Rumela has a disability insurance (DI) policy that pays $4,500 per month in the event of disability.
Question:
Rumela has a disability insurance (DI) policy that pays $4,500 per month in the event of disability. The policy has a presumptive disability clause, a 90-day waiting period, and 10-year benefit period. Subsequently, Rumela is injured and becomes totally and permanently deaf. However, this does not result in a loss of earnings since Rumela’s deafness does not affect her ability to function normally in her job as a computer software programmer. Which of the following statements CORRECTLY describes the outcome in this situation?
a. Rumela would not qualify for benefits under her policy.
b. Rumela would receive $4,500 per month starting immediately.
c. Rumela would receive $4,500 per month starting after 90 days.
d. Rumela’s benefits will be discontinued if she returns to work.
Operations Management Creating Value Along the Supply Chain
ISBN: 978-0470525906
7th Edition
Authors: Roberta S. Russell, Bernard W. Taylor