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Unum Insurance Overview
Unum insurance plans provide long term disability policies for employees who suffer illnesses or injuries that prevent them from working. The monthly benefit is generally anywhere from 50 percent to 60 percent of the employee’s regular income.
Unum Insurance was founded in 1948 as Union Mutual. The company was chartered in Maine, but built its headquarters in Boston where it issued its first policy in 1849, which was a $5,000 life insurance policy. Union Mutual became Unum in 1986.
Over the years, Unum has acquired or merged with several other insurance companies, including Colonial Life and Accident Insurance Company. After Provident Life and Accident Insurance Company bought the Paul Revere Life Insurance Company, Unum merged with Provident. For about eight years, the company was called UnumProvident Corporation until 2007 when it became Unum Group.
According to the company’s website, “Unum Group is a leading provider of financial protection benefits in the United States, the United Kingdom and Poland, and the largest provider of disability income in the world.”
In addition to disability coverage, Unum offers life, accident, critical illness, cancer, dental and vision coverage.
As a publicly-traded company, Unum has shareholders.
How Much Does Unum Pay?
How much you will receive from an Unum disability claim depends upon the plan your employer has chosen. Short term disability payments may equal up to 60 percent of your monthly income from 9 to 52 weeks, depending on the plan. Long term disability payments also may equal up to 60 percent of your monthly income. The length of time you receive payments vary depending on the long term disability plan, but some will pay through the age of 65 if you remain disabled.
According to Unum’s website, a payable claim is not affected by the cancellation of the long term disability policy or by the termination of the employee’s employment.
“If an employee is on claim and the policy is cancelled or the employee is terminated from employment, a claim will be paid to the same duration it would have been had either event not occurred,” says Unum.
What is the Unum Long Term Disability Policy?
Long term disability generally does not begin until after a waiting period of three to six months. During that waiting period, a short term disability plan may provide payments if you have that coverage, too.
Some employers may request you pay a part of or all of the disability premium, which offers a safety net to anyone who may become unexpectedly disabled.
LIMRA is an association of financial services and insurance companies that conducted a survey in 2017 to see how employees felt about disability insurance. Only 48 percent of respondents said they thought they needed disability coverage and just 20 percent actually said they had disability insurance. Still, 65 percent of respondents believed most everyone should have such coverage.
Unum reports that many long term disability claims are submitted due to cancer and musculoskeletal conditions. Other common reasons include injuries, back disorders (excluding injury), cardiovascular disorders, and joint disorders.
The U.S. Department of Education and the National Institute on Disability, Independent Living, and Rehabilitation Research says that heart disease, back injury, cancer, anxiety, and depression are among the top reasons for disability claims.
Unum pays approved disability benefit payments directly to the claimant. The money can be used however the claimant wishes to use it. Generally, money is paid monthly.
Unum Long Term Disability Denial
Back in 2002, new light was shed on Unum insurance’s business practices. When legendary news program 60 minutes interviewed several Unum employees, the television program found out employees allegedly received rewards for denying so many claims per month. One doctor even said Unum fired him for refusing to deny benefits to claimants with valid claims. Employees also said they felt compelled to terminate claims early in order to save the company money.
Several thousand Unum insurance lawsuits have been filed since the airing of the 60 Minutes show, which unveiled the competing notions of an insurance company meant to provide disability benefits for covered, valid claimants and a business expected to satisfy the money-making desires of shareholders.
If you were denied long term disability coverage by Unum insurance even though you satisfied all of the requirements, the attorneys working with Top Class Actions can assist you in filing an appeal. With the backing of a well-respected lawyer, your appeal has a better chance of success.
If you have applied for Unum long term disability policy benefits and received a denial letter in the mail, you have 180 days from the date on that letter to file your appeal. Your claim denial cannot be more than three years old in order to be eligible for a successful appeal outcome.
