As reported on April 20, 2016, Metlife will discontinue individual disability insurance sales on September 1, 2016 (they will continue to offer GSI and underwritten policies that supplement GSI policies).
Most of the remaining insurance carriers that offer individual disability insurance, only participate with group LTD to $25,000 or $30,000. A few go to $35,000, but as you can see in the chart, MetLife participates up to $40,000.
| MetLife | |||
| IDI Max Issue | IDI Max Participation (w/IDI) | IDI Max Participation (w/GLTD) | |
|---|---|---|---|
| 6S/6A, 5A, 4A ** | $20,000 | $35,000 | $40,000 |
| 6M, 5S/5M, 5D | $17,000 | $30,000 | $35,000 |
| 5I, 4M | $15,000 | $30,000 | $35,000 |
This aggressive I & P limit has meant that a high earning executive or attorney (for example) with a group LTD plan that maxed out at $15,000 (for example) and with perhaps another $10,000 in individual coverage from another carrier, could still add on up to $15,000 more in individual coverage.
Do you or any of your clients earn enough to buy this level of coverage while it is still available?
$40,000 of monthly benefit means $480,000 a year. This amount is of course a large number to most wage earners—but if one is earning $900,000 (for example) a year it would represent a significant reduction in income.