Life Insurance Living Benefits
Does life insurance cover chronic illness?
Many life insurance policies include chronic illness riders or living benefits that allow you to access a portion of the death benefit if you are diagnosed with a chronic illness. A chronic illness is typically defined as the inability to perform 2 of 6 activities of daily living (ADLs).
Key Points
- Chronic illness rider: access death benefit for chronic illness
- Chronic illness: inability to perform 2 of 6 ADLs
- ADLs: bathing, dressing, eating, toileting, transferring, continence
- Accelerated death benefit: reduces the death benefit paid at death
- An independent agent can help you find life insurance with chronic illness riders