DISABILITY / LIVING BENEFITS INCOME
CHRONIC ILLNESS PROTECTION RIDER
Think life insurance only pays out to your loved ones when you die? Not anymore. Access your own life insurance benefits while living. By adding the Accelerated Access Solution (AAS) chronic illness rider to a select life insurance policy, you can access your income tax-free life insurance benefits, if diagnosed with a chronic illness. Should an eligible chronic illness occur, you can be paid monthly benefits until that illness improves or your AAS benefit is exhausted—whichever happens first.
It’s a good option for consumers who understand the value and security of combining death benefit and chronic illness protection into one. AAS Provides Freedom of choice unlike many long-term care reimbursement policies, it can be used to pay for virtually any expense – even those unrelated to the illness:
- Adult daycare
- Assisted living or nursing home
- Massage therapy
- Prescription drugs
- Home maintenance (lawn, handyman, etc.)
- Home improvements (new furniture, upgraded shower, ramp installation, etc.)
- Gas for transportation to and from treatments
- Cash in the pocket of a friend or loved one taking time off work to assist in your care
To activate the rider, an insured person must be certified by a licensed health care practitioner to be considered a “chronically ill person.” One of the following health impairment criteria must be met for a period of at least 90 consecutive days:
- The insured is unable to perform, without substantial assistance from another person, at least two of the Activities of Daily Living (ADLs):
– Bathing – Eating – Continence – Toileting – Dressing – Transferring
- The insured requires substantial supervision from threats to health and safety due to a severe cognitive impairment (similar to Alzheimer’s and other forms of irreversible dementia) that is measured by clinical evidence and standardized tests measuring:
– Short-term or long-term memory – Orientation as to people, places or time, and – Deductive or abstract reasoning once all criteria are met, monthly benefits may begin.
DISABILITY INCOME PROTECTION
Imagine you’re at work, driving or simply working at home what would happen if you became disabled unexpectedly?. It’s bad enough that you became injured but it’s even worse having a major disability and having to think about making how you’re going to make your next mortgage payment.
The solution is simple: get Disability Income Protection.
What is Disability Income Protection (DIP)?
Disability Income Insurance is a form of insurance that insures the beneficiary’s earned income against the risk of an unforeseen disability.
What counts as disability?
A disability is considered to be the insured’s inability to perform in the usual customary way of his or her duties. Anything from a broken bone, paralysis, cancer or and or a terminal illness will result in a loss of income. Disability Income Protection insurance plan is that alternate source of income which will help you stay on your feet even in most terrible circumstances. Unfortunately most of us are underinsured; having Disability income protection will give your family the peace of mind that you are protected 24/7 in case of a disability or an accident.
Mortgage Disability Income Insurance
Mortgage disability insurance can cover your monthly mortgage payment in the event that you become disabled for various lengths of time. Most of these policies can also pay off your entire loan should you pass away if designed properly.
Something to think about..
What would happen if you became disabled and unable to work due to an illness or injury?
According to the U.S. Department of Housing and Urban Development, almost half of all foreclosures are caused by a disability. Furthermore, one in five people suffer a long-term disability before the age of 65, the Social Security Administration revealed.
Today, many households depend on two income earners in order to meet the mortgage payment and monthly expenses. Ensuring that your mortgage payment is met every month on one income or no income at all will become an overwhelming feat for families and individuals who become disabled.
Disability income insurance can step in and take the burden from your shoulders and pay your bills if you are unable to make an income. Instead of focusing on how you’re going to keep a roof over your head, mortgage disability insurance can allow you to concentrate on getting better.
Accident is defined: A sudden, unforeseen and unexpected event that occurs while this rider is in effect, without the insured’s intent, results in an injury and the insured’s total disability.
Please note Disability income protection benefits vary and also depend on existing plans that are in place. To get an accurate Disability income protection analyses please contact us.