Disability Insurance FAQ
Don’t wait till you need it, to know what you have! Your human resources personnel should be able to explain your benefits package to you provided by your employer, if there are any. If your employer doesn’t offer disability insurance or if you would like more information for owning your own disability insurance, please reach out so we can help!
What is Disability Insurance?
Disability insurance provides critical financial protection that is very different from other insurance products. Disability insurance pays you a portion of your salary when you need to miss work due to an illness, injury, or having a baby. If you are single, disability insurance is the second most important insurance you can carry after health insurance. And if you have a family that depends upon you, this insurance gives you an income stream if you need to leave work.*
What is an elimination period?
How much time before you have before your monthly benefit kicks in and starts paying you.
What if I own my own business?
You would then need to talk to a licensed agent about getting your own disability policy. Contact us! We can help walk you through this.
How do insurance companies know how much to pay?
Disability Insurance is based on your current occupation and your pay. Insurance companies need to know how much risk is associated with your job. For instance, if you work in an office your risk of getting hurt us typically lower than someone who might work on a construction site or a road crew. Click here for a calculator that can give you an idea of what might be the monthly benefit amount for you.
How long will disability benefits usually last?
This depends on first what your policy offers through your employer as well as what type of policy you purchased on your own. There is also an option for social security disability, however there typically a long waiting period as well as a lengthy application process that can take place. The qualifications to be eligible for benefits are very strict as well and for some, the process might be cumbersome.
What if I leave my job?
This is the best part of owning your own insurance policy! You pay the premium, not your employer so your policy follows you because it’s yours.
I’m hurt at work, won’t my employers workers comp policy cover me?
Workers’ Compensation only covers time away from work if the disabling illness or injury was directly work-related. In 2016, only one percent of American workers missed work because of an occupational illness or injury.*
What if over time I choose a different occupation?
If you were to own your own disability policy you are locking in your occupation at the time that policy was written. Again, your policy follows you because you own it.
I get a raise, now can I increase my monthly benefit amount on my disability policy?
This depends on how your policy is written. Some have certain increments that you have to reach before the insurance company raises the monthly benefit amount.
Can I have my own disability policy AND have one through my job?
It depends on what type of policy your employer has. For instance there is only so much that you can take for income replacement through disability insurance.
Have more questions or if you are ready to look at starting your own disability insurance policy contact us directly at [email protected] or by calling 269-381-9442.
*Council For Disability Awareness Website.