Minnesota Life's Care Shield Product

[AOKING]

What is everybody's thoughts on this product?

 

[kpbdy99]

Looks like a pretty good universal life policy with a chronic illness benefit - as these things go. Its' a 4% of the DB maximum benefit - good, some are 2%. Looks like you don't have to be PERMANENTLY chronically ill, as some of these UL riders require, so that's a big plus. Waives your premium if your collecting the accelerated benefit. I THINK it pays on a cash basis, not reimbursement.

Downside... no inflation protection, no Partnership protection, etc.

 

[Mr_Ed]

Looks like a pretty good universal life policy with a chronic illness benefit - as these things go. Its' a 4% of the DB maximum benefit - good, some are 2%. Looks like you don't have to be PERMANENTLY chronically ill, as some of these UL riders require, so that's a big plus. Waives your premium if your collecting the accelerated benefit. I THINK it pays on a cash basis, not reimbursement.

Downside... no inflation protection, no Partnership protection, etc.

i thought this policy used a LTC rider, not a chronic illness rider.

 

[kpbdy99]

I don't see anything that says its filed as a 7702b rider. The data sheet I found on line says it's not long term care insurance, says "universal life policy with accelerated benefits for chronic and terminal illness." Says its paid as an acceleration of the death benefit. So, I'd say it's chronic illness.

Must be a Minnesota Life agent out there somewhere who can clarify?

 

[Mr_Ed]

I don't see anything that says its filed as a 7702b rider. The data sheet I found on line says it's not long term care insurance, says "universal life policy with accelerated benefits for chronic and terminal illness." Says its paid as an acceleration of the death benefit. So, I'd say it's chronic illness.

Must be a Minnesota Life agent out there somewhere who can clarify?

OMG.
run away
run away
run away

 

[AOKING]

It is a UL specifically designed to include include chronic illness rider along with a 20 year ROP if the client wants to use it. Can accelerate up to 4% of DB per month and does not require chronic illness to be permanent.

 

[Mr_Ed]

It is a UL specifically designed to include include chronic illness rider along with a 20 year ROP if the client wants to use it. Can accelerate up to 4% of DB per month and does not require chronic illness to be permanent.

the problem with CI riders is not whether it's permanent or not.
the problem with a CI rider is that the death benefit is reduced when you submit a claim for chronic illness.

bad bad bad.

 

[CALTCAgent]

What is everybody's thoughts on this product?

Is there something specific you wanted an opinion on this product or just in general ?

 

[ltcadviser]

the problem with CI riders is not whether it's permanent or not.
the problem with a CI rider is that the death benefit is reduced when you submit a claim for chronic illness.

bad bad bad.

Well, uhhh, it's a life insurance policy not a long term care insurance policy. So, of course your benefit will be reduced.

 

[AOKING]

Is there something specific you wanted an opinion on this product or just in general ?

I just wanted to get Mr. ED'S and LTC Advisors opinion about utilizing this product for potential extended care funding