Please Help.
I have 2 LT Disability policies. Both are Met Life.
First one I got in 2004 at my work, with some discount, no COLA, Monthly Premium $61.43 never changes.
Another one, with larger monthly benefit, I got in 2008, and this one has one pre-existing condition, hypothyroid, and a rider about occupation. Monthly Premium $232.81 auto increase.
More details on my policies below...
I have been unemployed for 2.5 months at this point, so I am looking at my policies from the cutting my expences point of view... I need to decide whether it makes sense to keep
both policies, or maybe cancel one of them.
Your opinion is very helpful and very appreciated.
I am 47 yo, female, and I am a Database Administrator.
The folowing definitions are the same for BOTH my policies:
Noncancelable and guaranteed renewable to age 65. No change in Premium Rates.
Renewable privilege after 65 with limited benefit period. Premium rates are subject to change.
Regular Occupation Period: to age 65
Max benefit To age 65
Regular Occupation Definition:
Regular Occupation means your usual occupation in which you are gainfully employed at the time you become disabled.
If you are not gainfully employed at the time your total disability begins, regular occupation shall then mean any occupation for which you are reasonaly fitted by your education, trainig or experience.
Total Disability:
1. Before the end of the regular occupation period:
a. Prevented from performing the material and substantial duties of your regular ocupation;
b. not gainfully employed; and
c. receiving approp care.
2. After the regular occupation period:
a. prevented from performing any occupation for which you are or become reasonably fitted by your education, training or experience
b. not gainfully employed; and
c. receiving approp care.
Residual disability:
1 your earnings are reduced by at least 20% of your prior earnings; and
2 you are reciving care;and
3 you are not totally disabled, and are gainfully employed, but you are:
-prevented from performing one or more of the material and substantial duties of your regular oocupation; or
-performing the material and substantial duties of your reg occupation, but are not able to perform them for more than 80% of the time normally required; or
-engaged in another occupation.
Prior earnings means the greater of your average monthly earnings for the 3 calendar years immediately prior to the start of your disability , or for the 24 months immediately
prior to the start of your disability.
Here are the differences....
1
MetLife 2004
-Montly benefit for total dis: 1,700
Base Policy Features/ annual premium
Total disability 606.56
Residual Disability 151.64
Presumptive disability 0
rider modification of mental disorder 0
LT Care guaranteed PO $200/daily 95.80
Catastrophic Disability $2150/monthly 43.22
Multi-Life Discount 25% ($205.34) (I signed when I was employed, and I got group discount)
Policy fee $60
Adjustment ($40)
Total Annual Premium $711.81
Total Monthly Premium $61.43
-Elimination period: 90 days
-Accumulation period: 180 days
Occupational class 6A (347)
Potential Annual Base Benefit ($1700.00 x 12 months) = $20,400
Potential Cumulative Base Benefit ($1700.00 x 12 months x 18 years) = $367,000
2
MetLife 2008
-Montly benefit for total dis: 3,000
Base Policy Features/ annual premium
Total disability 1,632.30
Auto increase in monthly benefit for total disability
date/increase to/ANNUAL premium INCREASES BY
2009/3,150/123.59
2010/3,300/127.54
2011/3,450/131.10 <<<<< This is the rate I pay now, it comes to $232.81 monthly now
2012/3,600/133.96
2013/3,750/136.23
Residual Disability 408.00
COLA 3% 244.50 (simple COLA)
Presumptive disability 0
Your occupation benefit 227.40
Policy fee $60
Adjustment ($125.61)
Total Annual Premium $2,446.59
Total Monthly Premium $211.14
-Elimination period: 180 days
-Accumulation period: 360 days
Rider: Monthly benefit for total disability in Your Occupation
The following is substituted for the definition of total Disability in your policy:
"Total Disability means that due solely to impairment caused by injury or sickness, you are:
a. Prevented from performing the material and substantial duties of your regular occupation; and
b. Receiving approp care
There is a pre-existing condition exclusion (hypothyroid).
Potential Annual Base Benefit ($3,000.00 x 12 months) = $36,000
Potential Cumulative Base Benefit ($3,000.00 x 12 months x 18 years) = $648,000
THANK YOU!
