1 Disability Income Insurance Client Highlights Designing an income protection plan The Union Central Life Insurance Company DI /07
2 Disability Income Insurance What is your greatest asset: Your home? Your Business? They are both vital to your lifestyle, and they are the result of your most valuable asset your ability to earn an income. If you become too sick or hurt to work, what would happen to everything you have worked so hard to build for yourself, your family and your future?
3 It won t happen to me. You probably think of a disability as something that happens to other people. But simply believing it won t happen to me doesn t mean at some time in your life you won t be faced with a disabling illness or injury. Becoming too sick or hurt to work can happen to anyone at any time. What is the probability of becoming disabled in your working lifetime?* At Age 25 1 in in in in 8 * Source: 1985 Commissioners Disability Table Why is your income your greatest asset? The table below shows how much money you could earn if you work until you reach the age of 67. Annual Salary Age $25,000 $35,000 $50,000 $60,000 $100,000 $125,000 $150, $925,000 $1,295,000 $1,850,000 $2,220,000 $3,700,000 $4,625,000 $5,550, ,000 1,120,000 1,600,000 1,920,000 3,200,000 4,000,000 4,800, , ,000 1,350,000 1,620,000 2,700,000 3,375,000 4,050, , ,000 1,100,000 1,320,000 2,200,000 2,750,000 3,300, , , ,000 1,020,000 1,700,000 2,125,000 2,550, , , , ,000 1,200,000 1,500,000 1,800, , , , , , ,000 1,050,000
4 Disability Income Insurance The Disability Problem. Becoming too sick or hurt to work is one of the most serious problems you and your family could ever face. If you should suffer a severe injury or illness, you could lose the income that provides you and your family with a home, food, transportation, clothes and other necessities. Where would you turn for help? If you should become too sick or hurt to work, the question is: Where would the money come from? Resources Social Security Savings and investment accounts Drawbacks and limitations 69% of all initial Social Security applications are denied* If you save 10% of your income per year, one year of disability without a disability policy could use 10 years of savings and investments. Sometimes a disability is short term, and a quick return to work is possible. But if an injury or illness causes a long-term disability, often there are additional costs including long-term care and the extra assistance needed to help your family function in your absence. This could greatly increase the financial burden on your family. Employee group disability Workers Compensation Loan from a bank Friends and relatives Spouse s income Many plans cover only base pay and have a cap on benefits. Benefits are often taxable. It pays only a limited amount over a relatively short period of time and only covers losses due to a work related illness or injury. Who will lend funds to you, if you can t work? How will you pay it back if you remain disabled? They may be willing to help, but their resources may be limited. Can your spouse continue to work while caring for you and managing the household? Take a look at the chart below to see what could happen to your ability to save should you become disabled. * Source: United States House of Representatives Committee on Ways and Means, An income protection plan can help provide security for your family if something should happen to you. Today s Situation (Healthy & Working) Income Savings Expenses Tomorrow s Situation: INABILITY TO WORK (Injury or Illness) DEBT! You work to provide a continuous income, whether you are the sole breadwinner or one who shares this responsibility. If you lost your earning power as the result of a disabling illness or injury, a disability insurance plan would provide continuity of income when you need it most. For you and your family, it could mean the difference between financial distress and financial stability.
5 Disability Income DAta Sheet Name: Sex: o Male o Female Tobacco user: o Yes o No D/O/B: Occupation (Including specific duties): Waiting period desired: Benefit period desired: Self-Employed Non-Self-Employed Gross business income: Salary: Business expenses: + Bonus: = Other earned income: + Other earned income: Pension contribution: Unearned income over $20,000: Resident State: Contract State: State of Employment: State cash sickness: o Yes o No Eligible for social security: o Yes o No Existing coverages: o LTD o STD o Sick pay o Individual Details of existing coverage: The Union Central Life Insurance Company individual financial needs analysis Expenses Monthly amount 1. Rent/Mortgage $ 2. Food $ 3. Utilities (water, heat, electricity, telephone) $ 4. Transportation (car payments, maintenance, repairs, insurance, gasoline) $ 5. Installment payments (credit cards, loans) $ 6. Insurance premiums (life, health, car, medical) $ Total monthly expenses $ Income Monthly amount For how long? Waiting period 1. Current disability benefits* (group, individual, association) $ 2. Other benefits (Social Security, Workers Compensation, $ veteran s compensation, etc.) 3. Other income sources (stocks, bonds, savings) $ Total monthly income $ * Provide benefit booklet or insurance contract.
6 Disability Income Data Sheet Your personalized income protection plan. This chart illustrates how your plan works. Benefit Amount Duration Highlights and features your policy will include: NonCancellable and Guaranteed Renewable for the entire coverage period Premiums guaranteed not to increase for the entire coverage period Choice of benefit and waiting periods Nondisabling Injury Benefit (most states) Good Health Benefit (most states) 20-day policy examination period
7 Disability Income Insurance A plan that goes to work when you can t. An ideal income protection plan can offer you: Flexibility Portability NonCancellable coverage Affordable contracts Adequate income during a disability A well-designed income protection plan will incorporate all available resources to provide adequate income during a disability. Anchored by an individually owned disability policy, it could be one of the best decisions you ll ever make.
