Preferred Term Life Insurance

As an eligible physician, you and your eligible spouse or domestic partner can each apply for the amount of coverage that is most appropriate for the financial needs of you and your family – from $25,000 up to $3,000,000.

Once insured, your benefit stays the same to age 70, regardless of changes in your health. Your benefit amount reduces by 50% on the premium due date following your 70th birthday. Premium rates are then based on the reduced benefit amount.

For the first five years your rate is based on your age at issue. Rates may only increase during that time if they are raised for the entire group based on claims experience. After the initial five-year period, your rate is guaranteed to be based on your attained age at each subsequent five-year interval and will not increase due to age during each five-year period unless rates for the entire group increase. This is a unique feature of the AMA-sponsored Preferred Term Life Plan designed to give you the most attractive rate possible.

Should you be diagnosed as having less than 24 months to live, the coverage may advance you up to 60% (up to $500,000 maximum) of your basic life insurance amount. You can use the money to pay medical bills, outstanding debts, or for anything you choose.Your premium payments will be waived for up to 12 months following payment of this benefit. Future premiums will not otherwise be affected by payment of the benefit and will be required to be paid. Your benefit advance is payable only once and will be deducted from your total life insurance coverage. Note: Accelerated Benefits may be taxable. Please be sure to consult your tax advisor.

Allows your life insurance premiums to be waived during a period of covered Total Disability beginning before age 60 (while insurance is in force) and lasting at least 6 consecutive months. Your life insurance will remain in force until your disability ends or you turn 65, whichever occurs first, without further payment of premium. This protection is available to physicians and their spouses under age 55.

This optional coverage provides additional insurance protection equal to your basic life insurance benefit (from $25,000 up to a $1,000,000 maximum) if death is caused by a covered accident. In addition, benefits are payable for the total and irrecoverable loss of both hands or feet or loss of use of both hands or feet, ability to speak and hearing, or loss of sight in both eyes or loss of one limb and sight in one eye due to a covered accident. (Loss must occur within 365 days of the accident). Coverage for this option terminates at age 70.  The policy also provides half of the benefit amount selected for loss of speech or hearing, loss of sight in one eye or loss of one limb.  One-quarter of the benefit is paid for loss of thumb and index finger on one hand.

Lets you or your spouse (not both) insure all your eligible dependent children ages 14 days through age 26 with $25,000 of term life insurance and $25,000 of accidental death and dismemberment insurance each. Once this option is in place, each new child is automatically insured beginning at age 14 days. Each child’s coverage ends when the child is no longer eligible or when the insured parent’s coverage ends. Dependent child coverage is subject to state variations.

Rates are based on various factors including your lifestyle, health history, and the company’s underwriting guidelines. Four (4) rate classes are offered:

• Preferred Plus rates are the lowest rates available. They’re designed for physicians who have not used tobacco in any form during the past 12 months and whose lifestyle and health history meet the Preferred Plus underwriting guidelines.
• Preferred rates are for physicians who have not used tobacco in any form during the past 12 months and whose lifestyle and health history meet the company’s Preferred underwriting guidelines.
• Standard rates are for individuals who have not used tobacco in the past 12 months.
• Tobacco rates are for individuals who have used tobacco in the past 12 months.