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Some useful information about insurances, policies and programs:

Most policies you can purchase now are guaranteed renewable, which means they cannot be canceled by the company as long as the premium is paid on time. This provision is normally found near the front of the policy. It tells under what conditions the policy can be canceled and explains how and when the premiums can be raised. Your policy can be canceled by the company, however, if the company finds misrepresentations on your application. There are a number of reasons that an insurance company may refuse to pay benefits.

Because most disability events are temporary, insurance coverage for them is cheaper when the policyholder agrees to wait longer before receiving claim payments. For example, if you break a finger, it may only be 2 months before you are able to do your job again. If you agreed to wait 60 days before receiving claim payments, then the insurer will not have to pay a claim for your event. This reduction to his risk is reflected in the lower price that you paid to purchase coverage (lower premiums).



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