Disability Insurance Problem with Allstate

[Naples Insured]

Greetings All, I have a serious problem with Allstate Insurance. I am a divorced male and part of my divorce agreement states that I have to have a disability policy in case I get hurt so as to be able to continue to pay for my kids needs. My x-wife is also required to have a similar policy. First, I got a policy with State Farm, after a couple of years, I got married for a second time, and my new wife had Allstate for all of her insurance needs. She talked me into changing all of my insurance from State Farm, to Allstate, which I did. She said that her friend was the owner of one of the local Allstate offices. Sometime after that, about a year or so, I was at work as General Manager for a beach front resort. I got on the elevator and pushed the button to go down, and the elevator fell what appeared to be about 3-4 stories to the bottom. I was totally paralyzed, and one of the residents found me on the floor of the elevator, unable to move. I was flown to the hospital via helicopter and treated for a torn spinal cord. I was told that I would not walk again, nor use my arms. Plus, as a bonus, the fall tore my intestines and I was cut open from my sternum to my pubic hair line to reattach my innards. Ok, I regain some use of my legs and can walk some with my cane, my arms and hands work some, this after 3 years of physical therapy. Here is where it gets sad. Allstate refused to pay on my disability policy, saying that I "I can do something". My policy clearly states that if I am not able to perform the substantial duties of my job, that I will be able to collect on my claim. I have had to hire an attorney to fight my case, and am struggling since my accident. I would just like to warn those out there that are using ALLSTATE, please consider my problems before acquiring a disability policy. I am not sure if other people have had problems with claims, but I do know that when I needed money, and counted on my disability policy, Allstate was not there for me, and I have had nothing but problems and trouble in dealing with them. I have enough problems and stress from the accident, and to have Allstate Insurance Company cause more problems and trouble for me, is disappointing and I am so upset and frustrated that Allstate is such a poor company in their dealing with me and my case. I thought that Allstate was decent, but have found that they are more than happy to collect my premiums, but when you need them, they are not there for you, and may not meet your needs when you need them the most! I am planning on posting this everywhere I can so as to prevent others from having the same problem that I have had with Allstate. I am basing this information on this post from my direct dealing with Allstate relating to my disability policy. I do not know how they are on the other things they insure, but I do know, that I am the most disappointed customer that they could ever have! Please consider this information when insuring with Allstate or changing companies for what ever reasons. Your insurance should be something that you can count on when you need it, not something that you have to fight for or get an attorney and wait for years to collect upon! Good luck, and if anyone wants to email me direct, please do so at sungraphics at aol dot com if anyone would like to copy and paste this post and put it elsewhere for others to see, please feel free to do so, as I want as many people to see this, so as to prevent other fellow humans from going thru the anguish that I am experiencing. Thank you and God bless..... Chris

 

[HealthGuy]

In the words of Mr. Petrowski: "Another disability jerkoff" story. Is there really one company out there that offers disability that is worth selling, or with all of them to you have to be 100% bedridden and tube fed to collect? I am so fearful to sell disability.

 

[arnguy]

Naples Insured, you should post the information on a website at www.disabilityagentsforum.com. The agents on that forum are guys/gals who specialize in Disability Insurance.

 

[LGilmore]

I am sorry for your situation. Allstate is not know for DI. Never was... like so many people you've spent money on a narrowly defined disability policy at a low price.

Cheap DI is like playing the lottery. If you get hurt or sick, you hope it fits the parameters of the policy. If it doesn't you are out of luck.

I try to tell clients that the only sentence that matters on a DI policy is the first one in how they define "disability". EVERYTHING after that, is how they will reduce their obligation to pay from that first sentence.

A short sentence usuallly provides the broadest range of coverage. A lot of sentences usually narrow it down to an eye of a needle.

It also sounds as if you didn't have a residual rider to cover a partial income loss. I am sorry.

If you are posting everywhere you can... please add this to your message.... if the premium's cheap, so is the benefit.

Read your policy definitions. They make all the difference in the world.

 

[SportsNut]

Naples Ins'd:

That is a SAD tale of whoa... and I am very sorry to hear of your misery, both with the accident and from the ins co... Many DI companies it seems, attempt to drap their feet and only pay when legal kicking and screaming are done... such a shame.

Glad you are regaining some use of your faculties... You must have mounted a lawsuit against the building owner and elevator manufacturer as well as the company maintaining the equipment...? Just curious if anything has come from that...?

Here is hoping that you are able to resolve your DI claim, as well as resurrect the balance of your life... God speed to you.

 

[HealthGuy]

LGilmore: In your estimation, what is a 'good' definition of disability?

 

[LGilmore]

From my OH policy:

Total Disability means the insured can not do the substantial and material duties of his or her regular job. The cause must be an injury or a sickness.

Ok. Two sentences... but ya gotta admit the first sentence of the definition is really good. And the second sentence does take away from the first....

I don't think you'll find this definition anymore. Most have added " not working elsewhere" or something along those lines.

Partial Disability means the insured is working at his or her regular job and:
can do some, but not all of the substantial and material duties of that job; or can do all those duties but for not more than 1/2 of the daily time usually required to do them.

I couldn't find my di policy (different desk) but the definitions are the same. As you can see no hospital requirement, no phsyican's care requirement, no A before B has to occur.

I don't think these definitions are sold anymore. They are also noncan. I've used mine in the past without problems.

With some occupations the best you can do is the best you can do... Good DI is a hard sell. Alot of education of the client is involved and then crossing your fingers and hoping underwriting doesn't f it up.

It's not cheap either, but it pays. It's not the cash benefit your buying as much as your buying the definition. When you start comparing DI policies side my side for definitions you start to figure out why the costs are different.

 

[HealthGuy]

LGilmore: Great post, thanks. But what is your "OH" policy, is that a company? What do you mean by 'noncan'?

 

[LGilmore]

But what is your "OH" policy

Overhead Expense. These are short term, usually 12 to 24 months with a very short elimination period (30 days) that pay you for your business expenses incurred while on disability. Things like rent, phones, utilities. Things involved in running a business.

is that a company?

This particular policy was purchased through NYL. I have used it in the past when I had a severe back problem. I would send them copies of my bills and they would cut a check. The checks came within 5 business days.

What do you mean by 'noncan'?

Non can. means noncancelable. That binds the insurance company to the contract. The premium is locked in and the client controls the policy by paying the premium. The carrier can't come back and ask for more premium or not renew the policy. Noncan is a very important feature to consider when buying disability. It committs the carrier to the price the day the policy was issued.