Accelerated Benefit Riders: Do You Still Have Flip-Phone Life Insurance?

Date: December 18, 2021

I bet you all know someone who is still hanging on to an old flip phone. All the while you laugh and make fun at, or with them as they try to communicate.  But what if I told you that if you are still hanging on to a life policy that was written over 5 – 10 years ago you probably have an outdated, “Flip-Phone” life policy.  Not only are the newer life policies based on updated life expectancies making the cost of the insurance less than the older policies, but some have added “Accelerated Benefit Riders” called ABR riders. These riders are offered at no additional premium (depending on the company) and provide you with the potential of receiving a partial or full accelerated life insurance benefit while you are still alive if you experience a qualifying medical condition.

ABR Benefit for Critical Illness:

In 2016, 800,000 Americans between ages 35 and 64 were hospitalized.  It’s not just Older Americans who are susceptible to Critical Illness.  Younger people also suffer from cancer, heart attacks, and strokes.  Young or old the same issues can arise, preventing you from being able to work full-time, require assistance from family to provide care, and face astronomical medical bills.  The ABR rider for Critical Illness could provide the money you and your family needs.

ABR Benefit for Chronic Illness:

Chronic Illness is a health condition or disease that is persistent or otherwise long lasting.  Chronic Illness causes about 70% of deaths in the U.S. and approximately 45% of Americans suffer from a least one Chronic Illness sometime in their life.

With numbers like this the majority of Americans will experience a debilitating Chronic Illness sometime in their life.  When that happens, your financial world is turned upside down.  Being able to tap into your Life Insurance Policy for the necessary funds could be a Godsend.

ABR Benefit for Terminal Illness:

This Benefit has been a part of life policies for many years and will almost surely be a part of your current coverage.  Terminal Illness is usually defined as having less than 24 months of life expectancy.

Providing Options:

For many years, insurance was purchased to provide death benefit protection for surviving family members.  However, insurance did not help when an insured was struck down by a debilitating Critical, Chronic, or Terminal Illness.  Give us a call to discuss the details of how it works and let us get you out of that old Flip-Phone!!


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