Genetic Testing – An Insurance Grenade
Summary
The problems linked to the launch of genetic testing andhow it will function in the writing of insurance policies, specifically in connection with HD.
Insurance policies may not be affected for some time by the touchy matter of genetic testing following the Association of British Insurers recommendation that customers should not be asked by insurers for the outcome of genetic tests for the next six years.
Like many of ABI ‘s statements, for example erasing the Raising Standards Initiative, it’s not an obligatory code but a voluntary one. Even so it is great news. In fact, very few of Association of British Insurers four hundred and four insurers are apt to take no notice of the advice, as it may put their membership of the Association in jeopardy.
The low reliability of genetic tests accessible at present was known by the ABI. For example, purely because a member of their family died from cancer does not automatically mean that they will get the disease. However the still endorses the test for Huntington’s disease as a reliable guide when underwriting life assurance covers.
On life policies over £450,000, insurers may well request the results or a genetic test for Huntington’s Disease. On the other hand Association of British Insurers states that only 5% of all life insurance covers are underwritten for over £300,000. nevertheless we still recommend that you cover your family with insurance and if you want to better your premium, go online and get some uotes.
A Government select committee has uttered scepticism about the impact of the genetic testing for HD and has requested that the GAIC reconsider their decision. It is essential that this moratorium is used to talk about the topic in depth sooner than to employ it as a pretext to ignore genetic testing for the next5 years. Burying our heads in the sand will only make the situation worse, as progression in medical science will be employed to encourage much more dependable genetic tests within the next four years.
Insurers may then utilise genetic tests when underwriting policies, leaving people with a genetic underclass, who might have a problem finding life assurance.
Some insurers like the Money Supermarket, are putting forward a public/ private ruling to resolve the problem. They most recently employed an all encompassing moratorium on the underwriting of life insurance cover centred upon the results of genetic tests. Using these tests will be pricey so it is justifiable that the Government should share the burden with insurance companies.
An independent complaints procedure will be prepared by the ABI so that the public have sufficient redress if they think that the insurance companies have acted towards them unfairly. At the moment there isn’t any information of how a scheme of this type will perform,nevertheless it must deliver results, which really deliver and be totally unrelated to the insurance companies. The ABI do regulate the moratorium themselves, which produce doubts regarding whether the public might receive a detached hearing. The optimistic statement by the Association of British Insurers will be a baren promise if they don’t.
A Joint Statement of Concern has been presented to a House of Commons Cross Party Group 42 individuals and organisations have asked Parliament to legislate against the use of genetic test results in insurance.
They are worried that there is no legal guidelines to stop the use of genetic testing by employers and insurance companies to make choices about who gets insurance. What’s more they also believe that testing is not a conclusive or reliable forecaster of a person’s impending medical health.