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UnumProvident Universal Life Plan
Plan Highlights
•
Living Benefit Option
•
No Physical Required
•
Cash Value Accumulation
•
Optional Long Term Care Rider
UnumProvident’s Universal life Insurance can give you the insurance protection you need, while also giving you the financial flexibility you want.
Affordable Insurance
Protection
Living Benefit Option
Included
This feature is automatically included for all eligible employees and
spouses between the ages of 15 and 79 and children/grandchildren ages 14 days
through 24 years for no additional premium. It provides the option of requesting
up to 75% of the policy’s death benefit, to a maximum of $150,000, if the
insured is diagnosed with a medical condition limiting life expectancy to 12
months or less. If you have to face a terminal illness, this option can provide
additional financial assistance during a difficult time. Any payout of this
benefit would reduce the death benefit.
Convenient Payroll
Deduction
Your premiums are automatically deducted from your paycheck, so you
don’t have to worry about writing checks or mailing payments.
No Physicals Required
If you are actively at work1, you may apply for coverage
by completing an application and no physical exams are required! Your coverage
becomes effective on the date you sign the application. You may be asked
health-related questions which may affect issuance of coverage. This means that
you will receive the plan and coverage amount you applied for on the application
unless it is determined to be unacceptable under UnumProvident’s rules, limits
or standards. In such event, the plan and coverage amount may be modified or
declined.
Individually Owned
If you leave your company, you can take your policy with you and
still pay the same premium. Instead of paying your premiums through payroll
deduction, UnumProvident will bill you directly at home.
Cash Value Accumulation
Feature
Voluntary Individual Universal Life Insurance can build cash value
that earns interest. The interest rate your policy is credited with will never
be less than the guaranteed minimum rate of 4.0%. It is important for you to
remember, as with all universal life policies, that the projected cash value of
your policy may change over time. Such changes can result from fluctuations in
interest rates, scheduled changes in the cost of insurance, or non-payment of
premiums, policy loans and loan interest. We encourage you to maintain
consistent premium payments and repay any outstanding loans in a timely fashion
to avoid an early lapse in coverage or termination of your policy.
Additional Features
•
Accidental Death Benefit Rider
•
Available to employees and spouse between the ages of 15 - 65 for an
additional premium.
•
Provides an additional death benefit equal to the face amount, up to a
maximum of $150,000, if the insured dies as a result of an accident before age
70.
•
Under certain conditions, the benefit will double if death occurs from
injuries sustained while the insured is a fare-paying passenger via commercial
transportation.
•
Benefits increase by 25% if death occurs from accidental bodily injury
sustained while wearing a seatbelt.
Family Coverage
Spouse Coverage
Voluntary Individual Universal Life coverage is available for your spouse
based on a qualifying health question. However, no physical exams are required
and coverage is available even if you don’t apply for coverage yourself. A few
additional health questions may be asked based on the level of coverage being
applied for.
Children’s Standalone Coverage
A standalone insurance policy is available to children, stepchildren,
legally adopted children and grandchildren between the ages of 14 days and 24
years.
Life is unpredictable. But you can take steps to help protect your family now and into the future with UnumProvident’s Voluntary Individual Universal Life insurance. Ask your benefits representative for more information and apply today!
FREQUENTLY ASKED QUESTIONS
Am I required to participate in this coverage?
Who becomes the owner of the policy?
UnumProvident’s Voluntary Individual Universal Life Insurance policy is just
that - voluntary and individual. This means that electing coverage is optional,
and if you decide coverage is right for you, then you become the owner of your
policy.
Does this policy automatically replace any of my existing group
insurance coverage?
No. Voluntary Individual Universal life insurance is a supplemental
insurance policy and can enhance your group coverage.
May I increase my coverage in the future?
Yes, your coverage can be increased to meet your changing needs. Once you
have owned your policy for one year, you may apply for additional coverage up to
the maximum amount available for your age.
May I insure my spouse and/or my children even if I don’t
participate in this plan?
Yes, coverage is available for your spouse and children even if you choose
not to purchase coverage for yourself. Certain minimal underwriting requirements
may apply. Ask your benefits representative for more details during enrollment.
May I take a loan on my policy?
Yes, you may borrow part of your cash value from the policy at an annual
interest rate of 8.0% per year.
How will I be kept informed of my cash value?
Each year, UnumProvident will mail you a policy statement outlining what you
have paid, how much cash value you have, plus the status of any loans, interest
credited and applicable administrative charges. These statements are designed to
provide you with a valuable record of your policy activity.
Does my policy have a surrender charge?
If you surrender your policy during the first 10 years of coverage, a
surrender charge will apply. Beyond the 10th year, there is no surrender charge.
A unique 10- year period applies to each increase in coverage.
Who can I contact if I have questions about my policy after
enrolling?
During enrollment, a benefits representative will be available one-on-one to
answer any questions you may have about Voluntary Individual Universal Life
Insurance.
If you have questions about your policy after enrolling, simply
pick up the phone and call UnumProvident at 1-800-635-5597.
