Help Me Understand Actuarial Deductions?
- Thread starter nbrz
- Start date
Yes but let's say it was more like a year or two. You may get 220k of the 250k while you're alive and then your beneficiaries would get 250k when you died.
- Thread starter
- #13
I won't be dying anytime soon. Thanks for the clarification...So I am going to accept $117K...I guess that's is better than getting NOTHING. I wished someone would have explained this to me when I first got the policy, would have helped. I was assuming if I got ill and I was going to get my policy advanced.....NOT we have to DEDUCT from it first before we can give it to you. I don't think many agents even knew about this...The agents I spoke to had no idea.
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The good news is that you actually get to use some of your death benefit while you're alive.
Most people never get that chance.
Good luck to you.
I dont know how an agent would have "no idea" about how these are calculated.
Both you and the agent signed a form at time of application explaining this and it likely included an example detailing exactly what you're experiencing. A copy of that form should be toward the back of your policy.
You have to pay extra if you want more predictable benefits.
"Free" or "built in" benefits come with a cost on the backend.
The good news is that there are a lot of term policies that don't have those benefits so at least you got something.
- Thread starter
- #16
True. It's kinda like hitting on a slot machine....except this slot machine is Stroke, Cancer, or Heat Attack. I came out with a Stroke and I SURVIVE and not permanently cripple. Best Case Scenario. i should be thankful some people don't survive.
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- #17
He told me that there will be a "minor" deduction if I ever filed a claimed. May be something like 10%. Now that it came back at 53% of the cost to my advanced portion. Yeah, a little surprise!
- 24,978
May not be a big consolation but it my be income tax free. Consult your Tax guy.
Good buddy of mine had a stroke two weeks ago while we were in the middle of an Honor Guard. Almost fully recovered. Glad you are here to file your claim.
Good buddy of mine had a stroke two weeks ago while we were in the middle of an Honor Guard. Almost fully recovered. Glad you are here to file your claim.
Most of the examples on the accelerated DB form use a 50% example. At least from most of the carriers that I write.
Why would they make more money if he remains the owner. Change of ownership does not affect the contractual benefits of the policy.
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