Anna
I have 2 LT Disability policies. Both are Met Life.
First one I got in 2004 at my work, with some discount, no COLA, Monthly Premium $61.43 never changes.
Another one, with larger monthly benefit, I got in 2008, and this one has one pre-existing condition, hypothyroid, and a rider about occupation. Monthly Premium $232.81 auto increase.
More details on my policies below...
I have been unemployed for 2.5 months at this point, so I am looking at my policies from the cutting my expences point of view... I need to decide whether it makes sense to keep
both policies, or maybe cancel one of them.
Your opinion is very helpful and very appreciated.
I am 47 yo, female, and I am a Database Administrator.
The folowing definitions are the same for BOTH my policies:
Noncancelable and guaranteed renewable to age 65. No change in Premium Rates.
Renewable privilege after 65 with limited benefit period. Premium rates are subject to change.
Regular Occupation Period: to age 65
Max benefit To age 65
Regular Occupation Definition:
Regular Occupation means your usual occupation in which you are gainfully employed at the time you become disabled.
If you are not gainfully employed at the time your total disability begins, regular occupation shall then mean any occupation for which you are reasonaly fitted by your education, trainig or experience.
Total Disability:
1. Before the end of the regular occupation period:
a. Prevented from performing the material and substantial duties of your regular ocupation;
b. not gainfully employed; and
c. receiving approp care.
2. After the regular occupation period:
a. prevented from performing any occupation for which you are or become reasonably fitted by your education, training or experience
b. not gainfully employed; and
c. receiving approp care.
Residual disability:
1 your earnings are reduced by at least 20% of your prior earnings; and
2 you are reciving care;and
3 you are not totally disabled, and are gainfully employed, but you are:
-prevented from performing one or more of the material and substantial duties of your regular oocupation; or
-performing the material and substantial duties of your reg occupation, but are not able to perform them for more than 80% of the time normally required; or
-engaged in another occupation.
Prior earnings means the greater of your average monthly earnings for the 3 calendar years immediately prior to the start of your disability , or for the 24 months immediately
prior to the start of your disability.
Here are the differences....
1
MetLife 2004
-Montly benefit for total dis: 1,700
Base Policy Features/ annual premium
Total disability 606.56
Residual Disability 151.64
Presumptive disability 0
rider modification of mental disorder 0
LT Care guaranteed PO $200/daily 95.80
Catastrophic Disability $2150/monthly 43.22
Multi-Life Discount 25% ($205.34) (I signed when I was employed, and I got group discount)
Policy fee $60
Adjustment ($40)
Total Annual Premium $711.81
Total Monthly Premium $61.43
-Elimination period: 90 days
-Accumulation period: 180 days
Occupational class 6A (347)
Potential Annual Base Benefit ($1700.00 x 12 months) = $20,400
Potential Cumulative Base Benefit ($1700.00 x 12 months x 18 years) = $367,000
2
MetLife 2008
-Montly benefit for total dis: 3,000
Base Policy Features/ annual premium
Total disability 1,632.30
Auto increase in monthly benefit for total disability
date/increase to/ANNUAL premium INCREASES BY
2009/3,150/123.59
2010/3,300/127.54
2011/3,450/131.10 <<<<< This is the rate I pay now, it comes to $232.81 monthly now
2012/3,600/133.96
2013/3,750/136.23
Residual Disability 408.00
COLA 3% 244.50 (simple COLA)
Presumptive disability 0
Your occupation benefit 227.40
Policy fee $60
Adjustment ($125.61)
Total Annual Premium $2,446.59
Total Monthly Premium $211.14
-Elimination period: 180 days
-Accumulation period: 360 days
Rider: Monthly benefit for total disability in Your Occupation
The following is substituted for the definition of total Disability in your policy:
"Total Disability means that due solely to impairment caused by injury or sickness, you are:
a. Prevented from performing the material and substantial duties of your regular occupation; and
b. Receiving approp care
There is a pre-existing condition exclusion (hypothyroid).
Potential Annual Base Benefit ($3,000.00 x 12 months) = $36,000
Potential Cumulative Base Benefit ($3,000.00 x 12 months x 18 years) = $648,000
THANK YOU!
Anna
