This rider benefit is attached to a disability income replacement benefit and if selected, it is the rate at which a disability claimant’s benefit will increase annually.

The employer may select a rate up to a maximum of 10% and the benefit will increase at the lesser of the selected rate and CPI at the time, as determined by the insurer.

All four of our insurers offer this rider benefit and it is important that the escalation selected is in line with your client’s expectation so as to avoid surprises at claims stage.

Should you require more information, please contact your Associate or the office.

Thank you and regards,

The TSA Team

You’ll find all back issues of TSA Connect by visiting our blog and you can do that by clicking here. All information provided in TSA Connect newsletters is intended to inform and explain, but please remember to always check the current terms on policies when considering options and advising clients.