now is the time for critical illness insurance sm

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Now is the Time For Critical Illness Insurance sm. Presented by Dana Davis and Mary Grahovac June 29, 2006. PLAG.2789.02.06. “Not because you are going to die, but because you are going to survive!” Dr. Marius Barnard. Protective CRITICAL answer sm. Health chassis product - PowerPoint PPT Presentation


  • Now is the TimeFor CriticalIllness Insurancesm

    Presented byDana Davis and Mary GrahovacJune 29, 2006PLAG.2789.02.06

  • Not because you are going to die, but because you are going to survive!Dr. Marius Barnard

  • Protective CRITICALanswersmHealth chassis productIssue amounts of 25,000 500,000Issue ages 18-6514 covered illnesses

    Policy Form CI-03Policy form CI-03 is a limited benefit health coverage policy providing limited or supplemental coverage, paying benefits ONLY upon first occurrence and diagnosis of a covered condition. Advanced payments reduce base policy's benefit; any lump sum payments may be taxable. Consult your tax advisor for tax details. If 100% of maximum allowable benefit is advanced, policy will terminate. Consult policy for benefits, riders, limitations, exclusions, reductions, and terms under which policy may be continued in force or discontinued. Policy form and definitions may vary by state. Subject to underwriting. Not available in all states.

  • CRITICALanswerSM Covered Critical Illnesses * May vary by state** See No Waiting Period on Most Covered Conditions for further information

    Policy Form CI-03

  • Protective CRITICALanswersmMultiple Payment Benefit allows payment from three categories, not to exceed three times initial face amount, based on policy specification

    Policy Form CI-03

  • CRITICALanswerSM Multiple Payment Benefit FeatureExceptions and Limitations: 1. The Payment of all benefits under the policy shall not exceed three times the initial benefit amount stated in the policy; 2. The payment of benefits ender each category shall not exceed 100% of the initial benefit amount for each category; 3. There shall be only benefit payment for each covered condition; 4. There shall be only one benefit payment per 180-day period across the three categories. However, the 180-day period does not apply to benefit payments within the same category; 5. If a first-ever diagnosis occurs within the 180-day period after a benefit payment, it is not effectively considered a first-ever diagnosis under the policy. Therefore, a benefit payment may be paid for a subsequent occurrence and diagnosis of that covered condition; and 6. If more than one covered condition is diagnosed at the same time, the benefit payment shall be based on the larger benefit amount of those diagnosed. If there benefits amounts are the same, there shall be only one benefit payment per 180-day period. See Outline of Coverage for How this Benefit is Calculated. Policy Form CI-03

  • Protective CRITICALanswersmReturn of Premium upon death, less any benefits paid, as long as policy remains in forceNo waiting period on most covered conditionsReduced Benefit Period If the insured is diagnosed with a covered condition of Invasive or In Situ Cancer, the reduced benefit period shall be 90 days, beginning on the policy effective dateRenewable for life - benefit reduced 50% in each category at age 65 or five years, whichever is greater. Policy Form CI-03

  • Protective CRITICALanswerSM

  • Underwriting Critical Illness InsuranceRemember incidence occurs before mortalityIf the applicant has a history of any of the covered conditions they will not qualify for the insuranceMorbidity based underwriting versus mortality based underwritingFor example, in assessing coronary risk, there is a higher occurrence for the event of either a heart attack or coronary bypass surgery than the probability of dying from either one of these.

    Source: OptimumRe

  • Underwriting Critical Illness InsuranceFamily history typically has a greater impact on CI underwriting than life underwriting. Variables associated with family (natural parents and siblings) history include:The number of affected first degree relatives (FDR) The FDRs age at diagnosis not deathThe current age of the applicantThe sex of the applicant (in some cases)Source: OptimumRe

  • Potential Impact of Family History on CIILess ImpactGreater Impact

  • Underwriting Critical Illness InsuranceBuild is an important factor in critical illness underwritingGenerally, an APS will be ordered more frequently on CI applicationsTypically the best candidates for standard CI underwriting would be the those individuals eligible to qualify for Select Preferred or Preferred life underwritingSource: OptimumRe

  • Protective LifeInsurance Company


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