“What if Your Last Paycheck Was Your Last Paycheck?”
Most people insure their material possessions—their homes and cars, for example. But many of these same people don’t insure what is probably their most valuable asset — their ability to work and earn income. Disability insurance is designed to replace your income should you become unable to work at your current job. Disability insurance is important because it can ease the financial burden when someone has a serious illness or injury.
A common myth is that if you have good health insurance, you’re well protected. Health insurance is only half the story though. If health insurance pays your doctors and hospital, who will pay your income when you become ill or injured? Income protection insurance does just that. Your best asset is your ability to earn a living. Personally, I wouldn’t walk out of the house without Disability Insurance!
There are two basic kinds of disability insurance:
- Short-term disability insurance covers a percentage of your lost salary should injury or illness keep you out of work for more than a few days. Payments generally kick in when you have exhausted any available sick leave. Duration of benefits varies by policy, but 90 days is typical.
- Long-term disability insurance protects you from catastrophic illness or injury, including tragic twists of fate that permanently end your ability to earn a paycheck. These policies usually pick up where short-term disability policies leave off. Some last only five or 10 years, but you want one that covers you until the normal retirement age which is now 67.
For the purchase or information on any kind of personal insurance products for clients in Longmont, Colorado, contact Gail Longenecker (gail@dcimountain.com or 303-808-9351 x5).