Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101–12213 (2000).
2.
Provident Life and Accident Insurance Company, Individual Income Protection Insurance (2001): at 10.
3.
Individual business disability insurance includes business overhead, buy/sell, and key person insurance. Business overhead reimburses the business for the insured individual's share of the expenses. Buy/sell provides the funding for the purchase of an individual's share of a business if disabled. Key person pays a benefit to the employer to hire a replacement for a key employee in the event of that individual becoming disabled.
4.
Group disability policies may have an option elected by the employee to purchase an increased amount of coverage. Some employees will apply for coverage after the open enrollment period ends (late enrollees). The amount of optional coverage and the entire amount of coverage for late enrollees are typically medically underwritten. Individual policies may be offered to groups of people (e.g., all the partners in a law firm) with a set amount of coverage guaranteed to be issued on a standard basis. This is done when the group is large enough and has other characteristics so that it has the risk dynamics of group disability insurance. The guaranteed amount is not medically underwritten, but any additional coverage applied for is medically underwritten.
5.
Optional benefit riders include cost of living adjustment (COLA) and future insurability option (FIO). COLA provides protection against inflation. It can be linked to the federal consumer price index or be a percentage determined at the time the policy is issued. FIO provides the ability to purchase additional insurance in the future without medical underwriting at that time.
6.
Individual disability insurance policies have generally been non-cancelable contracts. These contracts cannot have their premium increased. Some policies are issued on a guaranteed renewable basis, and there is the possibility of increasing the premium.
7.
This is the concept that underwriters have one chance to assess the risk correctly. If an applicant disagrees with the underwriter's decision, s/he may appeal and provide additional information supporting a different assessment of the risk associated with the particular medical disorder. Companies also have a policy change area that receives requests to alter policies by actions such as decreasing the premium or removing exclusion riders. This request may be based on a clinical improvement in the condition or advances in medical knowledge.
8.
UNUM Life Insurance Company of America, Group Longterm Income Protection Insurance (2001): LTD-BEN 7.
