Need help with company benefits thru colonial life

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
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Topic Author
texasfight
Posts: 19
Joined: Mon Jul 27, 2020 3:12 pm

Need help with company benefits thru colonial life

Post by texasfight » Fri Jul 31, 2020 10:45 am

Age:26
Income: $105k/yr
Roth IRA: $30k
taxable account/emergency fund: $590k
401k: $0 but about to get one at current company

I am considering getting the CFA and switching out of oil and gas but for now I plan on staying at my current employer until this blows over. My large taxable account is due to scholarships, high paying summer internships, and full time employment right out of school along with living very cheap with roommates, and successful investments

No kids or girlfriend but eventually plan on getting married and having them

We are offered the following thru colonial life:
disability
accident
life insurance (whole or term)
cancer insurance
critical illness insurance
hospital indemnity insurance

I don't have health insurance thru work but I have a good blue cross blue shield high deductible health plan (only $105/month premium) PPO plan, w/ 10k deductible and 3k max out of pocket.

Do i want to get some of this now to lock in a low price since it is offered thru my company? Or just do the bare minimum for everything since I have a large safety net?

Biggest concern would be I get cancer or something that BCBS does not cover. All of the different coverage amounts and premiums are overwhelming, like I don't know if I should be paying $3/mo for some of this stuff or not

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Kenkat
Posts: 6442
Joined: Thu Mar 01, 2007 11:18 am
Location: Cincinnati, OH

Re: Need help with company benefits thru colonial life

Post by Kenkat » Fri Jul 31, 2020 11:01 am

The accident, cancer, critical illness and hospital indemnity insurance is all crap niche coverage that largely duplicates your existing health coverage. I am a little confused by the $10k deductible and $3k out of pocket max - wouldn’t you hit the $3k long before the $10k deductible? Regardless, if you are comfortable with being able to cover that, skip the other coverage.

Avoid whole life. Some term insurance could make sense although if you are single, you may not need it yet and could probably get a cheaper policy on your own if in good health. Disability insurance might be something to look into if you don’t have any type of coverage there. I’d price out what your employer offers vs. what you could obtain on your own as well.

Topic Author
texasfight
Posts: 19
Joined: Mon Jul 27, 2020 3:12 pm

Re: Need help with company benefits thru colonial life

Post by texasfight » Fri Jul 31, 2020 11:25 am

I confirmed that my out of pocket max is 3000, but my deductible is 10k. If someone can explain to me how this is possible that would be great.

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