Accidental Death and Dismemberment Insurance

The security of the family home can be threatened and even destroyed in the event of the death of the mortgage holder.  Although banks offer group mortgage protection, the advantages of a personalized, individual insurance policy far outweigh that of a group plan as illustrated in the following comparison.

There are many situations where AD&D is an excellent alternative or supplement to life insurance.  Also, many group plans that have life insurance and AD&D benefits, exclude acts of war, terrorism and civil insurrection.  These private AD&D plans will cover these and other catastrophic events.  Some other examples for AD&D are:

Uninsurable Individuals:

  • Any individual who is medically “impaired” and cannot qualify for traditional life insurance will in most cases qualify for AD&D coverage.  A $1,000,000 of coverage for a male or female age 25 to 65 is $1,190 annually.

Interim Needs:

  • A consulting engineer was traveling to Indonesia for a 3-week job.  His recent application for $1.25 million life insurance was postponed until after his return.  The solution:  He purchased $1.25 million AD&D coverage for a one month term, including coverage for war and terrorism.
  • A couple identified an urgent need for $2 million joint 2 nd to die life insurance for estate planning purposes, but they were departing for several months travel and would not be able to apply until they returned.  Subsequently they expected it might take several months to implement the needed coverage.

The solution:  They purchased a $2 million joint 2 nd to die AD&D policy to be replaced once they had full coverage in force.

Foreign Residency:

  • An executive in the energy business was relocated to Kazakhstan for a two-year period. He needed $1 M US of life insurance.  He was declined by traditional markets due to the current political situation in that country.

The solution:  a $1 Million US dollars AD&D policy.

Medically “impaired” cases:

  • A small business owner required $2 million of life insurance as loan collateral.  Due to his health, however, the cost of life insurance was prohibitive.

The solution:  The bank was willing to accept an AD&D policy for $2 million.

Specific Risk:

  • Seven shareholders purchased life insurance (amounts $2 million to $6 million) for buy-sell purposes.  Five of them participated in heli-skiing as a hobby.  This was excluded in their life insurance policies. 

The solution:  Supplementary AD&D policies covering only the heli-skiing exposure.

  • A holding company with several highly paid executives traveled extensively on their corporate-owned jet.   Their group policy excluded AD&D (and LTD) resulting from travel on the jet.

The solution:  A group AD&D (and LTD plan covering only the flight risk)

We can obtain AD&D coverage for face amounts up to $20 million and more.  Plans can be further customized to your specific need.

  • AD&D or AD (accidental death only)
  • Available on individual or group basis
  • Optional Lump Sum for accidental Permanent Total Disability (1 year EP)
  • War/terrorism coverage – stand alone or add-on
  • Canadian or US currency contracts
Ed