Learn how disability insurance works

Choosing the Maximum Benefit Period for Disability

Filed under: Disability Insurance — Alston @ 10:02 pm September 19, 2011

Disability insurance policies come with several options. One of those options is the maximum length of time that the policy will pay during a disability.

This is one of the most important aspects of any long term disability insurance plan. The longer the term you are eligible to receive benefits the better it will be for the insured should he or she have a long term disability. However, this raises the premium of the policy.

You trade an increase length of time you can expect the insurance company to continue paying benefits to you in exchange for the amount you will be paying for your monthly insurance bill.

On many policies increasing the period a policy will pay dramatically increases the cost. This can make this a difficult decision. Hopefully the information provided in this blog post will help you make a more informed decision.

Many insurance agents feel that a much better way to reduce costs is to increase the waiting period. The waiting period is the period of time the insured has to wait after the onset of his or her disability before he or she is eligible for a disability payment.

Including disability insurance in your financial plan is as important as any other insurance contract. Coverage for disabilities is crucial if you work for a living. Few things are as fragile as good health.

An accident, disease or other medical emergency can end your ability to work and bring home a paycheck. Your personal expenses are likely to continue long after you are unable to work.

The cost savings associated with increasing the waiting period by a few months can be equal to increasing the payment period by years or decades. This often makes increasing the waiting period a much better choice.

No Comments

No comments yet.

RSS feed for comments on this post. TrackBack URL

Sorry, the comment form is closed at this time.

Save on: State: