Disability Insurer Profiles: MassMutual

Founded in 1851, Massachusetts Mutual, more commonly referred to as MassMutual, is one of the oldest insurance providers still in operation today. Currently, MassMutual is also one of the largest providers of insurance policies, with assets valued at about $247 billion and a total revenue of $21.7 billion in 2017.[1]

If you have a MassMutual policy, it is important to carefully evaluate and understand your policy’s riders and evaluate whether they apply to the entire monthly benefit or a smaller subset of the monthly benefit. For example, in the case of Colt v. MassMutual[2], the policyholder, a licensed pharmacist, developed a debilitating bone disease and subsequently filed a disability claim under his policy with MassMutual.

Prior to the onset of his disease, the pharmacist had purchased a Cost of Living Rider and a Lifetime Benefits Rider. After the claim was filed, the pharmacist argued that the Cost of Living increases should continue for the remainder of the claim, while MassMutual argued that the Lifetime Benefits Rider did not extend the Cost of Living increases beyond age 65.

After a complex analysis, the court ultimately determined that the pharmacist’s Cost of Living Rider was extended by the Lifetime Benefit Rider. However, this case illustrates why it is important to read your policy carefully when you receive it, to ensure that you have a clear understanding of the scope of your coverage.

Similarly, if your policy has multiple riders that provide additional benefits or features to the policy and you later on increase the base benefit amount under the policy, you should pay close attention to whether the additional benefits and features are being extended to the benefit increase as well as the base policy amount.

These are just a few examples of things to be aware of if you have a MassMutual policy or claim with MassMutual. MassMutual policies are not all identical, and they are updated frequently. Your policy may or may not include the provisions mentioned above. If you are considering filing a disability claim, you should consult with an experienced disability insurance attorney to learn more about your policy and any potential issues related to your particular claim.

 

[1] https://www.massmutual.com/~/media/files/financial%20documents/Statutory%20financial%20statements/Massachusetts%20Mutual%20Life%20Insurance%20Company/2017Q3_mmsub_stat.pdf.

[2] Colt v. Massachusetts Mut. Life Ins. Co., 29 Mass.L.Rptr. 547 (Super. Ct. 2012).

 

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