident, both policies would pay out, offering beneficiaries double the financial support in their time of need. Two life insurance policies offer more coverage, but, can be twice as expensive in premium payments.