This benefit pays a percentage of the insured amount if the insured is dismembered in an accident. The percentage varies depending on the loss sustained by the insured.
Issue Ages - (Age nearest)
Benefit Amount
- Minimum: $10,000
- Maximum*: the lesser of:
- $250,000
- 200% of the total amount covering the insured
* For face amount < than $25,000, the maximum is $50,000.
Benefit Cost
- Fixed - Guaranteed
- Ceases to be payable on death or when the insured turns 70
Termination of Coverage
The earliest of:
- the insured's 70
birthday
- the death of the insured
- the date the contract is terminated
Characteristics
In the event of dismemberment, 100% of the benefit amount will be paid, to a maximum of 200% in the event of multiple losses sustained in the same accident (see list of covered limbs in the contract).The benefit may be doubled in certain circumstances (e.g. accident aboard public transportation).
A benefit is payable for each loss providing that they result from a separate accident.
If the insured dies within one year of the accident, and a benefit has already been paid, it will be deducted from the life insurance amount to which this benefit is attached.
Examples
1) Life 20: $10,000
ADis available: between $10,000 and $50,000.
You can offer between $10,000 and $50,000 in ADis coverage because the total amount of insurance is below $25,000.
2) Life 20: $10,000
Term 20: $100,000
On the same insured.
ADis available: between $10,000 and $220,000.
You can offer between $10,000 and $220,000 in ADis coverage because the total amount of insurance is $110,000 ($10,000 + $100,000); 200% of $110,000 equals $220,000.
3) Life 20: $10,000
Term 20: $250,000
On the same insured.
ADis available: between $10,000 and $250,000.
You can offer between $10,000 and $250,000 in ADis coverage because the total amount of insurance is $260,000 ($10,000 + $250,000); and the maximum of $250,000 has been reached.