Life Insurance and Your Peace of Mind
We can never truly be emotionally prepared to lose a loved one, but we can be financially prepared by having life insurance. September is Life Insurance Awareness Month, a time to learn how to help protect your families’ financial security and future.
Generally, you should get life insurance when family members depend on your income or if you have debt that will carry on after your death. Also, usually the sooner in life you can get life insurance, the better; if you’re healthy, you’ll qualify for lower premiums. But what else should you think about when considering ways to help protect your family’s financial security?
How AFSPA Can Help
On September 22nd AFSPA’s partner in life insurance, The Prudential Insurance Company of America (Prudential), is hosting a webinar titled, “Financial Preparedness in the Event of Tragedy or Adversity.” In this interactive webinar, you’ll learn about:
- Hidden financial risks
- Helpful budgeting tips
- Advice when setting up an emergency fund
- Insurance protection to round out your financial preparation
You’ll also have time to ask a seasoned life-insurance professional any questions you may have.
Click here to register for this webinar.
Other Ways AFSPA Can Help
In addition, AFSPA offers three unique life insurance plans:
- Group Enhanced Life (GEL) is term life insurance coverage that provides benefits in the event of your death and includes some features that enable you to use a portion of your benefit while living.**
- The Accidental Death and Dismemberment (AD&D) insurance covers accidental death and loss, such as paralysis and sight loss, due to accident-related injuries. It includes a Home Alteration and Vehicle Modification Benefit.***
- The Immediate Benefit Plan (IBP) is affordable term life insurance coverage for employees of select agencies*. IBP covers immediate expenses, such as those associated with funeral and final medical costs. A $15,000 or $20,000 benefit ($7,500 or $10,000 at age 70 and over) is paid to the beneficiary, generally within two business days of AFSPA being notified of the death; some insurances may take up to a month or more to send payment.
All of these coverages are issued by Prudential. Learn more about your options and how to determine the coverage you need by browsing through the links above. You can choose to apply for one or all three plans at any time, depending on your needs and eligibility. There is no need to wait for a special “open enrollment” period.
The information shared here is not the insurance contract. The information in the links provides a general overview of the important provisions of the master policies. Policy provisions for the pertinent plan will prevail if there is a conflict between the policy and the website.
*This plan is available only to active duty, U.S. citizen, direct hire Foreign Service and Civil Service employees of the following agencies NOT AVAILABLE TO CONTRACTORS:
· Department of State.
· U.S. Agency for International Development.
· Broadcasting Board of Governors.
· Foreign Agricultural Service.
· U.S. and Foreign Commercial Service (only available to Foreign Service employees of this agency).
** Option to Accelerate Payment of Death Benefits is a feature that is made available to group life insurance participants. It is not a health, nursing home, or long-term care insurance benefit and is not designed to eliminate the need for those types of insurance coverage. The death benefit is reduced by the amount of the accelerated death benefit paid. There is no administrative fee to accelerate benefits. Receipt of accelerated death benefits may affect eligibility for public assistance and may be taxable. The federal income tax treatment of payments made under this rider depends upon whether the insured is the recipient of the benefits and is considered chronically ill. You may wish to seek professional tax advice before exercising this option.
*** These optional benefits are not available in all states.
This site may contain marketing language, on products issued by The Prudential Insurance Company of America, that has not yet been approved in all states.
This coverage is not health insurance coverage (often referred to as “Major Medical Coverage”).
This type of plan is NOT considered “minimum essential coverage” under the Affordable Care Act and therefore does NOT satisfy the individual mandate that you have health insurance coverage.
This policy provides ACCIDENT insurance only. It does NOT provide basic hospital, basic medical, or major medical insurance as defined by the New York State Department of Financial Services.
IMPORTANT NOTICE - THIS POLICY DOES NOT PROVIDE COVERAGE FOR SICKNESS.
Life Insurance coverages and Accidental Death & Dismemberment (AD&D) coverage are issued by The Prudential Insurance Company of America, a Prudential Financial company, Newark, NJ. The Booklet-Certificate contains all details, including any policy exclusions, limitations, and restrictions, which may apply. Contract Series: 83500