Disability Insurance Reductions - Saving Money on Disability Insurance Salem OR
Title: Investment Advisor
Company: Armstrong Wealth Management
Pension for Highly Compensated Owners,Stock Market Alternative,Alternative Investments,Life Insurance,Investment & Portfolio Management,Long-Term Health Care Planning,Annuity Ideas & Strategy Planning,Planning For Personal Finances & Budgeting,Retirement Income Accumulation Planning,Business Income Tax Planning,Wealth Engineering,IRA, 401k, Roth IRA, QDRO Rollovers,Wealth Management,Medicaid,Retirement Planning,Real Estate Investment Planning,Commission-Only Financial Planning (Full Disclosure),
Title: LPL Financial Advisor
Company: Meridian Financial Group
Investment Advisor Rep: Yes
401k Rollover From Employer,CD Alternative,Disability Insurance,Annuities,Long-Term Health Care Planning,Estate Tax Planning,Asset Protection Strategies & Planning,Stock Market Alternative,Alternative Investments,Life Insurance,Investment & Portfolio Management,Insurance & Risk Management Planning,Retirement Income Accumulation Planning,IRA, 401k, Roth IRA, QDRO Rollovers,Wealth Management,Health Care Insurance,Retirement Planning,Business Succession & Liquidation Planning,Retirement Income Dist
La Pine, OR
Company: Fee-Only Financial Planner ("No Commissions")
Registered Investor: Yes
Oregon State University
Years Experience: 6
Wealth Engineering,Income for Life/ Preserve Principal,Medicare Planning,Investment & Portfolio Management,Investment Consulting & Allocation Design,Insurance & Risk Management Planning,Retirement Income Distribution Planning,Education Funding & Financial Aid Planning,Fee-Only Comprehensive Financial Planning,Portfolio Engineering,IRA, 401k, Roth IRA, QDRO Rollovers,Alternative Investments,Retirement Planning,Long-Term Health Care Planning,Business Succession & Liquidation Planning,Estate Tax Pl
La Pine, OR
La Pine, OR
Disability Insurance Reductions - Saving Money on Disability Insurance
Disability Insurance Reductions
Everyone wants to get their insurance as reasonably priced as they can. 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:
- Select a longer waiting period before benefit's start.
If you can wait longer than 30 days for benefit's to start, you will save money on your premiums. This is the same principle as raising your deductible on your auto or home insurance you reduce the risk to the insurance company and so you'll pay less money.
In order to be able to handle this, you'll have to do some financial planning. Usually, you'll need to have at least a couple of months worth of salary available as savings in order to do this comfortably. Most financial planners recommend that you have at least 6 months salary in savings, in order to buffer you from financial challenges. If you have that much saved up, you can easily handle waiting a longer period for benefit's to start.
- Select a shorter benefit period.
You could elect to have benefit's continue only until you can retrain for another job. This is a gamble on your part. If you end up with a serious accident or illness that leaves you completely disabled, you could have a problem.
One option is to select benefit's payable to age 65 when you would normally retire - instead of lifetime benefit's. Although a small change, this should also save you some premium cost.
In fact, you are generally better off to choose to select benefit's payable until age 65 than to select benefit's payable only for a specific time period and then re-train. Why? Well, you don't want to have to collect for a lifetime, but if you are in that position, you could have many years to retirement age and no benefit's. You may or may not qualify for social assistance, and as I have noted elsewhere on this site, getting social assistance is g...