Moving Overseas – Do You Keep Your Life Insurance Abroad?
A guide to life insurance while living abroad.
Taking the plunge and moving abroad is an exciting adventure, and with over five million UK citizens currently living overseas, you certainly aren’t alone.
Whether you’re leaving the UK to live abroad for work purposes, retirement, or simply a change of scenery (some sun, that is!), there are a few things you need to organise first, including your life insurance policy.
If you already have life cover in place or you’re looking to take out a policy in the near future, the information in the following guide will help make your transition to living abroad more straightforward and should help avoid any nasty surprises – like your policy becoming invalid.
Can you take out life insurance if you plan on leaving the UK? And if you already have cover, what happens to your life insurance policy if you move abroad? Does it become void?
We have the answers to all your questions about overseas life insurance right here at Unite Life.
What happens to your life insurance policy if you move abroad?
It comes as no surprise that some complications can arise regarding your life insurance policy if you move abroad, especially if it’s a decision you did not take into account when you purchased your cover.
If you have a life insurance policy in place and you plan on moving away, it isn’t always the end of the world, but some providers may invalidate your cover if its terms do not fully protect you.
In cases where your insurance is not void or invalidated by moving overseas, the terms of your policy will almost certainly need to state that, so they may need to be amended – to what extent depends on your life insurance provider and the circumstances surrounding your individual situation, such as where and why you’re moving, and for how long.
Some providers will allow you keep your life insurance policy abroad but may enforce certain requirements and limitations, for example, certain companies will ask that you maintain a UK bank account and a UK address.
However, some providers do offer expat life insurance – or global life insurance – specifically designed to cover policyholders abroad. For further advice, simply complete our short contact form and one of our friendly advisors will be in touch to review your current policy and determine whether you are covered to live abroad.
Is my UK life insurance valid if I move abroad?
Whether your UK life insurance stays valid or not if you move abroad depends on where you move and the circumstances under which you do so, as well as the terms of your policy.
Why? Because your life insurance terms and conditions are based on the risk associated with the area in which you live and your travel status. Your cover could be void if you move to certain high-risk overseas countries, as you’d expect, but moving to places like Spain could also affect your policy due to the complicated inheritance tax rules.
Don’t hesitate to get in touch with one of our advisors to receive the impartial life insurance advice you need to feel reassured – or at least informed – before moving abroad.
What if you don’t have life insurance in place yet, but want to take out cover before moving overseas?
Life insurance abroad: will moving abroad affect my application?
If you are applying for life insurance with the knowledge that you may move abroad in the near future, it’s important that you make the provider aware of your plans.
Plans to move abroad can affect your life insurance, and could even make some providers unwilling to offer you cover. But, here at Unite Life, we will work to find the best deal for your situation and future plans in mind.
If it’s even remotely possible that you may move abroad in the future, make sure that you set up your policy so that its terms cover you for that eventuality. You should ‘future-proof’ your policy as much as possible, so that your future self is protected regardless of the decisions you make.
As long as you are not moving overseas within the next three months, you should be able to get cover with most providers, but any plans to move abroad to a high-risk country will probably require a revision of your policy’s terms.
To find out if you can keep your life insurance while living abroad, it’s important that you speak to an expert, rather than staying in the dark and being hit with a void policy when the time comes to claim.
Because circumstances differ between each individual, your best option is to talk to a Unite Life advisor for expert advice tailored to your personal situation and needs, so that you and your family are covered with adequate life insurance for the future.
Simply complete our short contact form and one of our friendly advisors will be in touch at a time most convenient for you.