What is Quality of Life...Insurance ®
As one of the newest products available through AIG Direct, Quality of Life Insurance provides innovative benefits that set it apart from traditional life insurance. While it can provide a financial death benefit to your loved ones after your passing (much like a traditional policy), the hallmark of this type of life insurance is that it can also provide financial support before your death. This type of feature is also known as "living benefits."
What is Life Insurance with Living Benefits?
(Accelerated Death Benefits)
Living benefits, or Accelerated Benefit Riders, are life insurance proceeds paid to the policy holder before he or she dies, helping to ensure that family members don't have to bear the entire financial responsibility. The key here is that you don't have to pass away to receive the cash benefit from your policy, given your current situation fits into one of three categories: chronic illness, critical illness or terminal illness.
The one or more accelerated benefit riders attached to your policy permit the owner to receive a portion of the insured person’s life insurance benefit under the policy due to a qualifying critical, chronic, or terminal illness during the insured person’s lifetime, subject to policy terms and conditions.
Quality of Life Insurance and Chronic Illness
To qualify for a chronic illness, you would need to be certified by a licensed health practitioner in the last 12 months with a qualifying illness or physical condition that would prevent you from performing at least two "Activities of Daily Living", without substantial assistance or requires substantial supervision from another person to protect the Insured Person from threats to health and safety due to cognitive impairment.
Quality of Life Insurance and Critical Illness
A critical illness is a sudden and severe illness or physical condition covered under the rider. Some examples of these types of ailments include, but are not limited to, major heart attack (heart attack in certain states), stroke, invasive cancer and paralysis.
Quality of Life Insurance and Terminal Illness
A terminal illness is an illness or physical condition diagnosed and certified by a physician to be reasonably expected to result in your death within 24 months from the date of certification.
What are the advantages of Quality of Life Insurance?
There are three major benefits of Quality of Life Insurance.
- It's flexible and reliable. This type of policy changes as your life does because it allows you to access the cash benefit of your policy given certain life events. You can pay for medical costs as they occur, helping to spare your family unexpected financial responsibilities down the line.
- It's customizable. You can purchase a Quality of Life insurance policy with built in living benefits, or you can purchase these benefits as an addition or optional "rider" to a term life or universal life policy from American General Life. You can also choose the length of the policy (from a particular term up to your lifetime) and coverage amount.
- It's affordable. With the support of living benefits, quality of life insurance helps to cover multiple needs and may be only slightly more expensive than a standard term policy.
Why should you consider buying Qualify of Life Insurance (QoL Product Suite)?
Consider a situation: If you were to have a heart attack or suffer a major illness today, would you have the financial means to continue to care for yourself and support your family? For many it would be challenging to make ends meet. In fact, according to LIMRA,*** more than half of people would be financially impacted within a year of losing a spouse. This is where living benefits could become so important.
Quality of Life insurance can be an affordable option for anyone who wants to help ensure that their family and loved ones are not overwhelmed by the financial responsibility of medical costs. With the cushion of living benefits, you can help your family when they need it most.
To begin your application for Quality of Life insurance, use our request a quote tool. If you are planning to purchase term universal life insurance and indexed universal life insurance through American General Life and are interested in adding a Quality of Life rider, make sure to mention your interest to the agent with whom you work.
- Accumulate cash value*
- Add the policy as a rider to a term life universal life and indexed universal life insurance
- Choose a term length and amount that works for you (up to your full lifetime)
- Add additional, discounted term coverage for yourself, your spouse or your children.**
Important Consumer Disclosures Regarding Accelerated Benefit Riders.
Policy Form #s: 15646-5, 14579-5, ICC14-14523, 14523, 14523-5, ICC14-14579, 14579, ICC14-14888, 14888, 14888-5, ICC12 AGLA 12UCG, AGLA 12UCG, AGLA 12UCG C, 15646, and ICC15-15646. Rider #s: ICC10 AGLA ABR, AGLA ABR, AGLA 04CRIR, AGLA 04CHIR, AGLA 04TIR, AGLA 04CHIR-CA (0514), 14001, 14001-5, AGLA 05AHC, 13972, AGLA 05AD2, AGLA 05AD2 C, AGLA 05AHP, AGLA 05AHB, AGLA 05AHB C, AGLA 05AHC, AGLA EMB-DB, 15600, ICC15- 15600, CA WMDR 82001-5 Rev0914, 13601, ICC13-13601, ICC14-14002, ICC14-14002, 14002, 14002-5, ICC11 AGLA ICIIAR, ICC11 AGLA PRIIAR, ICC14-14012, ICC14-14018, 14018, 14306, 14390, 82012, 82410, 88390, ICC15-15990, ICC15-15602, 15602, ICC15-15603, 15603, ICC15-15604, 15604, ICC15-15271, 15271, ICC15-15272, 15272, ICC15-15274, 15274, 15996, ICC15-15997, and 07620. State variations and availability do apply. © 2016 AIG Direct Insurance Services, Inc. Agency services provided by AIG Direct Insurance Services, Inc. ("AIG Direct"), CA license # 0B57619 and AR license # 0100105378, a subsidiary of American General Life Insurance Company ("AGL"), Houston, TX and an affiliate of The United States Life Insurance Company in the City of New York ("US Life"), New York, NY, all members of American International Group ("AIG"). Each issuing insurance company is responsible for financial obligations of their respective insurance. Guarantees are backed by the claims-paying ability of the issuing insurance company. Products may not be available in all states and product features may vary by state. For all companies mentioned, their financial professionals and other representatives are not authorized to give legal, tax or accounting advice. For advice concerning your individual circumstances, consult a professional attorney, tax advisor or accountant.
* Feature available on QoL Guarantee Plus, QoL Index Plus II and QoL Performer Plus
** Subject to terms and conditions
*** http://www.limra.com/ uploadedFiles/ limra.com/ LIMRA_Root/ Posts/ PR/ _Media/ PDFs/ Insure-Your-Love-2015_Fact-Sheet.pdf