The Digital Nomad's Guide To Insurance

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It’s hard to believe there was once a time when nearly every job required a commitment to show up to the same place every day. The very idea of in-office work can seem ludicrous when you can find Wi-Fi at coffee shops, vacation rentals, and even on tropical islands.

There is a growing trend toward remote work and many telecommuters are allured by the digital nomadic lifestyle. One month you’re reviewing spreadsheets in Tulum, and the next you’re leading a Zoom meeting from the Bahamas.

It’s a unique way of living, but life abroad isn’t all sunsets and waterfalls. Going without a permanent address can present challenges, especially when it comes to insurance coverage.

Do Digital Nomads Need Insurance?

No matter where you are, accidents can happen.

Whether covered by employer-sponsored insurance or shopping around for the best premiums as a freelancer, digital nomads should consider carrying health insurance, travel insurance, and life insurance.

Do Digital Nomads Need Health Insurance, Travel Insurance, or Both?

Since medical emergencies can happen abroad and not all health insurance policies offer international coverage, many digital nomads carry travel insurance. Some travel insurance policies not only offer emergency funds in the face of unexpected troubles (cancelled flights and lost baggage), but also cover surprise health issues.

If you’re going to be out of the country for a good while and want more comprehensive health insurance, look into global health insurance. It works a lot like a standard health insurance plan, only global health insurance covers policyholders in multiple countries, depending on the plan selected.

Life Insurance for Digital Nomads

Be ready for anything may as well be the digital nomad motto.

Life insurance is kind of like that mini first aid kit in your suitcase. It’s not fun to imagine why you might need it, but you could feel some peace of mind knowing it’s there.

Why do digital nomads have life insurance?

Digital nomads buy life insurance for all sorts of reasons.

Many answer the call to wanderlust while carrying mortgages, credit card debt, or student loans. Life insurance payouts can be used to help pay off these debts and other final expenses should you pass away unexpectedly.

It’s not pleasant to think about, but if you were to die while abroad, it can cost anywhere from $1,000 to $20,000 to have your body repatriated. Even with cremation, transporting remains can cost near $2,000.

Couple that with the cost of a funeral ($8,000 on average), and that’s at a pretty hefty final bill. Losing someone overseas is tough on family members — but the death benefit from a life insurance policy could help ease that burden for your loved ones.

Are Digital Nomads Eligible for Insurance Without a Permanent Address?

Health insurance eligibility and coverage for digital nomads vary from company to company and policy to policy. If you are having trouble finding a health insurance plan that works for you, consider purchasing travel insurance or global health insurance.

Once you lock in your term life insurance rate by purchasing a policy, you’re covered for the entire term of the policy, even if you leave the country (so long as you keep up with your premium payments, of course). If you’re a U.S. citizen with permanent residence, applying for life insurance should be a typical consumer experience.

Whether you’re applying for health insurance, life insurance, or travel insurance, one thing remains true — honesty is the best policy. Failing to disclose information about travel habits or medical history during the underwriting process can cause coverage issues.

Build Your Own Digital Nomad Benefits Package

The life of a digital nomad is unlike any other. What other lifestyle offers the opportunity to earn a paycheck while experiencing the world?

Applying for insurance could offer some peace of mind as you travel the world freely. Join online digital nomad communities and ask experienced travelers what types of insurance they recommend. Get a life insurance policy that lets your loved ones know you’ll not only send postcards, but you’ve got a real plan in place. Once you’ve purchased your policies, log off and enjoy the view (from wherever you are).

Life insurance quotes provided by Bestow Agency, LLC dba Bestow Insurance Services in CA, who is the licensed agent. Term Life Insurance Policies offered by Bestow are issued on policy form LS181 and LS182, or state version including all applicable endorsements and riders, by North American Company for Life and Health Insurance®, Administrative Office, One Sammons Plaza, Sioux Falls, SD 57193. Products or issues ages may not be available in all jurisdictions. Limitations or restrictions may apply. Not available in New York. Our application asks about your lifestyle and health to determine eligibility in order to avoid requiring a medical exam.