A Cross Selling Opportunity That Often Goes Overlooked

With medical advancements, people are able to survive critical illnesses which may in the past have resulted in a death.  While your clients can rest easy knowing they have a higher chance of survival if they receive an unsettling diagnosis – they also have to afford living with the condition, which can create a severe financial strain if they are not properly covered.

For clients who are looking to protect themselves from the financial burden medical expenses would bring, there is Critical Illness Insurance.

Critical Illness Insurance offers a tax-free lump sum payment on first diagnosis of any one of a list of serious illnesses – including cancer, heart attacks, or stroke.

With comprehensive benefit plans and affordable costs – you could find coverage to fit any client’s budget, with benefits up to $500,000.  For a total of $57 a month, a female, age 45 could receive a $50,000 lifetime benefit with the option to choose 10-15-20- or even 30-year coverage periods.

With Critical Illness Insurance, your clients’ premium dollars are, in essence, being put into a safety deposit box, which can be collected in one of three ways:

  • The policy will pay the face value in the event your client is diagnosed with one of the 12 covered illnesses, including cognitive impairment or Alzheimer’s Disease
  • The policy will pay the face value to your beneficiary in the event your client passes from one of the covered illnesses
  • 100% of all premiums paid towards the plan will be returned to the beneficiary as a tax-free death benefit if your client passes for any other reason

While most critical illness policies have a reduction of benefit at age 65 – we have contracts that extend the full benefits out to age 70. In addition, any benefits after age 70 would still pay a full benefit for cognitive impairment or Alzheimer’s Disease.

Traditional health insurance plans, while the most common form of protection, will only cover hospital and pharmaceutical expenses.  However, additional costs, such as insurance deductibles, childcare, insurance premiums, and short-term home health care would be billed directly to your client – who should be recovering, not stressing about how they will pay the bills.

Critical Illness Insurance is one of the best kept secrets in the industry and provides advisors a great opportunity right now to meet more clients, help more families and increase sales.

Look to your clients with a family history of Cancer, Heart Disease, or Hypertension.  They are very likely to be interested in purchasing protection.

The likelihood of surviving a critical illness grows every year, as does the threat of being diagnosed with one.  Contact your Disability Insurance Specialist for detailed information about a plan that meets each of your clients’ needs and budget.

How To Increase Your DI Sales

Full-Time Independent 1099 contractor groups are now eligible for multi-life discounts or Affinity Business Discounts.

Typically the employee must be part of an employer group, work full-time, and receive W-2 wages to qualify for a multi-life discount.

Now, small groups of 3-14 employees and contractors can qualify for an Affinity Business Discount without any employer sponsorship and receive only 1099 income.

Who is Eligible?

Under the Business Affinity Discount Guidelines, eligibility is available to groups of 3 or more individuals applying at the same time who are:

  • Employees and/or 1099 contractors under a common employer


  • Are members of a local professional employer organization

Each applicant must have an issue age of between 18 to 70, and Occupational class of at least 3A.  The launch of the Business Affinity Discount makes now a great time for you and your clients to discuss the exceptional benefits of Disability Insurance at an even better price.

The following professions also represent potential sales opportunities:

  • Accountants
  • Independent Insurance agents part of an agency
  • IT Professionals
  • Real Estate Agents
  • Consulting Groups

Please contact your Disability Income Sales Rep for additional information.

Business Owners Protect Their Business With Key Person DI

The loss of a key person employee could be incredibly detrimental to the future success of a company.  While a majority of businesses offer Key Person Life Insurance should their superstar employee prematurely pass, what would they do if their key employee suffers an Injury or sickness that keeps them out of work for a lengthy period of time?

Consider Key Person Disability Insurance:

Employees are 8 times more likely to suffer a disabling sickness or injury before they retire, than they are to pass away.

Key Person Coverage provides the crucial benefits and cash flow a company needs to move forward, while maintaining profitability if a key person were to incur an injury or illness.

