1. How does the policy work?
Answer: One policy with two benefits – life insurance coverage for your family and long-term care benefits if you need them. Building a plan is simple:
i. Choose a life insurance benefit $25,000 - $200,000
ii. You can access 4% of the life benefit per month if you need LTC (i.e. $100,000 of life = $4,000 per month for LTC)
iii. The LTC benefit will keep paying up to 2x the life benefit ($100,000 life benefit = $200,000 total for LTC)
2. How do I use the benefits for long-term care?
Answer: If you are diagnosed with a cognitive impairment, or cannot perform two of six activities of daily living and that condition is expected to last 90 days, you can withdraw from your death benefit. The six activities of daily living are bathing, eating, transferring, toileting, continence, and dressing.
3. If I use my Death Benefit for long-term care, but don’t completely exhaust it – what happens?
Answer: If you use some, but not all of the benefits for LTC you would receive the remainder of the initial death benefit.
4. What happens if I stop paying my premium?
Answer: Coverage will remain in force as long as there is sufficient net surrender value to cover the monthly expense, rider and cost of insurance charges. If insufficient, the coverage will lapse.
5. How much does it cost?
Answer: The premium is based on how much death benefit you select and your age as of policy effective date.
6. Is there a medical screen or underwriting involved in obtaining coverage?
Answer: During an approved enrollment period, employees and their spouse/partner age 18-70 have access to guaranteed acceptance (no health questions).
7. How long does this policy last?
Answer: Premiums are payable to age 95, or if you live to age 121, a lump-sum maturity benefit is paid.
8. What happens if I never use the policy for long-term care?
Answer: Upon death your beneficiary would receive the full amount of death benefit that you applied for.
9. How long do my Long-Term Care benefits last?
Answer: Long-term care benefits can last for up to a total of 50 months at a 4% withdrawal rate from your death benefit.
10. What happens if I use all my whole life insurance benefit for long-term care?
Answer: There is no additional death benefit. Your long-term care benefit would pay out a total of 2x your whole life insurance benefit. For example: $100,000 of whole life insurance would give you $200,000 long-term care benefit.
11. Can I get coverage for my family?
Answer: Coverage is available for your spouse/partner however; coverage amounts and underwriting may vary.
12. Are my premiums guaranteed?
Answer: Yes, you get guaranteed rates for the life of the policy.
13. How do I pay my premium?
Answer: The premium will be deducted from your pay-check based on your pay schedule (monthly, bi-weekly…etc.).
14. How do I enroll?
Answer: You can enroll online or contact your LTC enrollment team for assistance.
15. What if I leave my employer or retire?
Answer: This policy is completely portable – meaning you take the coverage with you with if you were to change jobs or retire from your current employer. The bill will be transferred to come directly to you and you can continue coverage without any change in premium or benefit amounts.
16. Can my benefits ever decrease?
Answer: Benefits cannot be decreased. However, during an approved enrollment period you may increase your coverage up to the plan maximum limit.