Disability insurance

Have you ever thought about what would happen if you get into an accident or become sick with an illness that disables you permanently, or even temporarily to your finances? What happens to your income and the bills that keep piling up? Disability insurance is an insurance product that pays funds to you when you can not work because of an accident or illness. It is an often over looked insurance that is available to private individuals. Most people do not think of what will happen to their income if they get hurt or develop a long term illness and become unable to work. Losing your income because of an unforeseen event like this can financially devastate a family. Fortunately, disability insurance is available to help provide an income for such events.

You can purchase disability insurance as a separate insurance policy or you can have it added to some life insurance policies. Disability insurance is quite often referred to as permanent disability insurance. There are also some temporary disability insurance plans that can protect your income if you are temporarily disabled due to an accident that worker’s compensation would not cover. Worker’s compensation is a disability insurance that covers injuries that occur while on the job. You are entitled to it through your employer. However, temporary disability insurance coverage is a policy that covers your income if you are injured when you are not working. For instance, if you are on a mountain climbing vacation and fall and break your back. Your temporary disability insurance plan would then cover your income until you were able to return to work. The range of coverage you can get under disability insurance can depend on the policy that you choose. Some policies will pay a lump sum, while others can pay monthly payments. There is usually a 3 to 6 months waiting period before the policy will kick in and begin making payments however.