Disability Insurance
Many Americans do not realize the significant possiblity that they will become disabled. The U.S. Census Bureau estimates that you have a one in five chance of becoming disabled. Also, according to the Council for Disability Awareness (CDA), the average long-term disability (LTD) absence from work lasts 2.5 years,. That's a long time to survive without a steady income no matter how much savings you have.
Disability income insurance can provide you with protection of your most valuable asset: the ability to earn a living. A combination of short and long term coverage provides you with continuous income protection in case of disabling injury or illness.
- Short-term Disability (STD) pays a percentage of your salary if you become temporarily disabled, meaning that you are not able to work for a short period of time due to sickness or injury (excluding on-the-job injuries, which are covered by workers compensation insurance). A typical STD policy provides you with 40 to 65 percent of your pre-disability base salary, according to the Life and Health Insurance Foundation for Education.
- Long-term Disability (LTD) picks up where short-term disability leaves off. Once your STD benefits expire (generally after three to six months), the LTD policy pays you a percentage of your salary, usually 50 to 60 percent, depending on your policy. You will then receive benefits for two to five years or until you turn 65.
At Health Insurance Depot, both stand alone Short Term Disability and Long-term Disability plans are available with a variety of benefit options.
