Class Notes (837,689)
Canada (510,396)
MTHEL 131 (111)
David Kohler (106)
Lecture 10

MTHEL131 lecture 10.docx

4 Pages
205 Views
Unlock Document

Department
Mathematics Electives
Course
MTHEL 131
Professor
David Kohler
Semester
Fall

Description
Top disability insurance providers: • RBC insurance o bought small life insurance company o bought the Canadian Operations of UNUM (disability insurance operators) • Great west life • Canada life Importance of Individually owned disability insurance Important aspect of policy that can be tailored to your own needs: • Benefit amount (amount of coverage stated in monthly terms) o 60-70% of monthly income from employment only (not investments) o Prevent over-insurance (concern of insurer) so employed individual is not earning more when they are disabled as they are when they’re working • Waiting period (length of time between first day of disability and first day of payment) • Benefit Period (until you are able to return to work or you reach the end of your benefit period ) • Occupation (professional earning >$100K, professional earning 4-6 months Ex: Brain surgeon with 1. OWN OCC • develops twitch in hands • insurance will pay 2. ANY OCC • Develops twitch in hands • Insurance will not pay If policy claimed, and disability resolved: • Policy owner returns to work • Benefit payments stop • Policy still in act Claim will always be approved in worst case scenario, no matter the policy or occupation (ie. Acoma) Tax on disability benefit: • If you pay the premiums yourself, and become disabled, the benefit you receive will be tax-free • If someone else pays even a portion of your premiums (ie. Employer), upon disability the benefit is taxable EX: Employer put together group benefit package, including: • Dental • Health insurance with prescription drugs • Outside of Canada health insurance • Small amount of group life insurance • Disability insurance Employer must provide a minimum of half the premium cost The benefit amount of the long-term disability insurance will be taxable Riders on disability insurance 1. Waiver of premium (WP): • If you become disabled, insurance company will wave premiums during waiting period (first
More Less

Related notes for MTHEL 131

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit