TransElite Universal Life with Long Term Care benefits

Overview

 

Georgetown University is delighted to offer a new voluntary benefit in partnership with the Todd Benefits Group: the TransElite Universal Life insurance program with Long Term Care benefits. The TransElite program adopts an innovative linked benefit approach to address both life and long-term care needs that differ from traditional long-term care policies. TransElite recognizes consumers’ desire for flexible coverage and allows them to use their benefits when most needed. With one policy, you could protect against the two biggest risks that people face during their working years and at retirement: premature death and the need for long-term care services.

Key Features of the Transelite program

VIEW THE ONLINE INFORMATION MEETING at www.toddltc.com/hoyas

A dual-purpose Universal Life program that advances the insured the death benefit for long-term care needs.  The policy will also pay long-term care benefits as long as the insured can't perform 2 out of 6 Activities of Daily Living (ADLs) and/or has a Severe Cognitive Impairment.

Guaranteed Issue – A one-time guaranteed issue offer to obtain coverage for a face amount up to $150,000 is available to new benefit-eligible Georgetown employees who work at least 20 hours per week. If additional coverage is desired, up to $500,000 may be purchased with reduced medical underwriting. Spousal coverage is also available on a guaranteed issue basis for a face amount of up to $20,000 and simplified underwriting (4 health questions) for up to $100,000 of coverage.

Life Benefits Rider (LBR) – Long-term care benefits are paid monthly at a rate of 4% of the Life Face Amount for a period of 25 months (i.e., a $100,000 face amount would pay $4,000 per month in benefits). Benefits are payable:

  • In cash to provide the insured with the flexibility to hire anyone they choose to provide care (including family members) after a 90 calendar-day elimination period is satisfied
  • In the event of your death, to your named beneficiary in an amount equal to the face value less any benefits paid under the LBR

Extension of Benefits Rider (EBR) – In the event that you continue to need long-term care benefits after 25 months, the Extension of Benefits Rider will continue to pay benefits at the same rate for up to an additional 25 months.
Once EBR benefits are initiated, a paid-up life insurance policy equal to 25% of the original face amount is payable to your named beneficiary upon your death (i.e., a policy with a face amount of $100,000 would pay life benefits equal to $25,000 upon the insured's death).

Optional Child Term Rider – This rider will enable you to insure all of your children (ages 15 days to 26 years) for a face amount of $10,000/child for a single monthly premium of $2.50 or for a face amount of $20,000/child for a single monthly premium of $5.00. At age 26, insured children have the option to convert the term rider to permanent insurance up to a face amount of $50,000 on a guaranteed issue basis.

Premium Waiver – Premiums are waived for as long as long-term care benefits are being paid.

Convenience of Online Enrollment – Enroll online in just a few minutes! Your premiums will be automatically deducted on a monthly basis from your checking/savings account.

Portability – If you change jobs or retire, your coverage will remain in force and premiums will not change as this is permanent life/long-term care coverage.

Frequently asked questions

  1. What are the differences between TransElite and traditional long-term care insurance policies?
    This program addresses the most fundamental question that traditional long-term care policies cannot: “What happens if I never use my traditional long-term care policy?”
    •  If benefits aren’t used with traditional long-term care insurance, all paid premiums benefit the insurance company. If you don’t use it, you lose it.
    • With TransElite, if the Living Benefit Riders are not used, the insured’s beneficiary will receive the full face amount of the policy.
  • TransElite pays monthly cash benefits when long-term care is needed
    • Not required to use licensed agencies to provide assistance
      • Can pay family members to provide care and replace their lost income
    • Not required to submit bills
    • Receive up to double the face amount for long-term care needs as cash benefit
    • Receive benefits sooner with a calendar-day elimination period (deductible)
    • Traditional long-term care policies typically feature a service-day elimination period
  1. Aside from the long-term care benefits, how can TransElite benefit me and my family?
  • You are guaranteed to receive the face value as a pure life insurance benefit (less policy loans)
  • The Accelerated Death Benefit Rider advances 75% of your face value (or $100,000 – whichever is less) if you are diagnosed with a terminal illness with death imminent within 12 months
  • Ability to borrow money against cash value for loans or premium payments
  • The ability to buy term life insurance coverage for all of your children using the Child Level Term Rider
    • Each child can receive either a $10,000 or $20,000 face amount for one premium of $2.50/month or $5.00/month, respectively
    • At age 26, the term coverage ends, but your children will be given an opportunity to purchase up to $50,000 of permanent life insurance on a guaranteed issue basis
  1. What is the difference between permanent life insurance and term life insurance?
  • Premiums for permanent coverage do not change when employment ceases – coverage continues when you change jobs or retire. ACH deduction will continue seamlessly.
  • Group term insurance coverage terminates when employment ends
    • If conversion to an individual policy is allowed, premiums will be assessed at insured’s attained age
      • Medical underwriting may be required
      • Premiums will be higher