Why You Need a Living Benefits Policy
Ever wonder what it would feel like to survive a serious illness physically but end up financially devastated? How can you protect yourself, your family, your assets, and the quality of life that you have built for them if faced with a life threatening illness? What if your doctors recommend a treatment that is not covered by insurance (a REAL possibility in today’s insurance environment)? If you have to go into a nursing home facility because of illness, who will pay for the cost? Since the terminal illness will impact your ability to work, where will you get the money to pay for your household expenses and other financial responsibilities?
One in five American adults will struggle to pay medical bills this year. A sudden accident or terrifying diagnosis can touch virtually anyone, unleashing an avalanche of bills – even on the insured. In fact, bankruptcies resulting from unpaid medical bills will affect nearly 2 million people this year—making health care the No. 1 cause of such filings, and outpacing bankruptcies due to credit-card bills or unpaid mortgages.
The answer is to have a life insurance policy with a living benefits rider (also known as an accelerated benefits rider). This benefit provides that all, or a portion of, the policy’s proceeds will be paid to the policy owner when certain events occur, including:
- Terminal illness, with death expected within a specified period;
- The occurrence of a specified catastrophic illness or the need for extraordinary medical intervention, such as an organ transplant or continued life support;
- The need for long-term care due to an inability to perform a number of “activities of daily living,” such as bathing, dressing, eating etc.; and
- Permanent nursing home confinement.
In today’s high deductible, restrictive insurance benefits environment a living benefits policy is a must-have component of your financial planning. Click here to get a quote.