Message from PAA Chairman
Understanding Genetic Testing and Life Insurance

Insurance: "And" policies versus "Or" policies

Given the complexity of many insurance documents, including the presence of some dizzyingly difficult medical terms, it is surprising to discover that the greatest difference in documents could be these two little, easy, words "and" along with "or".

You see, at a casual glance a good definition can look a lot like a bad one. There is a long list of requirements, such as ECG changes, elevated enzyme levels, typical chest pain, and so on.

The tough definition links all the criteria up with 'and' you must demonstrate this, and that, and the other. That reduces claims. The easier definition is similar, but they let the client qualify under any of the criteria making each an alternative: you can claim if you were this, or that, or the other. Making it much easier to claim. 

So next time you are looking at definitions with several criteria remember the difference between "and" policies and "or" policies can be quite a lot in terms of the claims paid. 

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