If you’re worried about being involved in an accident or illness that would prevent you from working for more than 6 months, you should consider buying long term disability insurance. If you become disabled, long term disability insurance can relieve some of your financial stress. The following are some questions you might ask if you’re interested in a long term disability insurance policy.
Do I need short term or long term disability insurance?
If you’ll be unable to work for less than 6 months and you need the money in a hurry, a short term disability insurance policy might be the right choice. If you’ll be disabled for a couple years or permanently, you should probably get long term disability insurance.
Why would I need long term disability insurance?
Accidents happen. So do illnesses. In a worst-case scenario, you could suddenly be unable to work for years. You would have no income. If you had dependent family members, you wouldn’t be able to support them. In that situation, disability insurance payments could keep money flowing in so that you could provide for yourself and the people you love.
How much can I get paid from long term disability insurance?
It depends on your policy. Some only provide 30% of your salary, but others might send you a check for 60% of your income. The amount of money given will depend on the price of the policy and where you get it. You won’t receive enough money to replace what you would get from your job, but it’s better than nothing.
How can I get long term disability insurance?
You may receive long term disability insurance benefits from your job. If you don’t, or if you want to supplement the policy that you get from your employer, you can purchase a policy from an insurance company. Some people qualify for long term disability insurance from the federal government, called Social Security Disability Insurance.
How can I qualify for long term disability insurance?
If you purchase your own insurance or have it through an employer, that insurance company will have their own procedure for approving a claim. You’ll probably have to submit medical documentation of your disability, and you may have to interview with your insurance company. To qualify for Social Security Disability Insurance through the government, you’ll need to pass a “duration of work” test and a “recent work” test. Your disability must be expected to last anywhere from a year to the rest of your life.
