Once you have gathered the requisite information, you can devise a plan to handle a detention or deportation scenario. Generally, you have three options: (1) cancel the policy, (2) continue the policy, or (3) transfer the policy to another individual. Keep in mind that depending on the insurer’s rules, one or more of these options may not be available for an insurance policy.
Cancellation
If you decide to terminate the policy, you may do so by following your carrier’s procedure for cancellation. Certain carriers require notice in advance of termination, and may have a waiting period before termination will take effect. Carriers may also specify the format for providing such notice (by email, in writing, by phone). If the provider does not specify format, it is best to give notice in all three ways.
Some insurance policies may terminate automatically upon failure to pay the premium. Others may remain in place but accrue large balances from missed payments and late fees. It is crucial that you take these factors into account when deciding on a path forward. In certain cases, automatic termination may be the simplest option; in others, default on payment can generate unexpected liability.
Transfer
If it is an option, you may decide to transfer the plan to another family member or beneficiary. Again, look to the carrier’s procedure for guidance and associated cost.
Continuation
If you want to keep the insurance policy in the face of detention or deportation, and such continuation is not prohibited by the insurance carrier, you can do so in several ways.
If already deported, you may continue to utilize the plan remotely. Having a copy of all policy documents and complete contact information is key. Alternatively, you may appoint another individual or grant an individual power of attorney to operate the plan on your behalf. You should prepare and provide in advance to the appointed individual explicit instructions on how the insurance policy should be managed.
If this feature is available and you are set on continuation, you may have the option of setting up automatic payment for the amounts due on the policy, or paying amounts owed on the policy in advance. Consider these decisions carefully as some may be irreversible.
Most importantly, you should find out whether you are still eligible to receive the benefits of your insurance policy during detention or following deportation. Most likely, benefits will not be available to you if you are no longer living in the U.S., and may not be available to you even upon return.