by Life Credit Company | Jan 25, 2018 | Understanding Your Life Insurance Policy
When it comes to choosing a life insurance policy, there are a dizzying number of options. Prospective policyholders have to consider everything from group vs. individual and term vs. whole, depending on personal circumstances. Additional, customizable options are also available in the form of benefit riders. Insurance benefit riders are, most simply, add-on elements to an insurance policy that can be invoked throughout the duration of the policy, depending on individual situations. For instance, those in need of finances for cancer patients may be eligible for living benefits, if the policyholder added such a rider to the policy. Most Common Benefit Riders Used For Cancer Treatment Funding Accelerated death: This worst-case scenario option typically is provided in the case of a terminal illness, in which the policyholder is not expected to live more than two years.If eligibility requirements are met, the accelerated death benefit rider usually allows the individual to access cash advances from their death benefit. Though it can provide funding to help a person live out his or her final days comfortably, it will reduce the amount left to beneficiaries’, which is a consideration. Accidental death: Insurance companies often offer the option for an accidental death rider, which provides added money on top of the standard death benefit if the policyholder dies of a non-medical cause. Such riders can be used in the case of a car accident or a slip and fall. Disability income: This add-on allows for monthly payments from the insurance company if the policyholder becomes permanently disabled. Cancer treatment funding could be accessed through this type of rider, depending on the person’s prognosis....
by Life Credit Company | Jan 18, 2018 | Understanding Your Life Insurance Policy
From grants to loans and everything in between, financial options for cancer patients are wide-ranging, and widely needed. As medical bills mount and working hours are restricted, cancer patients and their loved ones often start exploring ways to stabilize what can be shaky financial footing. One option that can be complex, yet valuable, is a life insurance policy. Can Your Life Insurance Policy Help You Access Cash Fast? Know what type of life insurance policy you have. Term life insurance protects the holder for a set number of years. The individual pays premiums during that time and, should anything happen to him or her in that timespan, the policy holder’s beneficiaries would receive an agreed-upon benefit. However, if the person lives past that expiration date, the coverage stops and the holder receives no benefit.Permanent life insurance policies cover a person throughout his or her entire life, builds cash value, and pays out a lump-sum benefit upon his or her death. It often requires a larger investment than a term policy but comes with the guarantee of a payout. Find out if your policy has a cash value. If you are considering a payout from your life insurance policy, then you must the policy must have cash value. A whole life insurance policy it is likely you have build up a cash value. Check your policy for an accelerated death benefit rider. Some insurance companies will allow for cash advances, also known as an accelerated death benefit, in which a portion of the person’s death benefit is paid out while he or she is still living. Such an option often requires a...
by Life Credit Company | Jan 11, 2018 | Understanding Your Life Insurance Policy
Many Americans are familiar with the concept of a death benefit, or the amount paid out from your life insurance policy after your passing. However, fewer people are as aware of the idea of a living benefit, which can be just as crucial to a family during a loved one’s final days. Living Benefits on Life Insurance Defined A living benefit is a portion of a person’s death benefit from their life insurance company, typically granted to an individual when he or she is facing a terminal prognosis. Living benefit programs vary depending on the provider but most require the insured to provide proof of an illness that is expected to claim his or her life within 24 months. If the applicant is approved, living benefits typically range from a quarter to 100 percent of what the policy’s death benefit amounts to and can be used for whatever the policyholder needs. The individual may choose to use the funds for medical care, or to plan ahead for funeral or other end-of-life expenses. Planning for the Future The prospect of a terminal illness is a frightening one that many people don’t want to seriously consider when making plans for their future. Because of that fear, some may miss out on the opportunity to add a living benefit rider to their life-insurance policy, and many companies won’t approve such additions, even in an emergency situation. Closing that gap is a goal of Life Credit Company’s living benefit loans. Such loans allow applicants to receive a portion of their insurance policy’s death benefit while still living. Since the program does not require...
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