NEW YORK--(BUSINESS WIRE)--
The GuardianLife Insurance Company of America® (Guardian), one of the nation’s
largest mutual life insurers and a leading provider of individual
disability income insurance, is expanding its Student Loan Protection
Rider to be available to anyone with student loan debt. Guardian is the
only individual disability income insurance provider to offer this
student loan protection. Student loan debt has more than tripled over
the past decade and is now estimated at $1 trillion, exceeding credit
card and auto debt balances1.
Guardian’s Student Loan Protection Rider enables individuals to meet
their student loan obligations if they become too ill or injured to
work. Available as optional coverage that can be layered onto Guardian’s
ProVider Plus or ProVider Plus Limiteddisability
income (DI) insurance policies, Guardian’s Student Loan Protection
Rider allows individuals to secure up to $2,000 per month – in addition
to the monthly income replacement benefit they would receive as part of
their base policy – to stay on track with their loan payments.
Available for as little as $5 per month2, Guardian’s Student
Loan Protection can be obtained for either a 10 or 15-year term.
Applicants can insure all their student loans at once – including
undergraduate debt – from multiple sources, up to $2,000 per month. No
loan documentation is required until a claim is filed.
"Student loan debt is growing and becoming one of the biggest financial
worries for professionals today," said Gordon Dinsmore, President of
Berkshire Life Insurance Company of America, a subsidiary of Guardian
that issues individual DI insurance policies. "Our Student Loan
Protection Rider offers anyone with this debt the ability to protect
their income and provides them with the flexibility to repay student
loans and avoid default."
Unlike many other kinds of debt, student loans cannot be discharged in
the event of bankruptcy. Many graduates assume that federal student
loans come with exceptions in the case of disability, but the
government’s standard is quite restrictive. Under current law, only
individuals with “total and permanent” disabilities can have their
federal student loans discharged. The vast majority of income-disrupting
disabilities, such as back problems and many forms of cancer, generally
don’t fall under this definition. And private loans may not have any
provisions for disability at all.
A mutual insurer founded in 1860, The Guardian Life Insurance Company of
America (Guardian) and its subsidiaries are committed to protecting
individuals, business owners and their employees with life, disability
income and dental insurance products, and offer funding vehicles for
401(k) plans, annuities and other financial products. Guardian operates
one of the largest dental networks in the United States, and protects
more than eight million employees and their families at over 115,000
companies. The company has approximately 5,000 employees in the United
States and a network of over 3,200 financial representatives in more
than 80 agencies nationwide. For more information about Guardian, please
1Federal Reserve Bank of New York, June 2014, http://libertystreeteconomics.newyorkfed.org/2014/06/what-americans-dont-know-about-student-loan-collections.html#.U7wtR1ZOXow
2 Monthly additional cost for a 30-year-old male, occupation
class 4M, 90-day elimination period, 15-year term, generic
non-discounted rates, $500 monthly coverage.
For Media Inquiries:
The Guardian Life Insurance Company of
Ana Sandoval, 212-919-8551
Erin Burke, 631-239-6903
Source: The Guardian Life Insurance Company of America