Colonial Life has unveiled an enhanced whole life insurance option, which helps America’s workers fill the trillion-dollar life insurance gap.
Employer-provided group life coverage is the only life insurance most people have — and it’s not nearly enough. LIMRA estimates a growing $16 trillion gap between the amount of life insurance America’s workers need and the amount they have.
Even those employees who have life insurance coverage may want to rethink their choices and consider options. Today’s historically low interest rates may leave employees with a difficult choice: paying more or accepting less.
Colonial Life’s improved whole life product provides guaranteed rates and coverage, so policyholders know how much their policies will cost and what they’ll be worth when needed the most – regardless of the interest rate. And while Colonial Life products are sold through the workplace, employees are guaranteed the right to take their policies with them when they change jobs or retire through portability, with no increase in cost.
The coverage options allow policyholders to change their coverage as their needs, and those of their families, change. These options include riders for accidental death benefits, waiver of premium, and spousal and child term coverage. There are also separate whole life policies available for spousal and child coverage
Here are some of the benefits of the enhanced Colonial Life whole life policy:
Guarantees: The premium is guaranteed to remain the same for the life of the policy. And a guaranteed cash value builds as the policy ages. Employees will always know the amount of their death benefit and premium payment. The death benefit is guaranteed as long as premiums are paid when due (until the policy endows at age 100).
Flexibility: Policyholders seeking to fully endow the guaranteed benefit earlier can choose options of a paid-up policy at age 65 or age 95. That way, employees have the flexibility of not having to pay premiums until endowment.
Portability: Employees can keep their coverage for as long as they choose, even if they change jobs or retire. They can simply choose one of Colonial Life’s convenient individual payment methods to continue paying the same premiums.
Juvenile coverage: Rates are lowest when children are young, and buying a policy protects them against the chance an unexpected accident or illness could make life insurance more expensive — or even unavailable — later on.
Colonial Life assistant vice president for product and market development Pam Jenkins said: “Life insurance is a gift of love. You buy it because you care about the people who are left behind.
“Adjusting to the loss of a family member is difficult enough; life insurance helps employees protect their families from a potentially devastating financial loss, as well. A strong whole life policy simplifies the process of ensuring a family’s protection during a period of loss.”
This is a limited policy. The policy or its provisions may vary or be unavailable in some states. The policy has exclusions and limitations that may affect any benefits payable. Colonial Life insurance products are underwritten by Colonial Life & Accident Insurance Company, for which Colonial Life is the marketing brand.