Disability Insurance

Disability income insurance is to replace the income of a household provider, if by chance that person is injured and temporarily out of work.  Insurance benefits can be rewarded if 1.you become disabled and are unable to meet the demands in your current job (but can work elsewhere) or 2.you become so disabled that you cannot work in any job.  Of course, rules and restrictions apply to both, but are generally offered through any disability insurance provider.

Rarely do disability insurance providers offer a full replacement of income, the average income worker being granted anywhere from 45-80% of their before-accident income, depending on the situation.

Disability insurance is a great way to protect your family and be confident knowing that your income is secure to provide for them, should you become disabled, no matter the length of the disability.  And the best part about disability insurance, in my opinion, is the monthly income you are given is tax free!

Tips when purchasing disability income insurance:

• Check with your employer.  Most businesses offer their employees disability insurance in some form or another.  If your company has no such service, don’t fret.  Many businesses in your local area are bound to sell reasonable insurance.
• Select a policy with an extensive definition of disabled.  You want to be covered if you are disabled, no matter the disability.
• Don’t sign the first policy you see.  Be sure to check out many different types of coverage, with many different providers.  You can often use competitors as leverage when negotiating premiums. 
• Know your premium.  After purchasing, when there is no turning back, you do not want to be stuck with a premium that you cannot afford.   
• Update your coverage yearly (or when circumstances permit) with any changes to your current situation, including job changes, additions to the family which will require greater coverage, or increased income.