DI Coverage Without the Elimination Period
Typically, traditional Disability Coverage offers income protection for two or more years due to an accident or sickness that prevents your client from performing the material duties of their job.
The problem with traditional coverage is that your client is usually exposed to a 30 to 365 day window of time where they might not be covered. By combining two DI products, you can provide your clients with no-wait income protection- a feature that is a true rarity in the industry.
With reduced elimination periods on Short-Term products, your clients can receive Day One income protection.
The reduced elimination makes this a great option for those with little or no cash reserves.
By combining a Short-Term Accident Only product with a Short-Term Accident and Sickness or a Long-Term Accident and Sickness policy, you can extend your clients’ coverage so they receive benefits starting Day One in case of an accident.
For example:
You can combine a Short-Term Accident Only policy with a 0-day elimination period and a Long- Term Accident and Sickness policy with a 90-day elimination period.
This gives the client a 0-day accident/90-day sickness elimination period. The Short-Term Accident only policy would feature a three month Benefit Period in order to help keep the premiums reasonable while the Long-Term Accident and Sickness policy could have a benefit anywhere from two years up to age 67.
| Short-Term Accident Only | Long-Term Accident and Sickness |
| 0-day Elimination Period | 90-day Elimination Period |
| 3-month Benefit Period | 2 years – To-age-67 Benefit Period |
As long as the two products don’t overlap, there are numerous potential variations available to your clients.
Creating comprehensive coverage from Day One for accidents is just one more way that you can separate yourself from other potential producers.
Contact us today for a dedicated Disability Specialist & to learn more about how you can offer your clients Day One income protection.