1
Being "actively at work" means that on the day you apply for coverage, you are working at one of your company’s business locations, or you are working at a location where you are required to represent your company. If you are applying for coverage on a day that is not one of your scheduled workdays, then you will be considered actively at work if you meet this definition as of your last scheduled workday. You are not considered actively at work if your normal duties are limited or altered due to your health, or if you are on a leave of absence.Underwritten by the following subsidiary of UnumProvident
Corporation: Provident Life and Accident Insurance Company
1 Fountain Square, Chattanooga, TN 37402
www.unumprovident.com
©2006 UnumProvident Corporation. All rights reserved. UnumProvident is the marketing brand of UnumProvident Corporation’s insuring subsidiaries. CU-2944 (10-06)
Long Term Care Rider
If you’re like most people, you’ve heard how important it is to prepare for
your future and that of your family. You may have acquired a home, built a
savings nest egg, begun contributing to retirement funds, and even made plans
and preparations for your children’s education. But is that enough? Are you
financially prepared to cover the expenses of long term care should you or your
spouse become ill or disabled, or need special medical treatment as you get
older?
Choosing UnumProvident’s Long Term Care Rider to complement your voluntary life insurance plan can help give you the additional financial protection you may need. In the event you or your covered spouse need long term care, this rider can help provide benefits to cover those costs.
Consider these facts:
The Benefits of the Long Term Care Rider
The Long Term Care Rider is designed to provide you access to your policy’s
death benefit to help cover the expenses related to long term care.
• Available at initial offering to employees and spouses ages 18
- 70. All newly eligible adult policies will automatically receive the Long Term
Care Rider.
• Available with base policy face amounts of at least $10,000.
• Provides a maximum monthly benefit for nursing home care of the lesser of:
- 4% of the death benefit, less any policy debt at the end of the elimination
period; or
- $3,000
• Provides a maximum monthly benefit for home health care or adult day care of
the lesser of:
- 2% of the death benefit, less any policy debt at the end of the elimination
period;
- The actual monthly cost incurred; or
- $1,500
• Benefits are payable once you have been receiving long term care for 90 days,
subject to rider conditions.
• Provides for a waiver of policy monthly deductions even if your policy does
not have the Waiver of Premium Rider.
• The maximum lifetime payout is equal to 100% of the death benefit, less any
policy debt.
• Benefits and amounts may vary by state. Please refer to your Outline of
Coverage for complete details.
This Rider provides monthly benefits if a physician certifies the insured is functionally impaired and requires long term care provided through a nursing home, home health care or adult day care. Maximum lifetime value is equal to 100% of the death benefit minus any policy debt.
LONG TERM CARE FREQUENTLY ASKED QUESTIONS
Can the Long Term Care Rider be added to any size life insurance
policy?
The minimum policy size to which the Long Term Care Rider can be added is
$10,000.
Will receiving benefits under this rider change the death
benefit of my life insurance policy?
Each monthly long term care benefit will reduce your death benefit and other
values in your policy. Please see the "Impact on Policy" section of your Outline
of Coverage for specific values and reductions.
Can I receive long term care benefits if I’ve already received
part of my death benefit as an advance due to terminal illness?
Your Long Term Care Rider will terminate if any of your death benefit is
advanced to you under any provisions that pay pre-death benefits for a terminal
illness, whether those provisions are part of your life insurance policy or an
attached rider.
If I need long term care benefits, when will they begin?
Payments will begin after 90 days. This 90-day waiting period is referred to
as your elimination period; no benefits will be paid during the elimination
period.
What is a pre-existing condition and how will it affect my Long
Term Care Rider coverage?
A pre-existing condition is when a healthcare provider has recommended
treatment or given medical advice within six months prior to your Long Term Care
Rider’s effective date. Any period of long term care beginning six months after
the effective date will not be covered if the care is needed due to a
pre-existing condition.
Can I receive long term care benefits for care received in a
retirement home?
Your Long Term Care Rider does not provide benefits for care received in
retirement, convalescent and residence homes, or community living centers.
What is the maximum long term care benefit I can receive?
Your maximum lifetime long term care benefit is 100% of your life insurance
policy’s death benefit at the time your elimination period is satisfied, less
any policy loans.
Can I insure other family members under the Long Term Care
Rider?
The Long Term Care Rider can be added to your spouse’s voluntary life
insurance policy. It cannot be added to your children’s policies.
If I already have long term care insurance, should I replace it
with this rider?
Only you can make that decision. You should remember that this rider’s
benefits are paid as a percentage of your life insurance death benefits and are
not based on the actual costs of long term care. These benefits will help you
pay long term care expenses, but may not cover them completely. You should
examine your benefits carefully before making any replacement decisions.
Any person currently covered by Medicaid, except residents of Kentucky, will be excluded from eligibility. The policy or its provisions may vary or be unavailable in some states. The policy has exclusions and limitations which may affect any benefits payable.
1
America’s Health Insurance Plans, "Guide to Long Term Care Insurance," 2004. pg. 3 [cited May 19, 2005]; available from http://www.http://www.ahip.org/content/default.aspx?bc=41|329|450©2006 UnumProvident Corporation. All rights reserved. UnumProvident is the marketing brand of UnumProvident Corporation’s insuring subsidiaries.
Underwritten by the following subsidiary of UnumProvident Corporation:
Provident Life and Accident Insurance CompanyIn New York, underwritten by: Provident Life and Casualty
Insurance Company
1-800-635-5597
CU-2944 (10-06)
