Originally Posted by
BMEP100
I thought it was an insurance policy.
The reason someone, who doesn't expect to be able to medically return, might want to retire and continue on disability- so that he doesn't leave his lump sum behind at a failing company.
80K a year works out to about 33% for me- and that does not include the B,C fund payments.
This all does not make sense, if it is indeed a real insurance policy. Why would the insurance company care if you could resume your employment? If you medically qualify, the payouts end- if not you are disabled, regardless of the status of the company and your employment status.
Like I said, it is an insurance policy- so I believed, not a job guarantee.
Not a CAL type and don't know about your promised lump sum but I'm sure there is something in the payout plan for Life Events. There is probably a company out there that will write you the policy exactly the way you want if you're willing to pay for it.
The current policy is designed to help the pilot keep his head above water during the disability period and not have to tap into retirement or saving while hoping to return to work. In most cases the ability to hold onto the company medical insurance during the disability period is a big issue. You may want to talk to the R&I people. I think the R&I committee has a full time lawyer on staff and does answer the phone for the committee chairman.
If you want real world information from some of the guys going out on medical you may want to go to the RUPA website. I'm sure there is a wealth of real experiences concerning the current plan.
As a final note - once you retire, you no longer work for the company and there will be no further handholding - you are on your own!