How It Pays:

After 90 days, benefits for Key Person Insurance will typically pay 150% of the employee’s salary over 12 months – providing enough time to recruit, hire, and train a replacement without losing any profits.  In some cases, benefits in excess of 150%, unrelated to income, may be obtained.

Companies are able to use these benefits to hire a temporary employee if the prognosis is short-term – or to defray the costs related to finding a replacement if the disability is permanent.

A lump sum benefit could provide a capital infusion to a firm with a single cash payment.  This approach is typically used when a firm has significant cash flow, or savings for a temporary disability.  However, a long period of disability may cause a major financial pinch, creating the need for a lump sum benefit.

With an elimination periods of twelve months, benefit amounts may be up to three times the annual income of the key person.  Larger benefits are also available, subject to financial justification.

Additional information can be provided to demonstrate the value and likely loss a firm will suffer in a key person’s absence.  Contact your DI Sales Rep to discuss a case.

5.82% Investment Return “Equivalent” Guaranteed

Some clients may understand the need for Disability Income Insurance, but still resist purchasing because they don’t want to “lose” those premium dollars if they never use the coverage.

For many, the purpose of buying Disability Insurance (DI) is so they can sleep at night knowing if they get sick or hurt one day everything will be okay financially.

But what if nothing serious happens to your client during their working lifetime that prevents them from working?  They have paid premiums to a policy for years that never was used.  Having some peace of mind may have a cost, but there is a way to mitigate that cost.

There are income protection plans available with return of premium options that pay back the premium to your clients (income tax free).

This is how it works:
  • A 39-year-old male Real Estate Agent earning $110,000 qualified for an Income Protection Plan that would pay him $5,000 each month (tax free) if he got sick or hurt and could not work.
  • The premium for the coverage is $119.73 per month.
  • If he reaches age 67, his total premium paid would be $38,094.
  • If he adds the Return of Premium Advantage the additional cost would be $79.02 per month for a total premium of $198.75 per month.
  • At age 67 with no claims being paid, the Real Estate Agent will receive a check for a tax-free amount of $63,236 – which is the investment return equivalent of 5.82% guaranteed* on the additional $79.02 monthly premium.

This “money back DI” solution can be offered on a long-term or even short-term policies.  One option of the return of premium rider provides a lump sum return of a specified percentage of premium paid every 10 years (80 percent or 50 percent) less any benefit you receive.

Reach out to your clients to find out if they have been reluctant to purchase individual DI coverage because they feel they would be throwing money at a policy they will never use.  Although policy premiums will be higher with the return of premium option, emphasize the “value” of being able to use the returned amount any way your client wishes – perhaps a lump sum payment on the mortgage or add to their retirement fund.

Contact your Disability Income Specialist with any questions or if you would like to see a proposal for yourself.

*The IRR will vary subject to clients age, occupation, and benefit amount.

DI Case Study On An NFL Running Back

As the 2021-2022 football season is ready to start at full throttle, now is the perfect time to share a case study for an NFL running back we worked on.

In this case, the NFL Running Back being drafted in the second round of the NFL draft and completing three successful seasons, the player was approaching free agency and his biggest paycheck to date.  To protect himself and his future income, he needed an insurance policy in place before he hit the field in the fall.


Due to the physical nature of the sport, it was made apparent that if the player suffered an injury or illness resulting in a permanent total disability before he signed a new contract, his future income would be lost.  The first policy placed covered $5 million in benefit, but his recent stellar performance moved the advisor on the case to request an increase in disability benefit at the time of renewal.


Our Disability Income Support Team worked with the player’s Agent and Insurance Advisor to develop a $10 million permanent total disability policy, which would soften the blow in the event the player became permanently totally disabled before his next big contract was signed.


This tax-free benefit gave the player peace of mind – if he suffered a serious injury or illness while playing football, his future contract and lifestyle would be protected.

The premium for this case was roughly $90,000 plus taxes and fees.

Even though NFL super-stars need specialized coverage due to the nature of their sport, it’s important to remember that high-earning individuals have a gap in disability income protection as well.

Contact your DI Sales & Marketing Specialist for more information on unique DI solutions.