![Transcription Center logo](/themes/custom/tc_theme/assets/image/logo.png)
This transcription has been completed. Contact us with corrections.
-4- Complete Coverage Comparisons To have complete protection a pilot must provide simultaneously for retirement, death, and disability. Consider the case of a pilot earning $9000 annually from age 30 to age 60. Each month he would be taxed $58.13 under the ALPA plan. If instead he invested in this same $58.13 with a Commercial insurance company, he could purchase protection as follows. [[3 column table]] | --- | Commercial | ALPA | | RETIREMENT(per month) | $255.50 or $304.06 (1) | $255.50| | DEATH (lump sum) | $12.898 or 0.00 (2) | $0.00 (3) | |DISABILITY (per month) | $216.67 | $0.00 to $ 255.50 (4) | [[/3 column table]] (1) The pilot may have $304.06 annuity by drawing on his $12.898 life insurance. (2) The pilot draws the 304.06 annuity, his life insurance will eventually be reduced to $0.00 but, if he dies before the $12,898 is depleted, his estate receives the unused balance. (3) If the pilot dies prematurely, the annuity paid to his dependents will probably deplete his life insurance to $0.00. If the pilot dies after retirement, the annuity previously paid to him will probably deplete his life insurance to $0.00. (4)Disability at age 30 probably will provide no annuity; disability at age 60 will provide $255.50 annuity.