Aflac Group Whole Life

Transcription

1 Aflac Group Whole Life INSURANCE Most people think of life insurance as a benefit for the future. Let us show you how it can help provide peace of mind right now. The State Employee s Association of North Carolina, Inc. (hereinafter called SEANC) will hold the master policy which will govern the certificates issued to all members applying and approved for insurance offered by Continental American Insurance Company (hereinafter called CAIC) a proud member of the Aflac family of insurers. AGC04770 IV (4/14)

2 AFLAC GROUP WHOLE LIFE INSURANCE Policy Series WL-9800-MP WL G Affordable security for your family s future and cash value, too. While we all know that life insurance is something that helps protect our loved ones and families for the long term, sometimes we don t consider that there are other benefits of a whole life insurance plan, as well. Priced to fit most budgets, the Aflac group Whole Life insurance plan can provide a real financial cushion for your loved ones. And, unlike some kinds of life insurance, a whole life insurance plan doesn t terminate at a certain age. Aflac group Whole Life insurance also works hard for you today. What you may not realize is that in addition to offering valuable life insurance protection, Aflac group Whole Life insurance is designed to build cash value at a guaranteed rate of return. It s a feature that could come in handy down the road for short-term or unplanned expenses. There are other advantages, as well: You and your family may apply for benefit amounts by answering only a few medical questions. Once your Whole Life insurance application has been approved and payroll deductions have started, the coverage is yours to keep as long as you continue to pay premiums. The Aflac group Whole Life insurance plan builds cash value over the lifetime of the plan. Aflac group Whole Life insurance is flexible, too. You can apply for coverage that fits your budget and lifestyle. And, your premiums never increase for the benefit amount you select now. Understanding the facts can help you decide if the Aflac group Whole Life insurance plan makes sense for you. FACT NO. 1 FACT NO. 2 30% ABOUT 4 -in- 10 OF U.S. HOUSEHOLDS (35 MILLION) HAVE NO LIFE INSURANCE PROTECTION AT ALL. 1 HOUSEHOLDS, WITH CHILDREN UNDER 18, SAY THEY WOULD IMMEDIATELY HAVE TROUBLE MEETING EVERYDAY LIVING EXPENSES IF A PRIMARY WAGE EARNER DIED TODAY. 2 1&2 Underwritten by Continental American Insurance Company (CAIC) A proud member of the Aflac family of insurers

3 Here s why the Aflac group Whole Life insurance plan may be right for you. For almost 60 years, Aflac has been dedicated to helping provide individuals and families peace of mind and financial security when they ve needed it most. The Aflac group Whole Life plan is just another innovative way to help make sure you re well protected under our wing. But it doesn t stop there. Group Whole Life insurance from Aflac means that your family could have added financial resources to help with burial and funeral expenses, education plans, or retirement expenses. Benefits: Coverage Amounts: Member up to $100,000. Spouse up to $50,000 (not to exceed member s coverage). Chlidren may be covered in either of these two ways: A Child Term Rider in the amount of $10,000 is available for dependent children ages 15 days through 24 years. The rider will cover all of your dependent children. or You may purchase a separate Whole Life certificate for each of your dependent children with a $10,000 or $25,000 benefit. Waiver of Premium Benefit (member only). Accidental-Death Benefit (member and spouse only). Accelerated Benefit (member and spouse only). Features: Premiums will never increase. Benefits may be paid directly to your named beneficiary. Coverage is portable (with certain stipulations), which means you can take it with you if you change jobs or retire. Premiums are paid through convenient payroll deduction. Fast claims payment. Most claims are processed in about four business days. How it works Aflac group Whole Life plan with a $50,000 benefit amount is selected. The certificateholder passes away due to a covered accident on a commercial airplane. The certificateholder s beneficiaries receive $150,000 Benefit based on initial face amount of $50,000, Accidental Common Carrier Death Benefit of $100,000. The plan has limitations and exclusions that may affect benefits payable. This brochure is for illustrative purposes only. Refer to the plan for complete details, definitions, limitations, and exclusions. Waiting periods, limitations and pre-existing conditions may apply. For more information, ask your insurance agent/producer or call aflacgroupinsurance.com

