Seminar: Timely Topics for Today’s Business World

Mr. Bernstein

Disability and Life Insurance

January 22, 2015

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Disability InsuranceWorker’s Compensation is provided by employers

according to state lawsEmployers may provide additional disability

insurance as a benefit or may arrange discounted group rates

US Government’s Social Security program Privately companies (ie AFLAC, Unum, others)

Seminar: Timely Topics for Today’s Business World

Mr. Bernstein

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Determining Disability Insurance NeedsProject future expensesAssess current coverageConsider:

Amount of Benefits (of course) Duration of BenefitsWaiting PeriodGuarantee of Renewability

Then buy it as part of your risk management policy

Seminar: Timely Topics for Today’s Business World

Mr. Bernstein

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Life Insurance BasicsProtect those who depend on your incomePay for end-of-life costs and estate taxesWe don’t know who will die young and who will live

to be 100…so life insurance is based on the principle of pooling risks, just as home fire insurance or automobile driving liability insurance

Rates are therefore based on estimates of life expectancy of age, gender and lifestyle groups

Seminar: Timely Topics for Today’s Business World

Mr. Bernstein

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Types of Life Insurance PoliciesTerm policies cover an individual for a time period

(ie 10 years) and pay a stated sum upon deathWhole Life policies are permanent policies in which

preset premiums are charged each year until death and a stated sum is paid upon death

Whole Life policies are a saving vehicle in that if you cancel the policy before death you receive a cash value

Seminar: Timely Topics for Today’s Business World

Mr. Bernstein