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Own Occ rider is good for 5 years for policies issued outside of California.
Who is Best for White Collar Disability Coverage?
- Thread starter Meghan28
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- disability
What I find fascinating is some companies offer dividends on their DI policies, is it well priced with anyone who has experience? Maybe something that would entice White Collar professionals...
- 11,272
Dividends on DI policies... aren't that great to me. I think at most, it might be 10% of the annual premium?
I personally prefer ROP riders.
- If you use the policy, it pays you the stated benefit.
- If you don't, you get your premiums back.
I don't recall all the specifics right now, but Mutual of Omaha has a DI product that has either a 50% or 80% ROP rider... every 10 years. So, every 10 years, you can get 50% or 80% of your total premiums back.
Long-Term Disability Insurance from Mutual of Omaha
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Assurity also has a ROP benefit rider: "Refunds a percentage of all premiums paid or waived for the policy and optional riders, less any benefits paid under the policy or riders and all policy or rider premiums waived upon policy cancellation, policy lapse, the insured's death or expiry of an in-force policy's normal renewal period."
Per the illustration report:
I personally prefer ROP riders.
- If you use the policy, it pays you the stated benefit.
- If you don't, you get your premiums back.
I don't recall all the specifics right now, but Mutual of Omaha has a DI product that has either a 50% or 80% ROP rider... every 10 years. So, every 10 years, you can get 50% or 80% of your total premiums back.
Long-Term Disability Insurance from Mutual of Omaha
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Assurity also has a ROP benefit rider: "Refunds a percentage of all premiums paid or waived for the policy and optional riders, less any benefits paid under the policy or riders and all policy or rider premiums waived upon policy cancellation, policy lapse, the insured's death or expiry of an in-force policy's normal renewal period."
Per the illustration report:
I'm not sure what state the question was for, however, Assurity has plans with benefits up to 10 yrs.
It's the Simplified DI that only goes to 2 yrs.
Benefit Periods:
1-, 2- and 5-year available for all classes;
10-year available for classes 4A, 3A, and 2A;
to-age-65 and to-age-67 available for classes 4A and 3A, and 2A if qualifying self-employed or W-2 employee
Based on rather minimal criteria, clients can upgrade a class as well.
I am only familiar with MoO and Assurity. I only bring this up because Assurity is fast changing and growing to meet more and more clients specific needs. Both companies have very comparable rates when placed side by side. There are variations and a lot of fine print but this is the gist. There's also variations between states. I don't look at the California specifics. And, as mentioned above there are own-occupation options.
One question I have for my own knowledge is between MoO, who I've just contracted again with, and Assurity, what are other's thoughts on which one of these companies is less hassle in underwriting...so far, I've always written Assurity...simply because that's where my contract has been the longest, therefore I've seen claims paid with everything else I've sold through them, so I stick with them. But, I am putting my feelers out there to learn more about other companies, as well.
ROPs are definitely a bonus...never heard of dividend policies though. Interesting.
Also, Assurity refunds up to 100%. Generally after about 20 years and a percentage prior, depending on sign up age.
It's the Simplified DI that only goes to 2 yrs.
Benefit Periods:
1-, 2- and 5-year available for all classes;
10-year available for classes 4A, 3A, and 2A;
to-age-65 and to-age-67 available for classes 4A and 3A, and 2A if qualifying self-employed or W-2 employee
Based on rather minimal criteria, clients can upgrade a class as well.
I am only familiar with MoO and Assurity. I only bring this up because Assurity is fast changing and growing to meet more and more clients specific needs. Both companies have very comparable rates when placed side by side. There are variations and a lot of fine print but this is the gist. There's also variations between states. I don't look at the California specifics. And, as mentioned above there are own-occupation options.
One question I have for my own knowledge is between MoO, who I've just contracted again with, and Assurity, what are other's thoughts on which one of these companies is less hassle in underwriting...so far, I've always written Assurity...simply because that's where my contract has been the longest, therefore I've seen claims paid with everything else I've sold through them, so I stick with them. But, I am putting my feelers out there to learn more about other companies, as well.
ROPs are definitely a bonus...never heard of dividend policies though. Interesting.
Also, Assurity refunds up to 100%. Generally after about 20 years and a percentage prior, depending on sign up age.
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- 11,272
Agreed that Assurity is trying to do more to be more appealing to higher-end professionals. But until they have an own-occ definition of disability for the entire term of the policy... they'll always be behind MassMutual, Guardian, and probably Northwestern Mutual.
Remember that if someone is on the own-occ claim for as long as the rider allows (2 to 5 years)... then after that, the policy is done paying benefits. However, if they qualified and had a true own-occ definition, they would still receive benefits. Obviously that definition of own-occ will cost more, but you get what you pay for.
Basically, Assurity is still great for blue collar and even 'grey-collar' workers. But for doctors or surgeons... I'd only recommend Guardian Life.
Every state is different. I've heard good things about Illinois Mutual, but they aren't available in California, so I can't tell you anything from first hand experience, nor would my experiences with other carriers necessarily reflect what you might experience.
California is a screwed up market when it comes to disability or any other living benefits or surrender charge waivers.
Dividend policies are generally available through 'mutual' companies, such as Mass, Guardian, and probably Penn. I would guess that Ohio National does too, but it isn't available in California either.
Oh ok, I take it you might be in Cali, DHK.
Assurity does have an own occupation def for certain plans.
I am going to look at Guardian and Northwestern here. I have some docs and nurses on Assurity. Might should seek out if there's better plans for them. It's all about retention in the end.
Assurity does have an own occupation def for certain plans.
I am going to look at Guardian and Northwestern here. I have some docs and nurses on Assurity. Might should seek out if there's better plans for them. It's all about retention in the end.
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Looks to me like the Mutual of Omaha is Guaranteed Renewable only. Didn't see a non-can feature there. That can be a big deal.
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Need more coffee....
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Gee I'll take your word for it then! sign me up!
