Disability Insurance Kalispell MT
Disability insurance is insurance provided by the federal government (and in some cases, employers) as a safety net in the event that a person is disabled and cannot work. Find out more about different types of disability insurance and what they cover here in the articles that follow.
Short-term disability insurance is your stop gap insurance in case of accident or illness that leaves you unable to work. It provides a percentage of your salary.
In general, you should look at a combination of disability insurance policies (perhaps both through work and as an individual), which will give you at least 50% - 70% of your current wage.
Pay attention to how disability is defined in any policy you are considering. Also pay attention to whether all kinds of disability are covered or if your insurance only covers disability due to accident. While you will pay less for disability coverage for accident only, any unexpected serious illness (like a heart attack for instance, which is often silent before you experience it), could also put you at risk for an extended inability to work.
In reality, only 50% of employers cover short-term disability, and only 40 % cover long-term. Further, it's getting harder and harder to qualify for government programs, as government money dries up and new rules make it tougher to get.
. There is a limit to the amount of coverage you can get; no plan will replace 100% of your income. Whatever level of coverage you pick, it should allow you to meet your normal financial obligations and should also take into account the resources you have.
Some insurance policies will cover you for a lifetime after a disabling accident or illness. Other disability insurance will only cover you for some period of years before benefit's will cease.
Disability insurance is a specialized form of health insurance. Disability insurance protects you in the case of loss of income. If you lose your ability to work, either from temporary or permanent disability, a disability claim can be made.
Sun Life did a study that tracked the outcomes of nearly 1,000 short-term disability claims, excluding maternity leaves. These claims were divided into two groups those who received early intervention disability services and those who did not.
While some employers may decide to provide some disability insurance for their employees as part of an insurance benefit package, it is not guaranteed.
Disability insurance varies widely. Some features of the policy may add value for you or may not. As usual, you must weigh your risk. Always remember that anything that increases risk for the insurance company will increase cost for you. So, if you want a larger percentage of your salary in benefit, it will cost you more.
While disability insurance tends to be expensive, there are things that you can do to keep the price as low as possible. Here are a couple of common sense approaches to reducing your costs.
Cost of Living Adjustment ensures that the disability insurance benefit's paid to you will increase over time based on the cost of living. We assume that the cost of living will continue to go up and that is why disability insurance companies have COLA is an option. As usual, you increase the risk to the disability insurance company - and you will pay more for this type of policy.
Disability insurance can vary widely in cost, you can expect that any policy that gives you a reasonable benefit (50% to 70% of your salary) will also be reasonably expensive.