4 Benefits Overview WHOLE LIFE BENEFITS AND PROCEEDS (Member, Spouse, And Child Coverage Available) We will pay proceeds upon the insured s death. Proceeds are the total amount of benefits payable and will be the sum of the amount of insurance currently in force, any insurance you have provided by any benefit riders, and any premium amount paid beyond the certificate month in which the insured dies, less any certificate loan or loan interest and any unpaid premium. We will pay these proceeds to the named beneficiary in one sum. The proceeds can be left with us to earn interest (guaranteed to be at least 2.0% compounded annually). To the extent permitted by law, proceeds will not be subject to any claims of a beneficiary s creditors. CASH VALUE AND CERTIFICATE LOANS The Whole Life insurance plan provides a cash value. The cash value may be obtained through certificate loan or surrender value option. The loan amount available will be the cash value of the plan plus the value of any attached rider, less any unpaid premium, any existing certificate loan, or any loan interest. A certificate loan may be obtained by written request. The certificate loan may be repaid at any time during the insured s lifetime. If it is not repaid, the loan will be deducted as a single sum from any settlement or refund. If the loan exceeds the cash value of the certificate, the certificate will terminate 31 days after a notice of termination has been sent to the insured s last known address or to any assignee of record s last known address. WAIVER OF PREMIUM RIDER (Member Only Issue Ages 18-55) The Waiver of Premium Benefit Rider waives entire premium amount for member coverage after the insured has been totally disabled due to bodily injury or disease for 4 consecutive months and continues throughout the duration of the disability. Any recurrence of a prior disability will be covered, provided the prior disability continued for at least 6 consecutive months, began within 30 days of recovery, and was due to the same or related causes. The Waiver of Premium Rider is also available for loss of sight or loss of limbs even though the member may be able to engage in an occupation. This coverage terminates on the member s certificate anniversary coinciding with or next following his 60th birthday. ACCIDENTAL DEATH BENEFIT RIDER (Member And Spouse Only; Issue Ages 18-60) The Accident Death Benefit Rider provides an additional benefit equal to the face amount if the insured dies within 90 days from injuries that resulted directly and independently of all other causes, from accidental bodily injury. If the insured dies in covered common-carrier accident, the benefit is twice the face amount. The maximum coverage available under the rider is $100,000. The Accidental Death Benefit Rider terminates at age 65. ACCELERATED BENEFIT RIDER (Member and Spouse only) We will pay a lump sum benefit up to one-half of the certificate death benefit upon diagnosis of a terminal illness. We will pay this benefit when we receive proof of loss showing the covered person has a terminal illness that will result in death within 12 months. The member may choose the amount of the accelerated benefit, subject to these limitations: The maximum benefit is one-half of the eligible Death Benefit; the sum of the Accelerated Benefit under all certificates and riders on the insured s life cannot exceed $250,000; and the minimum benefit must be greater than $10,000. This coverage is not intended to provide health, nursing home, or long-term care insurance. Benefit payments may affect the insured s eligibility to receive Medicaid and other government benefits or entitlements. Receipt of accelerated benefits may be taxable. The insured should consult with his personal tax advisor. This benefit is subject to an administrative expense charge not to exceed $250. CHILDREN S TERM INSURANCE RIDER (OPTIONAL) CHILDREN ONLY We will pay the Children s Term Rider benefit upon receipt of due proof of death of an insured child if coverage is in force, it is before the expiration date, and the child has not turned age 25. The children s term insurance may be converted to a whole life plan without evidence of insurability if the amount of the new plan does not exceed $5,000 per unit of coverage shown in the certificate. Conversion will be on the coverage anniversary date following the insured child s 25th birthday; or on the expiration date, or if earlier, on the death of the primary insured. The premium for the new plan will be the rates then in effect for the plan chosen for the attained age of the insured child and for the same premium class as this coverage. The amount of the new certificate must be at least the minimum for the plan elected. The new certificate effective date will be the date of the application accompanied by the required premium, or the conversion date if later. Written request for conversion and payment of the required premium must be made within 31 days of the date of conversion and during the lifetime of the insured child.

