| Your Insurance Benefits Explained |
A Brief Description of Different Types of Insurance PlansLife Insurance:In addition to the physical and emotional loss of a loved one, financial despair is also a by-product of a premature death. While your presence cannot be replaced, a life insurance policy can replace the financial void your family will experience. Life insurance is simply a contract between you and the insurance company that promises to pay your beneficiary a certain amount of money upon your death. Before a contract can become effective, you must submit an application and have the insurance company accept it. To keep the contract in place, you agree to pay the premiums. The amount of the premium, depends upon several factors including your age and amount of insurance. You can choose either Term Life, Whole Life or Universal Life products. Simply put, term life premiums go exclusively toward death benefits where whole life and universal life premiums divert some of your premium towards growing cash value. Generally for the same premiums, you can secure higher limits of insurance with term life insurance. Why Do I Need Life Insurance? Your family depends upon your income to live. We need a life insurance policy if we have inadequate savings, significant financial obligations such as a mortgage, a spouse or dependent children or an aging relative who depends on our support. There are many other reasons individuals and families need life insurance where the interruption of your earnings creates immediate or future financial difficulties. The amount of insurance needed depends upon your circumstances and will vary from individual to individual. As a general rule of thumb, some financial advisers recommend 5 to 7 times our annual income as the amount we should consider for life insurance. A financial adviser or insurance professional can help provide specific advice. CSEA-Sponsored Term Life, Whole Life and Universal Life Plans Explained CSEA together with their insurance partners, have specifically designed a variety of individual and group life insurance products. As part of CSEA, you can benefit from these programs that offer special enhanced features not normally available to the general public and at reduced pricing. These plans can include insurance coverage for you, your spouse and children. This is where you can conveniently budget the cost of this essential benefit through automatic payroll deduction. Use these links to find specific details about these special programs. Security Term Life Premier Insurance Plan The Family Protection Whole Life Insurance Plan Estate Master Select Universal Life Insurance Plan Disability Insurance Explained A Disability Income Plan pays a monthly benefit if you are unable to work because of a sickness or accident on or off the job. This monthly Benefit Amount will begin after a specified Waiting Period and will continue for a specified Benefit Period. Your eligibility for benefits will be determined by your group policy including its Exclusions and Limitations, Pre-Existing Conditions and Coordination of Benefit provisions. For further explanations of your CSEA sponsored plan and some frequently asked questions and answers, click here. here. Critical Illness Insurance Explained A Critical Illness Policy, also called Specified Illness Insurance, provides additional insurance protection in the event of certain specified illnesses such as cancer, heart attack, stroke, renal kidney failure and a condition requiring a major organ transplant. Most major medical plans provide coverage for catastrophic expenses. However, not all expenses associated with an illness are covered by our major medical plans. Critical illness plans will typically pay a lump sum benefit that can be used to meet the out-of-pocket expenses such as deductibles, coinsurance, travel, phone, household help, etc. There is no coordination of benefits. Full benefits are paid directly to the insured regardless of what he/she may collect from any other insurance. This type of coverage acts as a supplement to our primary health plans and may not, by law, be used as a substitute. Under New York law, anyone who is not insured under an individual or group policy that arranges or provides basic hospital and basic medical and/or major medical insurance is not eligible for Specified Disease Insurance. For further explanations of your CSEA sponsored plan and some frequently asked questions and answers, click here. How Much Do I Need? How Much Will It Cost? How Do I Apply? Back to Top |
|