CARMEL, Ind., Jan. 14, 2021 /PRNewswire/ -- Washington National Insurance Company, a national provider of supplemental health and life insurance products for middle-income Americans in the worksite and individual markets, announced today a new group term life insurance product, Monthly Income Protection.
Unlike typical life insurance that pays out in one lump sum, MIP structures the death benefit in reliable monthly payments, similar to a monthly paycheck. Monthly benefits can help surviving beneficiaries cover ongoing household expenses for several years.
"Many people work hard to provide a stable, comfortable life for their families. Often, when there's a death, families struggle to pay the bills without their monthly income from the primary wage earner," said Mike Heard, president of the Worksite Division of CNO Financial Group. "Monthly Income Protection is an innovative and affordable way to address the need for income replacement. The continuation of monthly payments after the loss of a loved one helps them think about their next steps without having to make dramatic life-changing decisions right away."
MIP will be offered through businesses and employer groups looking to enhance their life insurance benefits offered to their employees.
"This unique term life insurance product will be the first of its kind to be offered to businesses and employer groups," added Heard. "The majority of Americans get their life insurance through their place of employment. Over the past year, we've never been more forcibly reminded of the importance of preparing for the unexpected. MIP can help employees protect their families and have a more secure future."
In addition to the monthly income death benefit, employers can also offer their employees the option of choosing an additional lump-sum death benefit from $10,000 to $25,000, which can be used to help cover final expenses and other immediate financial needs.
The top benefits of Monthly Income Protection include:
- Income Replacement – Employees can select from two-, three- or five-year plans that can help replace their monthly income in the event of their death during working years.
- Optional lump-sum death benefit – Employees are commonly left without life insurance coverage when they retire. However, MIP offers an additional $10,000 to $25,000 optional lump-sum death benefit that requires no additional premiums after the age of 65 for policies issued between the ages of 18 and 55.
- Affordability – Employees can select a monthly income amount and benefit period that fits their budget.
- Portability – While most worksite-based life insurance plans require an employee to apply for new coverage elsewhere if they leave a job, MIP offers employees the option to keep their coverage.
Washington National's product portfolio also includes universal life and whole life insurance, and supplemental health insurance for individuals and families that covers critical illness, cancer, strokes, accidents, and hospital stays.
MIP will be available in 49 states, the District of Columbia, and U.S. territory Puerto Rico.