IL Life & Health case studies
IL Life & Health · Put your knowledge to work in context.
The Illinois Life & Health producer license is the credential the Illinois Department of Insurance (IDOI) issues to individuals who sell life insurance, accident and health insurance, or both in Illinois. IDOI administers producer licensing, license renewal, and continuing education, and its Producer Information & Links section is the starting point for anyone learning how to become a producer or how to renew a producer license. The IL Life & Health case studies are 5 cases and about 4,187 words.
1Chest Pain, a Kitchen-Table Application, and the Two-Year Contestable Period
Marcus, 47, applied for a 750,000 20-year term policy on January 12 and named his wife, Elena, primary beneficiary. The agent, who had sold him a 250,000 policy three years earlier, completed the medical questions from memory during a 20-minute kitchen-table meeting.
790 words, about 4 min2A 1035 Exchange, a Surrender Charge, and a Client Who Wants Income Now
Diane, 71, owns a nonqualified deferred annuity purchased six years ago: account value 320,000, cost basis 200,000, a surrender charge of 4% today that grades to zero in two years, and a market value adjustment. Her agent proposes a 1035 exchange into a new variable annuity carrying a seven-year surrender schedule, a 1.25% annual guaranteed lifetime withdrawal benefit rider, and a 1.00% MVA.
825 words, about 4 min3A 14-Month Disability: Offsets, Taxation, and an HSA in Limbo
Priya, 56, earns a 120,000 base salary plus a discretionary bonus. Her employer pays 100% of the premium for group long-term disability coverage: 60% of base salary, a 90-day elimination period, own-occupation for 24 months then any-occupation, an offset for Social Security disability and other income, and a 100 monthly minimum benefit.
801 words, about 4 min4Three Partners, One Buy-Sell, and Two Tax Landmines
Three physicians are equal partners in an Illinois professional partnership taxed as a partnership, each holding a one-third interest. The buy-sell agreement requires the partnership to redeem a deceased partner's interest at fair market value, currently 500,000 per partner.
927 words, about 5 min5Alzheimer's, a Denied LTC Claim, and a Replacement That Looks Bad in Hindsight
Ruth, 72, owns a tax-qualified long-term care policy bought eight years ago through a replacement of an older contract. The current policy pays a 150-a-day facility benefit, has 5% compound inflation, a 90-day elimination period, a three-year benefit period, and covers home care at 50% of the facility benefit.
844 words, about 4 min