AIG Launches “Income PLUS” Disability Rider Offering Lump-Sum Benefit
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The Income PLUS benefit is unique in the industry as a lump-sum benefit that is not offset or negated by any other sources of income, and is paid in addition to the monthly benefits offered under the long-term disability product. The Income PLUS benefit can be used by employees as they see fit to help pay debt or medical bills or to provide a financial cushion during a period of disability.
“Income PLUS is an innovative and unique solution to the challenges these workers face from long-term disability, and offers additional financial security at a time when they may have problems paying their bills or meeting their financial obligations,” Olson said.
According to the Council For Disability Awareness, the average long-term disability claim duration is 31.2 months, and one in eight workers will be disabled for five years or more during their working careers. Sixty-five percent of working Americans say they could not cover normal living expenses even for a year if their employment income was lost; 38 percent could not pay their bills for more than three months.1 (Source: The Council For Disability Awareness, “Disability Facts.”
The Income PLUS rider benefit is payable immediately after the 180-day elimination period is satisfied. It offers what amounts to 12 months’ worth of benefit at 10 to 40 percent of income, paid as a lump sum in addition to the monthly LTD payments. The percentage paid under the Income PLUS rider varies according to the rider option selected by the employer.
The total income replacement maximum available to employees is 80 percent, including the underlying LTD plan and the Income PLUS rider benefit. For example, if the underlying long-term disability plan offers 60 percent income replacement, then the Income PLUS Rider options are 10 or 20 percent.
So, for an employee earning
The Income PLUS Rider is available on the
AIG Benefit Solutions’
AIG Benefit Solutions offers one of the industry’s broadest and most diverse portfolios of products and services, with solutions for companies and affinity groups of all sizes. AIG Benefit Solutions’ innovative products, which range from Stop Loss and Organ Transplant insurance to Group Life, Disability and Worksite products, form the basis of a portfolio that provides customers with unparalleled choice, flexibility and ease of implementation.
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American General Life Companies, www.americangeneral.com, is the marketing name for the insurance companies and affiliates comprising the domestic life operations of American International Group, Inc., including American General Life Insurance Company of
The underwriting risks, financial and contractual obligations and support functions associated with products issued by
About AIG Benefit Solutions
AIG Benefit Solutions is the marketing name for the domestic benefits division of American International Group, Inc. Underwriting risks, financial and contractual obligations, and support functions associated with products marketed by AIG Benefit Solutions are the responsibility of the underwriting companies, which include American General Life Insurance Company of
About American International Group, Inc. (AIG)
American International Group, Inc. (AIG) is a leading international insurance organization serving customers in more than 130 countries. AIG companies serve commercial, institutional, and individual customers through one of the most extensive worldwide property-casualty networks of any insurer. In addition, AIG companies are leading providers of life insurance and retirement services in
AIG Benefit Solutions
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Source: AIG Benefit Solutions
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