Disability Insurance

Why you need disability insurance

A serious disability due to either illness or accident could be devastating to your family, emotionally as well as financially. Many employers provide some basic amount of disability coverage to their employees but it often isn’t enough to meet your income needs, and what they do provide is taxable when benefits are received if your employer pays the full premium. Group long term disability benefits may be capped at a relatively low amount and may not cover variable income such as bonuses or commissions. As such, these benefits may not be enough to maintain your lifestyle or pay all your bills if you become too sick or injured to work.

  • An individual disability income insurance policy you purchase on your own is fully portable, meaning you won’t have to worry about losing coverage if you change jobs.
  • The benefits paid out to you are tax free if you are the premium payor
  • An individual disability income insurance policy is non-cancelable by the carrier (as long as the premiums are paid)
  • A guaranteed renewable policy, your premiums will never change for the life of the policy.

The non-cancelable, guaranteed renewable feature is one of the more important features of a strong disability income policy. It ensures that the insured owns and controls the contract and therefore the insurer cannot raise your premiums as long as premiums are paid when due.

The most critical component to any disability policy is the definition of disability, as this determines whether you are eligible to collect a total disability benefit, partial benefit or none at all. There are various definitions of disability one can obtain, let us help you figure out the right one for you.

What about coverage as high as $250,000/month or a $50,000,000 lump sum single payment for a disability?

We have the ability to provide this level of coverage.

For certain individuals, and for corporations needing key person disability protection, regular group long term disability insurance offered in the workplace combined with individual disability income insurance at the maximum issue limits isn’t enough income in the event of a long term disability. Most individual disability insurers will allow a person to be insured up to a maximum of $30,000 per month in benefits. For those individuals whose lifestyle and experience requires substantially more income on a monthly basis to maintain their standard of living, we have access to specialty carriers that are willing to issue monthly benefits in excess of $250,000 a month or $50,000,000 or more as a lump sum payment. If your income needs are above what traditional disability insurers will issue, let us show you how you can protect more of your income in the event of a long term disability.