Cost of Living Increase/Adjustment

Hi all,

Under “Cost of Living Adjustment”

It says, “The monthly benefit payable, after all reductions have been applied, shall be increased annually beginning with the date three years following the date of your first benefit payment. The amount of the increase shall be 3%”

If I started my LTD on Nov 2020, based on the description above I am eligible for the increase on Dec 2023 based on the math below:
Nov 2020 - Nov 2021 = Year 1
Nov 2021 - Nov 2022 = Year 2
Nov 2022 - Nov 2023 = Year 3

Nov-Oct so should be Nov increase

Is it normal for insurers to give cost of living increases on LTD? I didn’t even realize that they did that, I guess I will have to read through their terms and condtions document again.

It’s a rider for extra cost. I think most don’t have a COLA.

I’m guessing that if your policy wording is silent on the COLA increase, then it isn’t in your policy I guess.

Yes it needs to be listed in your policy. I had the original post in this thread and I did get my cost of living increase as stated.