September 2012 Living Edge
LOOKING BACK
: Revisiting the first Living Edge article appearing in May 2010 it is as relevant today as it was nearly 2 ½ years ago.
Most people purchase life insurance to provide a legacy of financial security at the time of their death. But
doesn’t it make sense for the benefits to extend and be available for the difficult times many have to face
while living, but dealing with a chronic, critical or terminal illness? In actuarial jargon the industry calls the
benefit an “Accelerated Death Benefit Rider.” Your client will more likely refer to it as a real world Living
Benefit.
Most of us are in this profession because of a sincere desire to help others in a manner that is both unique
and timely. Living Benefits is one of the reasons why our family of agents is so passionate about what we
do each and every day.
Allow me to explain with an all too common scenario. The insured has purchased a universal life or term
insurance policy from an Alliance representative. Months or years later, a chronic, critical or terminal illness
occurs, and money is needed for any number of reasons such as the necessity for special care or
expensive alternative treatment not covered by their health insurance; or to replace the income of the
insured or the family member who volunteers to stay home as caregiver; or perhaps to just fulfill the
insured’s living wish before the end of life.
In real life, families want to be able to provide for the needs of their grandparents, parents, or children who
became ill while they are living, and not stand by just waiting for the legacy of an insurance death benefit to
be paid. If along with the ageless tax advantages inherent in a life insurance contract, this
living feature wasbetter known or better explained, more people would buy life insurance for the “living benefits” than just the
death benefit. That is our mission!
The coverage’s proposed by the Alliance Group and the insurance company’s they represent offer living
benefits on virtually all the life products we represent, including most term contracts. Other insurance
carriers may offer it at a charge, often as much as double the premium of the basic policy.
The companies selected by The Alliance Group include the living benefits rider at no additional premium
cost to the insured, with no separate underwriting requirements.
That is what distinguishes the Alliance Group and our representatives from all others and helps build A
nAlliance for Life
between our agents and their clients!By RICK DRAZIEN
