Frequently Asked Questions
Since 1951, we have been focused on serving and prioritizing you, the pilot. Please review the FAQs below and contacts us for additional questions or more information.
What is the difference between the Monthly Pay plan and the Lump Sum Catastrophic Loss of License Disability plan?
The Monthly Pay plan is designed to pay a monthly benefit, while you are temporarily or permanently medically grounded from flying. The Lump Sum Catastrophic Disability plan is payable when the doctors agree that you are permanently unable to fly. Since you can carry either or both plans, they are often purchased together.
Are either the Monthly Pay or Lump Sum benefit income taxable?
When you purchase and pay for the plan with after tax personal funds, the benefits are tax-free. Harvey Watt is not a tax advisor.
Can I be singled out for a rate increase and are the rates portable?
You can never be singled out for a rate increase. You can continue coverage even if you change who you fly for.
Can I collect benefits under the Monthly Pay and Lump Sum Catastrophic Loss of License Disability plan and another disability plan at the same time?
The Monthly and Lump Sum benefits can be your only disability income or they can be used to supplement your employer plan to replace their entire lost income. For example, a pilot making $10,000 a month may only receive a $5,000 taxed benefit from his/her airline and can use this coverage to replace the rest.
Can I pay for the plan through my airline?
Legacy US Airlines have set up payroll deduction with us to make it easier for pilots to purchase Harvey Watt coverage to supplement the benefit coverage they offer. This can be used to replace lost retirement plan contributions or “top-up” the mostly taxed employer benefits that fall short of meeting pilots’ needs.
What are the payment options?
The premium rates are the same regardless of the method or frequency of premium payment. You can pay monthly via ACH bank draft, billing statement, or payroll deduction. Because of state requirements not allowing you to charge or accept a different amount than the file rates and to keep rates as low as possible, we do not accept credit card payments that charge fees.
Does Loss of License Insurance cover me if I have an FAA violation?
These plans are designed to insure against you losing your FAA AME Medical Certificate for medical reasons, not your pilot license for non-medical reasons.
How much loss of license coverage can I purchase?
You can purchase the maximum amount of both the Lump Sum and the Monthly Pay plans together or either plan can be purchased ala carte.
When can I start collecting benefits from the Monthly Pay Disability Plans?
The Monthly Pay plans are Long Term coverage so they have longer waiting periods designed to start paying after your STD, Sick Bank, or rainy day fund. Think of it like the deductible on your car insurance. They can start paying you a benefit after 6 or 12 months from the date of disability which is usually the date you last flew/grounded.
Can I change my coverage after I purchase it?
At any time, you can request to change to other available options by reducing how much the plan pays, how long they pay, or increasing the waiting period. If you’d like to increase the benefits and how long the plan pays or reduce the waiting periods, you will need to undergo underwriting subject to Americo’s satisfaction.
Please see the plan application for more information or Contact Us. Since 1951, we are focused on servving and priortizing you, the pilot.