Securing Your Future With Disability Insurance
Although nearly all insurance companies offer disability insurance, the terms may differ according to each company's policies. Since insurance companies are in business, they keep their business interests foremost. Hence, it is advisable to understand the implications of the terms before buying disability insurance. The terms and conditions laid out in the policy document should be studied carefully, and any ambiguities should be clarified with the insurance broker.
Disability is defined as a medical condition that prevents working in an occupation which a person has 'enjoyed or has become accustomed to'. When you buy a disability insurance policy, make sure that the terms of the policy articulates an express statement about this. This is important, because under the terms of many companies, disability is a condition that prevents you from being gainfully employed in 'any' occupation.
The implication of this being, that even though you may be unable to work in the occupation you were engaged in just before being disabled, but are able to work elsewhere, you would not be entitled to receive the disability benefit. Therefore, in order to enable you to receive the disability benefit when you are unable to pursue the job in which you are skilled, the terms should state that entitlement shall accrue when you are unable to pursue your 'own occupation'.
Then, check the elimination or the waiting period, which denotes the time between the beginning of the disability, and the first payment under the policy. You can opt for an elimination period of 30, 60, 90,180, 360 or 720 days. Your choice would govern the amount of the premium. A shorter elimination period would attract a higher premium.
Finally, check the benefit period, which is the duration for which the benefit is payable. This can be a 2 to 5 year period, depending on the type of policy. Some companies have policies that cover payments of up to 65 years of age. Longer benefit periods have higher premiums.
Disability has been divided into two categories: the first being short-term disability, and the other long-term disability. Illness, physical injury or pregnancy is covered under the short-term disability. However, no benefits are payable under this category, if the policyholder is qualified for workers' compensation. Besides, the period of disability without medical supervision is also excluded. This category of coverage elapses after 180 days. Any disability beyond 180 days comes under the long-term category. The coverage starts from the 181st day of the disability, and the benefits are payable up to regular retirement age, based on the date of birth.
A disability insurance policy can be purchased to pay monthly payments from $300 to $5000, subject to a maximum of one third of the gross monthly salary.
The kind of insurance policy is a means of providing much needed support in times of distress, caused by loss of income due to the inability to work, because of a medical condition. It has great value and it would be prudent to opt for one to secure your future.
Related Tags: insurance, premium, cost, cover, future, accident, disability, injury, aid, operate, recover
Joe Kenny writes for SelectLoans.co.uk, a UK personal loan comparison site, visit us today for information on all loan topics including debt consolidation loans and links to leading UK providers.
Our Site: http://www.selectloans.co.uk/
Recent articles in this category:
- Motor Trade Rundown
It is not just cars that must be insured on British roads, every type of motor vehicle is required b
- Claiming Compensation For Defective Products
Compensation claims for injury and damage caused by faulty, defective products normally target eithe
- Ideas To Uncover Affordable Rate Auto Coverage
These days, everyone is looking for ways to lower expenses. Certain costs like home and car insuranc
- Should It Be Illegal For People To Drive Without Vehicle Insurance?
There are many drivers on the road who drive un-roadworthy vehicles. The worst part is not that they
- Do You Need Static Caravan Insurance?
Static caravan insurance is an automobile insurance that deals with vehicles that are used while on
- Insurance - Tool For Personal Finance Planning
Financial planning is must for every individual. When we start saving money for our goals, there is
- Family Life Insurance Policy For The Families Staying In Dubai
The main motive of insurance policy is to give financial security to the person's family especially
- Buying Temporary Health Insurance In Florida
You are the resident of Florida? You are between jobs and therefore are not looking for a long term
- Car Insurance Is Of The Utmost Importance In Today's Lifestyle
In today's hectic lifestyle we are always rushing to get from one place to another, whether it be ru
- Health Insurance Companies Are Using New Laws As An Excuse To Raise Their Rates
Government officials are cautioning insurance companies to stop utilizing scare tactics to steam up
Most viewed articles in this category:
- International Health Insurance: Insure Yourself While in Go
We all will agree that whether we are living in our home country or abroad, our health needs constan
- It's Never Too Early to Buy a Long Term Care Health Insurance!
Most people delay buying a long term care health insurance because they think that it is too early t
- Home Owner Insurance Quote: Stay Safe!
Your house will not be fully secured until and unless you have a home owner insurance policy. A home
- The Benefits of Health Insurance Are Immense!
Almost everyone in this world has fallen ill sometime or the other. Apart from illness, many people
- What Happens When You Make An Insurance Claim?
If you've never filed a loss claim before, you might feel nervous and confused about the whole proce
- Pet Health Care Insurance: Show your Pets That you Care!
Having a pet in one's household is a joyful experience. It can provide you with entertainment, compa
- Three Ways to Buy Long Term Care Without Paying Premiums Out of your Pocket
Stop 100 people over 65 on the street and ask them if they will ever need to go to a nursing home an
- Protect That Bauble: Engagement Ring Insurance
Engagement ring insurance can protect your bauble in case a worst case scenario happens...So you've
- Do I Need Diamond Ring Insurance
If you have to ask whether or not you need diamond ring insurance you probably do. There's somethin
- Choosing a Benefits TPA
The use of third-party administrators (TPAs) is one of the hottest trends in insurance today. Accor