AD Banker Ch 4

What is it called when the insured is unable to work due to illness or injury:

• Disability Income

• Benefit Period

• Elimination Period (Waiting Period)

• Pure Loss Of Income

Disability policies will pay benefits according to one of two definitions of __________

• Permanent Disability

• Total Disability

• Any Occupation

• Recurrent Disability

This provides benefits for loss of income after they return to work following a total disability.

• Transplant Donor Benefit

• Temporary Disability

• Partial Disability

• Residual Disability

This coverage is characterized by benefit periods of 2 years, 5 years, to age 65, or lifetime.

• Short-Term Disability

• Underwriting Group Disability plans

• Benefit Period

• Long-Term Disability (LTD)

What is it called when an insured's ability to work is impaired, but a full recovery is expected.

• Presumptive Disability

• Own Occupation

• Temporary Disability

• Residual Disability

Provides the funds to cover the overhead expenses of a business when the owner becomes disabled:

• Cost of living Rider

• Business Overhead Expense

• Buy-Sell Agreement or Disability Buyout

• Key Employee Insurance

Eliminates coverage for preexisting conditions as specified in the policy.

• Impairment Rider

• Lifetime Benefit Rider

• Return of Premium Rider

• Guaranteed Purchase Options

Extends the benefits for life if total disability begins before a specified age.

• Social Insurance Supplement (SIS) Rider

• Lifetime Benefit Rider

• Rehabilitation Benefits

• Cash Value Rider

Many insurance companies offer a short-term additional benefit in the form of a rider.

• Additional Monthly Benefit (AMB) Rider

• Hospital Confinement Rider

• Impairment Rider

• Non-Disabling Injury Rider

Common exclusions and limitations that apply to disability income policies include:

• Hazardous hobbies or occupations

• Deductible

• Rider

• Coinsurance