DISABILITY INSURANCE |
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Protects your most valuable asset and your ability to earn an income. ● Each year 12% of the adult population suffer a long-term disability. ● 1 out of every 7 workers will suffer a five-year or longer disability before reaching age 65. ● At age 32 your chances of suffering a three-month or longer disability is 6 times more likely than death. ● At age 35 your chances of suffering a three-month or longer disability is 50%. ● At age 45 your chances of suffering a three-month or longer disability is 44%. ● On average 7 out of 10 claims for Social Security disability benefits are refused that first time requested. Statistics were obtained from Commissioner’s Disability Tables and the Senate Finance Committee. Disability insurance pays cash benefits to the policy-holder in the event the insured is unable to work due to sickness or injury. That cash benefit ranges from 50% to 70% of income. The insurance company will not pay more than 70% of income because there must be an incentive to return to work. ● If you pay the premium the benefits are normally received free from income tax, if the premiums are paid by an employer, the benefits are taxable as ordinary income. | |
