Topics

Living Benefits

• What is Living Benefits?
  Living Benefits is an enhancement to your AXA Equitable insurance policy. It allows you to use a portion of the death benefit from your policy if the insured person is medically diagnosed with a condition limiting life expectancy to six months or less (twelve months or less in Vermont and Oklahoma).

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• How do I include Living Benefits in my policy?
  When introduced, Living Benefits was made automatically available - free of charge - to almost all AXA Equitable policies with face amounts of $5,000 or more that were issued prior to March 1, 1994 (or the date of state insurance department approval, if later) on an as needed basis.

  Today, generally speaking, if you apply for an AXA Equitable life insurance policy with a face amount of at least $50,000 and which is subject to underwriting, the Living Benefits rider is automatically included - unless you specifically asked to have it excluded. There is no charge if the rider is included at issue. If, however, you initially excluded the Living Benefits rider and wish to add it after the policy has been issued, you will be charged an administrative fee of $100. In addition, we may require that the insured undergo blood testing and provide evidence of insurability to add the rider at a later date.

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• How much money can I get as Living Benefits?
  Generally, you can receive any amount between $5,000 and 75% of the proceeds (25% in Vermont, Oklahoma and Illinois) that would be payable at death, up to a maximum of $500,000. If you own more than one policy, the combined maximum you may request for all policies issued by each AXA Equitable subsidiary is $500,000.

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• If I receive a Living Benefits payment, does it affect how much is left to my beneficiaries?
  Yes. A Living Benefits payment acts as a lien against your policy. It reduces the death benefit payable to your beneficiaries. It also reduces the amount of money available for loans as well as the cash value of your policy. The lien equals the amount of the Living Benefits payment you receive, plus accrued interest.

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• Is a Living Benefits payment taxable to me?
  It may be. You should consult with your personal tax advisor on this issue.

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• What happens to my policy if I receive a payment and the insured person lives longer than expected?
  Nothing, unless the amount of the lien (including interest, plus policy premiums advanced by AXA Equitable, if any) reaches a point where it equals the total death benefit payable under the policy. In this case, you may repay the lien or let the policy terminate.

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