Berkshire Life Insurance Company of America now can help purchasers of individual disability insurance protect more retirement plan contributions against the risk of loss of income.
Berkshire, Pittsfield, Mass., a unit of Guardian Life Insurance Company of America, New York, says it is increasing the retirement contribution protection limit available through its Retirement Protection Plus program to $46,000 per year for insureds under age 50 and to $51,000 per year for insureds ages 50 and older.
The increase, available due to a recent Internal Revenue Service decision, means that insureds under age 50 can protect up to $3,840 per month in retirement income, and older insureds can protect up to $4,250 per month in retirement income.
Guardian also has reduced the need for applicants to prove that they have been making contributions and to prove that they are using a qualified plan that really exists.
If applicants are applying for a benefit of up to 15% of their earned income, or 19% of income if the retirement plan is employer-paid, then they can simply check a box on the disability insurance application indicating that they participate in a qualified plan.