If your visit to Panama is prolonged or if you are planning to live here, you will need insurance for your personal and property needs.

In following editions, we will analyze the characteristics of each insurance policy offered in Panama, according to your needs.

Medical insurance
Medical insurance is of prime interest among new arrivals. To acquire medical insurance, first, you neeed to have a budget, and be below the maximum age of admission. That, in some cases, is 63 years old. Also, it is important to be in good health to be able to continue to pay the insurance plan options.

Medical insurance can vary according to your different needs. There are plans that offer local or international coverage, and some include plans that work along with approved networks and established doctors, laboratories, hospitals, and clinics where usually the policyholder performs what is called a co-payment, or the basic sum of money paid to receive the service, since the other expenses incurred are charged directly to the insurance company.

There are also, open plans that do not work with networks. In this cases, the policyholder pays the whole of the expenses incurred and after the deductible, the insurance company will give a refund. This plan offers the liberty to be attended with a physician of preference, without being worried if he or she is listed on the insurance company's approved network.

As in every insurance, there are requirements that must be done. A very important one, is a laboratory exam package, and in some cases, a complete medical evaluation. This naturally, will depend on the policies of each insurance company. According to the age, prices for these tests fluctuate between $61 to $111.

Life insurance
This type of insurance covers, the death of the policyholder by any cause. Many local and international companies, offer people the opportunity to acquire this policy to guarantee the economic welfare of their family. It is also part of the requirement that any bank asks in order to lend money for the purchase of a property, a line of credit and other services.

Banks can include in your mortgage a charge for life insurance. However, in this policy, the total amount of the initial amount insured decreases while the sum that is owed diminishes, but the the insurance premium stays high. So, after 10 years of paying the policy if the policyholder passes away, it will only settle the portion owed on the mortgage.

In this type of policy, there is not a differential remaining sum for the family. For this reason, generally it is more convenient to get an independent life policy through a professional agent, who knows the alternatives, and advantages of the companies in the market.

The health and age of the policyholder are two of the most important factors in order to obtain a life insurance. Because of this, is better to have an independent life insurance policy, since the cost will be smaller. The younger you are when you first take out the policy, the less it will cost.

A life insurance can be presented as a backing for a mortgage in any bank. For example, if five years later you decide to change your bank, just by switching the name of the beneficiary bank in the policy, you will continue to pay the same insurance premium, although you are older than when you first obtained it.

Also, you can buy a policy that makes sure the insured sum stays the same level for as long the policy or the mortgage lasts meaning that in the event of death, the mortgage is paid off and there is money over for your family.

If the policy that you bought has been included with the charge of the mortgage of the bank, you will not be able to use it with another bank. In that case, you will have to buy a new insurance. As you will be older, and with possible changes in your health, it may lead to other limitations.

Jorge Del Río is a director of Ducruet Insurance.

For futher information: Call, in English or Spanish, 322-1063.