MMC Benefits Handbook
Accelerated Benefit Option
Can I receive the benefit prior to my death?
The GVUL Insurance Plan contains an Accelerated Benefit Option for employees. If you are certified by a medical physician to have a life expectancy of six months or less and you are not expected to recover, you may receive an "advance" (subject to certain maximum limitations) against life insurance proceeds payable at the time of your death. Currently, the maximum is 80% of the benefit, payable, but no more than $1 million. Payment is made in a lump sum. Any payment made in advance will be deducted from the death benefit when you die.
The Accelerated Benefit Option is payable as long as you are eligible to receive this benefit and are not subject to any of the exclusions described below.1
How do I file an Accelerated Benefit Option claim?
A certified claim form must be completed by your physician showing proof of your terminal illness. You can obtain an Accelerated Benefit Option claim form on www.mmcvoluntarybenefits.com. The Claims Administrator must then approve your request to receive an accelerated benefit.
Are there limitations to the Accelerated Benefit Option?
There are exclusions that would prevent you from claiming an accelerated benefit under the Plan. The accelerated benefit will not be paid to you if:
1The Accelerated Benefit Option is subject to state regulation and is intended to qualify for favorable federal income tax treatment, in which case the benefits will be excludable from your income and not subject to federal taxation. This information was written as a supplement to the marketing of life insurance products. Tax laws relating to accelerated benefits are complex and limitations may apply. You are advised to consult with and rely on an independent tax advisor about your own particular circumstances. Receipt of accelerated benefits may affect your eligibility, or that of your spouse or your family for public assistance programs such as medical assistance (Medicaid), temporary Assistance to Needy families (TANF), Supplementary Social Security Income (SSI) and drug assistance programs. You are advised to consult with social service agencies concerning the effect that receipt of accelerated benefits will have on public assistance eligibility for you, your spouse or your family.