X hits on this document





239 / 367



period. Again, the premium amount is tied to the length of the elimi- nation period. While cost is a factor, don’t let it be the overriding aspect to picking out your policy. It’s more important to be sure that you are fully covered in the case that you need it, rather than saving a few bucks in the immediate future.

Individual policies may cover illness in addition to accident (known as accident and sickness coverage), as opposed to just dis- abilities resulting from an accident (accident-only coverage). It’s important to insure yourself against illness, as well as accidents. If you are unable to work due to an illness and receive benefits from your coverage, you’ll find that those will help even if your medical bills are totally covered by your health insurance. Plus, your medical bills may not be covered by your health insurance.

With today’s individual DI policies, you can choose from a wide array of coverage periods. You could opt for a short-term type of pol- icy, with coverage ranging from six weeks to a few months. Or, you could choose a policy that would cover you for the rest of your life. Whatever period you select should be based upon your needs, not someone else’s desire to sell you a bigger policy.

As far as individuals are concerned, the own occupation is the better of the two disability definitions. When coupled with the longer coverage period, this is the best option for the insured. How- ever, since the coverage is better, the premium will be more expen- sive. Do your homework and compare the different premium amounts and coverage options from many different insurance com- panies to find the policy that best suits your needs. Don’t be swayed by cost alone.

Do you need disability insurance?

Ask yourself these two questions:

  • 1)

    Is your salary the main source of income for your family?

  • 2)

    How would you replace your income if you were unable to


Document info
Document views1110
Page views1110
Page last viewedWed Jan 18 13:04:24 UTC 2017