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The Dynamic Duo: Critical Illness & Disability Insurance

By Seth Groff

A quick internet search defines a ‘Dynamic Duo’ as “Two people often paired together whose unique traits when combined, usually result in success or otherwise positive result.” 

You might be familiar with Batman and Robin, Butch Cassidy and the Sundance Kid, and even Bert and Ernie.  These combos provide entertainment in the movies but fail to provide real protection to people.  If you want to introduce your clients to a real dynamic duo that pays cash when they need it most…look no further than Critical Illness and Disability Insurance!

What are they?

A quick internet search defines a ‘Dynamic Duo’ as “Two people often paired together whose unique traits when combined, usually result in success or otherwise positive result.” 

You might be familiar with Batman and Robin, Butch Cassidy and the Sundance Kid, and even Bert and Ernie.  These combos provide entertainment in the movies but fail to provide real protection to people.  If you want to introduce your clients to a real dynamic duo that pays cash when they need it most…look no further than Critical Illness and Disability Insurance!

Why do people need these plans?

Medical science continues to evolve as new medicines and procedures cure conditions that used to result in death.  With survival comes additional financial stress as individuals miss work, pile up medical bills, and do whatever is necessary to stay alive.  Medical insurance ensures the doctors and hospitals are paid, but what about the individual?  Critical illness insurance helps eliminate some of the financial stress associated with surviving a critical condition by paying a cash benefit to the insured.  It is up to your client to determine how to use the money.  Popular uses include:

  • Paying deductibles and co-insurance
  • Experimental procedures not covered by health insurance
  • Travel expenses to see experts
  • Paying for child care
  • Replacing income during recovery
  • A vacation to recover and spend time with loved ones

Industry experts argue that a person’s most valuable asset is their ability to earn an income.  Think about it.  A 30-year old that makes $50,000 a year will earn $1,750,000 by the time he/she turns 65.  This is a large sum of money and most people look at this number a lot differently from their weekly paycheck.  Their income is what allows them to buy cars, purchase a home, save for retirement, and enjoy other aspects of life.  Disability insurance enables a responsible adult to protect their ability to earn an income if they are unable to work due to a disability.

Why both?

Some clients might have the need and see the benefit of purchasing both critical illness and disability income plans.  Here is why.

In order to keep the cost down, some disability plans are sold with 60 or 90 day elimination periods.  Many heart attack victims will be back to work before the disability plan starts paying a monthly benefit.  Another example is individuals diagnosed with cancer will continue to work part-time while receiving chemo treatments and never meet the definition of disability.  A critical illness plan would pay a lump sum benefit upon diagnosis to help bridge the gap between the disability and the start of the benefit period.

On the other side, a critical illness plan does not cover all the possible causes of disability.  For example, if someone was in a car wreck and unable to work, the critical illness plan would not pay.  This creates a need for disability insurance to create an extra layer of protection for events that the critical illness plan does not cover.

As you can see, critical illness and disability insurance work great together!

Have questions? Call us at 855-888-8326.

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