How Chronic Illness Living
Benefits Work Through ADB Riders

Chronic Illness Benefits

Early Access to Death Benefits with Phoenix Safe Harbor Term Life Express

Picture this: You spent several years helping your parents settle in assisted living. Somehow, you found the time today to get life insurance for your family. Imagine you suffered a stroke years in the future. The living benefit rider could allow you to access money that may be used for any purpose, including paying for your own assisted care. This would give you the ability to control your quality of life without causing your kids the stress that you felt.

woman paying for the care of her older parents in assisted living

Phoenix Safe Harbor Term Life issues quickly2 and offers basic death protection and more. Unlike basic term life insurance policies without living benefits, this product includes three types of living benefits through accelerated death benefit riders, and a premium waiver during unemployment.3 These riders offer additional flexibility and coverage for a number of unexpected events. We offer them at no additional premium.4

There are over 800,000 stroke victims per year.5

Fortunately, rapid advances in treatments have improved the odds of recovery. Good medical insurance can help cover the costs of the treatment. Even with great medical coverage, though, families can find themselves confronted with lost income and extra expenses that crop up along the way.

While it's not long term care insurance, the chronic illness benefit
on our term life insurance policy could help alleviate financial stress.6

Ready to take the first important step?

Here's how it could work in one hypothetical example:

A 50-Year-Old Woman Buys A Policy

At age 50, the woman purchases Phoenix Safe Harbor Term Life with a 20-year duration with death benefit of $200,000.

2018

She Suffers a Stroke

Seven years later, she has trouble speaking and learns that she suffered a stroke.

2025

She Uses The Policy's Rider Benefit to Pay For Her Care

Her medical insurance plan covers most of the treatment costs. However, she cannot eat or walk without assistance and needs to move to an assisted care facility

She chooses to exercise the chronic illness rider on her Safe Harbor Term Life policy and receives a portion of her death benefit to cover the expenses. She accelerates 50% of her death benefit.

2026

She Still Has $100,000 In Protection

She still has death protection in place for her family, even though her health history may now make finding additional coverage difficult.

2027

Accelerated Death Benefit Calculation Example

Below are estimated payment ranges under the different accelerated benefits, for this Safe Harbor Term Life Policy:

  • $200,000 face amount
  • 20-year duration
  • Female nonsmoker
  • 50 years old at time of policy issue
  • Acceleration election = $100,000 (50%)
  • Remaining face amount = $100,000
Severity Payment
Chronic Illness Temporary $0 - $5K
Critical Illness Mild $10K - $30K
Moderate $30K - $50K
Severe $50K - $70K
Chronic Illness Permanent $75K - $85K
Terminal Illness $95K

Since the acceleration amount is being paid prior to actual time of death, a discount factor is applied, based on our assumption of future mortality for the qualifying condition. The acceleration amount is also reduced by the present value of unpaid future premiums. Chronic Illness claims due to a temporary condition have no change in future mortality, and the discount factor and future premium reduction described may be greater than the acceleration amount elected. These examples are based on company experience across a wide range of conditions. These benefits are not guaranteed. Actual results may be more or less favorable.

Learn in Depth How This Rider Works


We make it easy to create peace of mind through these three easy steps:

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1) Get a quote

See how little it really costs each month to know you are covered by life insurance with Accelerated Benefit Riders.

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2) Complete the application

Fill out our application. It only takes 15 minutes. We will ask a number of a number of questions about your health, who you would like receive the death benefits of the policy, and your bank account for future premium payments.

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3) Spend 5-10 minutes on the phone

Complete the application during a short call with a licensed agent. We have a fast process to get you fully covered in a few days, if you are approved.2

We pride ourselves on the service
we provide people who purchase our policies


Notes

1 The extra benefits referenced are in the form of Critical, Chronic and Terminal Accelerated Benefits Riders. Riders are supplemental benefits added to a life insurance policy and are not suitable unless you also have a need for life insurance. The amount advanced at each acceleration will be reduced based on your condition and life expectancy determined at exercise. Death benefit is reduced by the benefit amount you elect to accelerate. You will not qualify for Phoenix Safe Harbor Term Life if you have been diagnosed with breast cancer within the past two years. Critical Illness Rider is meant for individuals who are diagnosed with a critical illness after the issuance of a life insurance policy.

Receipt of Accelerated Benefits may be a taxable event and may affect your eligibility for public assistance programs. Please consult your personal tax advisor to determine the tax status of any benefits paid under this rider and with social service agencies concerning how receipt of such a payment will affect you.

2 We offer Phoenix Safe Harbor Term Life through an accelerated underwriting process. We offer Phoenix Safe Harbor Term Life Express through a simplified issue process.

3 A 24 month waiting period applies.

4 An administrative fee will apply if rider is exercised.

5Center for Disease Control & Prevention, Stroke Facts, 2017.

6 An administrative charge and an adjustment for future unpaid policy premiums will also apply. Multiple benefit elections are allowed for chronic and critical illnesses. For Chronic, one election per calendar year. For Critical, 180 days required between elections. The Critical Illness rider does not provide health coverage and is not Long Term Care Insurance. Exercise of the rider will result in an accelerated death benefit which will reduce the policy face value otherwise payable under this policy. See product brochure for additional details.


Important Disclosures

Insurance Products: NOT FDIC or NCUAA Insured NO Bank or Credit Union Guarantee.

Product features, riders and availability may vary by state. The Critical Illness Benefit rider is not available in CT

Phoenix does not provide individual tax advice. Please consult your personal tax advisor for assistance.

The ability to apply for coverage over the phone directly with Phoenix licensed agents is available in AZ, CO, CT, GA, FL, IL, IN, LA, MA, MD, MI, MO, MS, NC, NH, NJ, OH, OR, PA, SC, TN, TX, VA, WA, and WI at this time.

Guarantees are based on the claims-paying ability of the issuing company.

Phoenix Safe Harbor Term Life and Phoenix Safe Harbor Term Life Express (ICC14PPTL, 14PPTL) are issued by PHL Variable Insurance Company (PHLVIC) (Hartford, CT). PHLVIC is not authorized to conduct business in Maine and New York.

Members of The Phoenix Companies, Inc., a Nassau Re Company