Office Lobby

Disability Insurance

PAYGUARD REDUCING TERM

PayGuard can become your lifeline when you are sick or injured and unable to work. The benefits you receive from the policy can protect you and your loved ones by providing an income when you can't.

How? Under your Payguard policy you will receive the total disability benefit when, because of sickness or injury, you are unable to perform all the substantial and material duties of your occupation or profession and you are not actually at work in any occupation or profession. You must be totally disabled during the elimination period and continuously remain so beyond the elimination period.

Policy Features

Period of Coverage
The maximum period of coverage may be any increment of whole years from five to thirty years. The length of time that the policy is in force is determined on the date of issue and ends on the termination date. This period of coverage reduces each year until the termination date is reached.

Elimination Period
One, two, three or six months, or one year. No benefits will be paid during the elimination period at the beginning of each period of total disability.

Interrupted Elimination Period
If the elimination period is two months or more and you make an unsuccessful attempt to get back to work before the elimination period is up, the elimination period will not begin all over again if the unsuccessful attempt to go back to work lasts no more than half as long as the chosen elimination period. Instead, the two periods of disability, even if they have different causes, will be combined to determine when your benefits begin.

Benefit for Total Disability
Benefits will start at the end of the elimination period and end when:
  • you recover from total disability or;
  • the policy reaches the date of termination shown in the schedule page.

If Guardian has paid less than twelve months indemnity for a continuous disability that exists on the date of termination:
  • Guardian will continue to pay indemnity after such date while you remain totally disabled until it has paid not more than twelve months of indemnity from the start of such disability.

Waiver of Elimination Period
A new elimination period will not be applied to any period of total disability that starts while the policy is in force, if such disability:
  • results from the same cause or causes and starts within six months after the end of a prior period of disability in which the elimination period was satisfied; or
  • starts within five years after the end of a prior period of disability for which Guardian had paid benefits under the policy and which has lasted more than six months.

Waiver of Premium Benefit
If you are totally disabled for a continuous period of at least 90 days, Guardian will:
  • refund any premiums paid during that 90 days;
  • waive any premiums that fall due during that period of continuous disability; and
  • waive any premiums that fall due within three months after you recover.

Definition of Total Disability
Total disability means that, because of sickness or injury, you are unable to perform all the substantial and material duties or your occupation or profession and are not actually working at any occupation or profession.

Return to the Disability Insurance Product List