5 WHOLE LIFE INSURANCE LIMITATIONS AND EXCLUSIONS, WHAT IS NOT COVERED, AND TERMS YOU NEED TO KNOW

6 LIMITATIONS AND EXCLUSIONS If the coverage outlined in this summary will replace any existing coverage, please be aware that it may be in your best interest to maintain your individual guaranteed-renewable policy. MISSTATEMENT OF AGE If an age has been misstated on the enrollment form, the benefits will be those that the paid premium would have purchased at the correct age. SUICIDE EXCLUSION If the insured commits suicide within two years from the certificate date, we will limit the death benefit proceeds to the premiums paid less any loans and loan interest. WAIVER OF PREMIUM RIDER EXCLUSION PLEASE READ THE RIDER CAREFULLY. THE WAITING PERIODS IN THE SUICIDE AND/OR INCONTESTABILITY PROVISIONS ARE DIFFERENT FROM THOSE IN THE POLICY AND BEGIN ON THE EFFECTIVE DATE OF THE RIDER. No benefits will be provided by the rider if total disability: Is caused by an intentionally self-inflicted injury; or Results from an act of war, declared or undeclared; while the member is in the military service of any country. ACCIDENTAL DEATH RIDER EXCLUSION PLEASE READ THE RIDER CAREFULLY. THE WAITING PERIODS IN THE SUICIDE AND/OR INCONTESTABILITY PROVISIONS ARE DIFFERENT FROM THOSE IN THE POLICY AND BEGIN ON THE EFFECTIVE DATE OF THE RIDER. The Accidental Death Benefit provided by the plan shall not be payable if the insured s death results from any of the following causes: 1. War or any act of war (including any armed aggression resisted by the armed forces of any country or combination of countries), whether such war is declared or undeclared; 2. Suicide; 3. Any bodily or mental infirmity or disease, except a bacterial infection occurring with or through an accidental injury; 4. Committing or attempting to commit an assault or felony; 5. The voluntary taking of: a. any drug, medication, or sedative unless as prescribed by a physician; or b. any poison (except for food poisoning), including carbon monoxide; 6. Operating, riding in, or descending from any kind of aircraft, or subsequent drowning, if the insured: a. is a pilot, officer, or member of the crew; or b. is in an aircraft which is being flown for the purpose of descent from such aircraft while in flight; or c. is giving or receiving any kind of training or instructions; or d. has any duties aboard such aircraft. ACCELERATED BENEFIT RIDER EXCLUSIONS PLEASE READ THE RIDER CAREFULLY. THE WAITING PERIODS IN THE SUICIDE AND/OR INCONTESTABILITY PROVISIONS ARE DIFFERENT FROM THOSE IN THE POLICY AND BEGIN ON THE EFFECTIVE DATE OF THE RIDER. We will not pay the Accelerated Benefit until we receive proof of the insured s terminal illness and we have received the owner s written request for an accelerated benefit and have received written consent from all irrevocable beneficiaries waiving their rights to any death benefit required to pay off any liens at the time of death. At our discretion, we may require written consent from a spouse of the insured, or other beneficiaries, or any other person whom we believe to have a potential interest in the proceeds of the certificate, and we have received an assignment form making us the assignee of the certificate for the amount of the lien. THE ACCELERATED BENEFIT RIDER WILL NOT BE PAYABLE: 1. If either the owner or the insured is required by a government agency to use the Accelerated Benefit in order to apply for, obtain, or otherwise keep a government benefit or entitlement; 2. If either the owner or the insured is required by law to use the Accelerated Benefit to meet the claims of creditors, whether in bankruptcy or otherwise; 3. If the terminal illness results from intentionally self-inflicted injuries; 4. If the certificate is in force as either extended term insurance or reduced paid-up insurance; 5. If the certificate is legally or equitably assigned, except to the company as security for the lien; 6. If any part of the Death Benefit under the certificate is contestable; 7. If the certificate is not in force or the Death Benefit under the certificate is not payable for any reason; 8. If the amount of the Accelerated Benefit, plus the amount of all Accelerated Benefits on the insured from all certificates issued by the company, exceeds $250,000; 9. If there has already been an Accelerated Benefit paid on the certificate. CHILDREN S TERM RIDER PLEASE READ THE RIDER CAREFULLY. THE WAITING PERIODS IN THE SUICIDE AND/OR INCONTESTABILITY PROVISIONS ARE DIFFERENT FROM THOSE IN THE POLICY AND BEGIN ON THE EFFECTIVE DATE OF THE RIDER. PLEASE READ THE RIDER CAREFULLY. THE The coverage is part of the certificate and is subject to all certificate provisions. PORTABLE COVERAGE When coverage would otherwise terminate because the insured ends membership with the policyholder, coverage may be continued. The insured will continue the coverage that is in force on the date membership ends, including dependent coverage then in effect. The insured must apply to us in writing within 31 days after the date that the insurance would terminate. If the master policy is terminated, the insured will become members of a group of insureds. The members will continue to have coverage, and your coverage will remain in force. The coverage shall not exceed the smaller of: 1. Your terminated coverage less any new coverage obtained within thirtyone (31) days; or 2. $10,000. If a Member dies during the period that he was entitled to benefits, and

