Critical Illness Insurance Coverage

[Guest]

Re: Critical Illness

The Assurity policy is level to age 75...is it different in CA? I just did a quote yesterday.

According to the Assurity agent website, CI is not approved in Virginia. Maybe your quote was in a different state?

Anyway, on the web page that comes up for my log-in (they know what state I'm in) and in the Product guide:

Our fully underwritten Critical Illness Insurance pays the insured at the first-ever diagnosis of 21 covered illnesses or procedures. Guaranteed renewable for life, this protection is available for individuals 18 through 64 years of age. An outstanding feature, the Return of Premium Death Benefit returns 100 percent of paid premiums (less any benefits received) to the beneficiary if the insured dies of any cause other than a covered illness.

(from product guide)

RENEWABILITY
Guaranteed for life – 50 percent reduction in benefits on the policy anniversary date in the year the insured turns 65 or five years from the policy issue date, whichever is later

I'm not pleased with the benefit reduction without a corresponding premium reduction, but it does give the client a choice. With the AIG policy, it is good until age 70 and after that benefit is paid ONLY for loss of 2 ADLs... nothing else.

The Assurity premiums are reasonable and their UW is rather liberal. My wife is on SSI disability and Medicare from severe osteo-arthritis but they wrote her without a rate-up. We both had to take a full para-med... blood, HOA, and EKG. They did not do an APS on either of us.

This plan will cover us until I'm 68 and she is 69. It's added peace of mind that should one of 21 crap-outs happen to one of us, they will write us a check for $100K (which my very expensive wife will spend in a New York minute... probably in NY while I'm in a convalescent home!!! )

I've learned that this coverage is very popular in Canada and Europe, but is hardly known in the US. The aging boomers I've spoken to about it are very interested. Self-employed people who can't easily get DI are also interested. It's an easy sale... but not one you will get rich from. It's a nice easy-to-explain/understand product that makes a nice add-on sale to life, or health or LTC.

YMMV

Al

 

[dgoldenz]

The one I was looking at was the simplified issue CI, so maybe that's the difference. Client is in Texas and didn't want to take an exam.

 

[Guest]

The one I was looking at was the simplified issue CI, so maybe that's the difference. Client is in Texas and didn't want to take an exam.

According to the simplified issue product guide (for CA):

ISSUE AGE
18 through 59 (age last birthday)

SIMPLIFIED ISSUE
Short application, accept/reject, clear cut simple and straight forward. Generally, you will know when you take the application if an applicant will qualify.

RATES
Male/Female, Tobacco/Non-tobacco

MINIMUM/MAXIMUM ISSUE
$5,000 – $50,000

RENEWABILITY
Guaranteed to age 75

I would have considered this if I were much, much younger... but the face was too low for our needs, we were over-age and they will not issue to anyone on Medicare.

I spent a fair amount of time deciding between the AIG product and the Assurity and chose Assurity because at end of issue limit I have the choice to at least get half the benefit if I want to keep it in force. AIG ends with a benefit ONLY for loss of ADLs.

 

[AllenChicago]

THREAD RESURRECTED FOR A QUESTION...

Why such a huge difference in commissions between carriers?

Dearborn National pays 100% with 9 month advance and commissionable policy fee.. 4% renewals.

Assurity on the other hand pays 70% with 6 month advance and non-commissionable policy fee.. 9% renewals.

The Dearborn National policy only lasts 10 years, but it is also a life insurance plan. Pays out if a person is deemed by the SSA to be disabled too.

I really like the Dearborn National policy and have over 100 people nearing the 10 year end-of-term in the next two years. Started converting some to Assurity, but Assurity pays less. Plus, they lied about their Summer "e-app" promotion bonus and reneged on a promise to our MGA. I want another good alternative. Anything new besides the companies that were previously discussed in this thread? (MOO, AIG, etc.) Thank-you.

BTW... I will check out MOO's Critical Illness. Used to write them in 2000-2002 but had to use a mouth-swab and a 8 page application. Maybe they've improved.

-Allen

 

[jodieB]

If you work for a large organisation they sometimes offer different packages for employees in terms on insurance so definately have an ask around before you go to an external company.

 

[arnguy]

If you work for a large organisation they sometimes offer different packages for employees in terms on insurance so definately have an ask around before you go to an external company.

No kidding?

 

[InsureGuy5]

United Healthcare has rolled out some policies in individual states. No health insurance purchase required.

 

[AllenChicago]

United Healthcare has rolled out some policies in individual states. No health insurance purchase required.

Thank-you InsureGuy5. I'll locate my UHC login info and see what they may have available in Illinois.
-Allen

 

[Benefits For America]

Can anyone out there provide me with a list of the companies selling Critical Illness Insurance.

I am looking for companies that just sell Critical Illness Coverage ALONE -- not tied into another policy as a rider or supplement.

Thank you,
Paul

I've looked at many over the past 12 years that I've been selling Ci and the best one that I've seen is Colorado Bankers Life. One page Application, can be sold on a direct basis. Jet issued within 24 -48 hours unless there is a MIB hit.

We've issued over $6 Million in Annualized Premium with them and the best part is that they pay the claims really fast. Good company.

 

[somarco]

Is the CBL policy the one that is sold as a rider on a 10 yr term insurance policy?