In addition to providing basic disability protection, many of todays DI buy-out products offer new features that can benefit the client. Here are some product features that you should consider when examining which product youll recommend to your clients. In essence, they can help improve the ease of the sale, which is why its important to ask:
Is there a lump sum benefit? Some carriers in the DI market today are offering up to a $1 million lump sum benefit in as little as a 365-day elimination period. Other carriers wont take this kind of risk, so make sure to ask the manufacturer.
What is the maximum benefit amount? Historically, some carriers have had a $1.5 million limit on their payouts. Today, on installment payout methods, carriers have, in some cases, offered up to $2.5 million in benefits amounts. Find out what the benefit amount is for the product youre considering.