Meet Our Authors

Keith A. Buck Keith A. Buck, J.D., LLM, CLU, FLMI, is an Assistant Vice President with Pacific Life’s Advanced Designs Unit. He has over twenty-three years of experience working in the life insurance industry as an estate and business planning attorney. As part of his role at Pacific Life, Keith provides support to life insurance […]

Premium Due Notification Issues in Life Insurance

Premium Due Notification Issues in Life Insurance

Many states require that the insurance company must notify the policyowner not more than 45 days or less than 15 days before the due date of the premium. That notice must specify the amount payable, when it is due (the due date), and where it is payable. Some of these statutes penalize the insurer who […]

Additional Purchase Option Riders Available in Permanent life Insurance Policies

Additional Purchase Option Riders Available in Permanent life Insurance Policies

Most commonly, insurers sell permanent policies with attached Additional Purchase Options (APOs) or Guaranteed Insurability Options (GIOs) on the lives of younger insureds. The APO gives the younger insureds who cannot afford the premiums for large face amounts the option to purchase additional insurance without evidence of insurability at specified times in the future or […]

How to Add Disability Income Protection to a Permanent Life Insurance Policy

How to Add Disability Income Protection to a Permanent Life Insurance Policy

The disability income rider provides both a waiver of premium (or a waiver of policy charges) and a supplementary income if the insured becomes totally disabled. The definition of total disability is the same as that used for purposes of the waiver-of-premium or waiver of policy charges riders. Customarily, the policies express the disability income […]

The Disability Waiver of Premium Rider on a Life Insurance Policy Explained

The Disability Waiver of Premium Rider on a Life Insurance Policy Explained

The waiver-of-premium rider is a form of disability insurance that provides that the basic policy (and often other riders) will continue in force if the insured becomes disabled and incapable of paying premiums. However, if policyowners have taken loans against their policy cash values, interest is still due on the loans. If interest on the […]

Why the Application for Life Insurance is Always Attached to the Policy Itself

Why the Application for Life Insurance is Always Attached to the Policy Itself

The policy owner must be provided with a copy of the application that both eliminates uncertainties as to what is contained on it and also assures the policyowner that the policy in his or her hands contains every relevant document. The insured and/or policyowner is given a chance to be sure that his or her […]

Should You Add the Accidental Death Benefit (ADB) rider to Your Life Insurance Policy?

4 Riders that Limit Coverage on a Life Insurance Policy

Many insurers offer an accidental death, or double indemnity, rider that–for a small additional premium–provides some multiple of the base face amount (typically double) if death is accidental. Most experts feel there is little use for this coverage because the insurance need is rarely tied to the means of death. In fact, a nonaccidental death […]

Benefits of the Cost of Living (COL) Rider on a Life Insurance Policy

Benefits of the Cost of Living (COL) Rider on a Life Insurance Policy

The COL rider typically is a term insurance rider providing automatically increasing coverage each year, or every few years, equal to the increase in the cost of living as measured, normally, by the Consumer Price Index (CPI). The insurer bills policyowners for the additional coverage with the regular notice for the base policy. The insurers […]

4 Riders that Limit Coverage on a Life Insurance Policy

4 Riders that Limit Coverage on a Life Insurance Policy

Insurance companies may add certain riders or endorsements to the base contract to limit their liability under the base policy. The most common forms of limitations are the war rider, the aviation rider, the hazardous occupation or hazardous avocation rider, and the limited-benefit-period rider. War Rider The war rider provides that insurance will not pay […]

Consideration for Adding a Term Life Insurance Rider to a Permanent Life Insurance Policy

Consideration for Adding a Term Life Insurance Rider to a Permanent Life Insurance Policy

The most common and familiar rider is the term insurance rider. When purchasing insurance, buyers may add virtually any form of term insurance—increasing, decreasing, or level—to a base permanent policy. The principal advantage to the insured of using a term rider is that the insurer issues the additional insurance on a net cost basis, without […]