8 The Union Central Life Insurance Company 1876 Waycross Road Cincinnati, Ohio About the UNIFI Companies The UNIFI Companies Ameritas Life Insurance Corp., Acacia Life Insurance Company and The Union Central Life Insurance Company and their affiliated companies offers a wide range of insurance and financial products and services to individuals, families and businesses. These products and services include life insurance, annuities, individual disability insurance, retirement plans, investments, mutual funds, group dental and eye care insurance, banking and public finance. The organization s financial strength and stability are reflected in strong financial ratings from independent analysts. The life insurance companies heritage, dating back to 1867, is built on traditional values, high ethical standards and trusted relationships. For more information, visit the UNIFI Companies web site at The Union Central Life Insurance Company
PLAIN TALK about LIFE INSURANCE Having the right life insurance protection can have an enormous effect on your life and the lives of those you love. A proper financial security plan can mean the difference
plain talk about life insurance The right life insurance can have an enormous effect on your life and the lives of those you love. It can mean the difference between leaving your loved ones well positioned
YOUR GUIDE TO Understanding Making life less complicated. Most people know that can provide their families with a death benefit if the unexpected should happen. But they may not know that it can also be
Disability Resource Group, Inc. Disability Insurance Marketing Guide Personal and Business Markets For producer use only Not for use with the general public. Table of Contents Disability Income Insurance
Virginia Life Insurance Consumer s Guide Prepared by State Corporation Commission Bureau of Insurance www.scc.virginia.gov/boi This Consumer s Guide should be used for educational purposes only. Nothing
5 STEPS TO TAKE CONTROL OF YOUR FINANCIAL SECURITY What would it take for you to feel financially secure? A more stable job? Being debt free? Having millions in the bank? No matter how it s defined, we
Whole life insurance 5-minute guide The promise of life insurance. Keep your promise As a spouse or parent, you ve made a commitment to take care of and provide for your family. If you ve built your own
~ Planning for Your Retirement ~ Planning for Your Retirement includes a TRSL retirement timetable We re here to help. Contact us: Internet: Phone: Mail: Website: www.trsl.org E-mail: email@example.com
Chances are, you need life insurance Life insurance is a simple answer to a very difficult question: How will my family manage financially when I die? It s a subject no one really wants to think about.
Buyer s Guide to: Fixed Deferred Annuities National Association of Insurance Commissioners 2301 McGee St Suite 800 Kansas City, MO 64108-2604 (816) 842-3600 1999, 2007 National Association of Insurance
Prepared by the National Association of Insurance Commissioners The National Association of Insurance Commissioners is an association of state insurance regulatory officials. This association helps the
ohio shopper s guide series Annuity Contracts This guide: Explains annuity contracts and their purpose Describesvarious contracts being sold today Details your choices for paying premiums and receiving
Life Insurance and Annuity Buyer s Guide Introduction The Kentucky Office of Insurance is pleased to offer this Life Insurance and Annuity Buyer s Guide as an aid to assist you in determining your insurance
Allianz Life Insurance Company of North America Understanding fixed index annuities M-5217 Page 1 of 12 Page 2 of 12 It s time to rethink retirement. In past years, the financial markets have experienced
12. Insurance 2: Life Insurance Introduction Once you understand the basics of insurance, your understanding of the importance of life insurance increases greatly. Much of what is written on the subject
10 Things You Need to Know About Buying Life Insurance 10 Things You Need to Know About Buying Life Insurance 01 We never know what life has in store. Life insurance is a simple answer to a very difficult
Shedding light on Life insurance a practical guide to helping you achieve a lifetime of financial security Learn more about: Safeguarding your loved ones Protecting your future Ensuring your dreams live
Your Options for Financing Long-Term Care: A Massachusetts Guide DIVISION OF INSURANCE 1000 Washington Street, Suite 810, Boston, Massachusetts 02118-6200 (617) 521-7794; Springfield (413) 785-5526 FAX:
A Guide to Life Insurance for Small Business SUN LIFE FINANCIAL For a small business owner, group life insurance and qualified plans may not be adequate to protect the business from unforeseen risks or
Advanced Illness Financial Guidance for Cancer Survivors and Their Families Advanced Illness Financial Guidance for Cancer Survivors and Their Families My husband finally came to me and told me that his
NATIONWIDE LIFE AND ANNUITY INSURANCE COMPANY Nationwide YourLife CareMatters SM Client guide Choice, control, flexibility it s all in your hands Taking time to plan now can put you in control later Most
Using Credit to Your Advantage. Topic Overview. The Using Credit To Your Advantage topic will provide participants with all the basic information they need to understand credit what it is and how to make
Getting Ready to Retire: What You Need to Know About Annuities Table of Contents A. Planning Your Retirement Income ------------------------------------------------------------------------------------------------------
BUYER S GUIDE TO FIXED DEFERRED ANNUITIES The face page of the Fixed Deferred Annuity Buyer s Guide shall read as follows: Prepared by the National Association of Insurance Commissioners The National Association