Term Life Insurance with Living Benefits
Term Insurance with Living Benefits works just like a regular life insurance (where you pay an x amount of premium for an x amount of coverage), but with one important difference. A Term or Universal Life Insurance policy with Living Benefits allows you to receive up to 90% of the death benefit due to a major accident or illness while you’re living. This earlier payout can assist in paying medical bills, or end of life care. This can make a tremendous difference in your life, and it’s provided for no additional cost
What are Living Benefits?
A policy with living benefits provides additional protection to the insured person and their beneficiaries. These Living Benefits can be included at policy inception or in some cases it can be attached to an existing life insurance policy. Some companies include this rider for little or no additional cost.
Why do I need a term policy with Living Benefits?
The purpose of living benefits included in a policy is to provide comfort and peace of mind should you become critically ill during the policy coverage term. A policy with living benefits allows for early payout of the policy (often referred to as accelerated payment), which can assist with necessary medical bills or end of life care, for example. It is impossible to predict whether or not you’ll ever need this coverage, however if you do there will be funds available (up to 90% of the death benefit) to use as you feel necessary. These funds can eliminate a financial burden that would only add to the stress for yourself and your loved ones during a very difficult time.
How does the Life Insurance with Living Benefits work?
Although many life insurance policies can have funds available to pay for medical costs, they are not always accessible. A policy with living benefits will ensure that in the event of a serious illness, (which can include circumstances such as cancer, heart attack, stroke, an organ transplant or long-term nursing care), you can access a sizable portion of the death benefit while you’re living.
When are the Term Insurance Living Benefits payable?
Each life insurance policy will be subject to different terms. However, in general, if you are diagnosed as having a critical, chronic, or terminal illness (meaning you have been told you have less than twenty four months to live, have a heart attack, stroke or cancer), you will be able to arrange for an early pay-out on your life insurance via the LBR.
Why would you want a Term Life Insurance Policy to include Living Benefits?
These policies will give you money when you need it the most, if you suffer a critical, chronic, or terminal illness, or when you die. These are policies you don’t have to die to use. Traditional term life insurance policies only pay when a loved one dies.
HOW IMPORTANT IS IT TO HAVE A LIVING BENEFITS LIFE INSURANCE POLICY?
LET’S LOOK AT THE STATISTICS
WHAT WILL YOUR CURRENT TERM LIFE INSURANCE DO FOR YOU?
Will your life insurance policy pay anything if you have a heart attack, stroke or cancer and outlive your term insurance policy? Will you receive up to 90% of the death benefit while you’re living with a critical illness, or will your policy only pay out after your death? Every year millions of people survive a heart attack, stroke, or cancer and receive nothing from their life insurance company because their term insurance policies only pay a death benefit. Wouldn’t you rather have a term insurance policy that also pays up to 90% of the death benefit for a major accident or illness?
This is life insurance you don’t have to die to use. If you die prematurely, your family will be paid the full benefit amount that you chose for them. If you survive a critical illness, you can access up to 90% of the death benefit to financially support you and your family while you’re recovering. With the likelihood three times greater that we’ll suffer a critical illness than die prematurely, wouldn’t you prefer to have a policy that will help you either way, when you need it most?
Don’t settle for less than the best for your family, especially when these policies cost less than most policies that only pay a death benefit.
HERE IS A LIFE INSURANCE WITH LIVING BENEFITS SCENARIO:
If you buy a term insurance policy for $250,000 with living benefits and suffer a critical illness, you could receive a check up to $225,000. If you buy a $250,000 policy without living benefits and endure a serious illness, you get nothing. Both policies will pay $250,000 to your beneficiary if you were to pass away, but only a policy with living benefits will pay you in the event of a critical, chronic, or terminal illness. Because people are three times more likely to suffer a critical illness than to die prematurely, wouldn’t it be prudent to buy a term life insurance policy that includes Living Benefits? If a person with a traditional term policy becomes afflicted with a severe illness and doesn’t die before the term insurance period ends, they get nothing, when they could have received up to $225,000. $0.00 versus $225,000, at a time when you may need it the most. What’s best for you.
Term Life Insurance with Living Benefits actual paid claims
| Name | Life Insurance | Illness | Claim Type | Amount Paid |
|---|---|---|---|---|
| Bonnie | $250,000 | Stomach Cancer | Terminal | $234,364.24 |
| Robert | $940,823 | Throat Cancer | Critical | $733,062.00 |
| Isabella | $124,607/td> | Colon Cancer | Terminal | $120,522.74 |
| Rachael | $75,000 | Multiple Myeloma | Critical | $51,860.10 |
MAKING A DECISION ABOUT TERM LIFE INSURANCE WITH LIVING BENEFITS
Ultimately the decision about your life insurance is up to you. We have gone over the facts, a scenario, and the differences between the traditional term life insurance and life insurance with Living Benefits. I want clients to know about this new Term Life insurance policy. It could really be a financial lifesaver!
To get a quote, please contact us today!
Life Insurance policies with Living Benefits
Does your life insurance policy include living benefits? Benefits you don’t have to die to use. The best policies do. Call 1-800-657-7178 to find out why.