7 before the Member coverage is in force, he will be entitled to full benefits whether or not the application for the Member coverage is received or the first premium has been made. Please refer to the plan certificate for terms and conditions. EFFECTIVE DATE The certificate issued under the policy will take effect as of the insured s application date if the insured is eligible for it, the application is signed, the first premium is paid to us, and the information provided in the application is acceptable to us for issuance of the coverage under our rules and practices. TERMS YOU NEED TO KNOW Beneficiary means the person (or entity) named in the application, or later changed by the plan owner, who will receive proceeds upon the death of the insured. Eligible Person means the following individuals who are eligible for coverage: 1. A person who is a member of the union. 2. The member s legally married spouse. 3. The member s unmarried child under 25 years of age. 4. An unmarried child under 25 years of age that the member will be adopting pursuant to an interim court order of adoption. Note: Child as used above includes adopted children and stepchildren. But, member will not include: (1) a foster child; or (2) a child or spouse who lives outside the USA. 5. The member s unmarried grandchild under 25 years of age. Physician means a duly licensed medical practitioner functioning within the scope of his license, which is recognized and accepted by the American Medical Association. A physician must not be the plan owner or the insured, or the parent, spouse, or child of either the plan owner or the insured. Terminal Illness means a noncorrectable illness or physical condition that, with a reasonable degree of medical certainty, will result in the death of the insured in less than 12 months from the date of a written statement, in a form acceptable to us, by a physician. Total Disability means the incapacity of the insured, as a result of bodily injury or disease or mental disease, to engage, for remuneration or profit, in an occupation or profession. During the first 24 months of such disability, occupation or profession means the insured s occupation or profession at the time of disability began; thereafter it means any occupation or profession for which he is, or becomes, reasonably suited by education, training, or experience.

8 Continental American Insurance Company (CAIC), a proud member of the Aflac family of insurers, is a wholly-owned subsidiary of Aflac Incorporated and underwrites group coverage. CAIC is not licensed to solicit business in New York, Guam, Puerto Rico, or the Virgin Islands. Continental American Insurance Company 2801 Devine Street Columbia, South Carolina The certificate to which this sales material pertains is written only in English; the certificate prevails if interpretation of this material varies. This brochure is a brief description of coverage and is not a contract. Read your certificate carefully for exact terms and conditions. This brochure is subject to the terms, conditions, and limitations of Policy Series WL9800-MP.