Disability Benefit Insurance Product
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When was the last time you sat down with a financial planner or a qualified insurance agent and discussed a disability benefit insurance product? When it comes to insurance most people are concerned with insuring their life, taking care of their health, and making sure their property (such as their home and car) is sufficiently covered from damage or loss. But what about your ability to earn an income? Is that of lesser importance? A disability benefit insurance product should play a big role when it comes to your insurance needs.
When it comes to a disability benefit insurance product you need to find out how long the term length of the coverage is. For example, if you have a heart attack or a stroke how long will you be covered for? Will it be 24 months, 36 months or until you reach the age when you are considered a senior citizen, 65?Are your monthly premiums set at a fixed rate for your disability benefit insurance product or will there be fluctuations? What about a partial disability clause? Some injuries or illnesses allow you to work on a part time basis. This needs to be determined before you purchase a disability benefit insurance product.
Some insurance companies are stricter about certain things then others so find out about such things as a cost of living rider and the various ways you can pay for your disability benefit insurance product. Some companies allow you to pay monthly while others allow you to pay biweekly, or to make payments every six months. What about if you happen to miss making a payment for any reason. Will this automatically lead to your disability benefit insurance product being cancelled or is there a little bit of leeway? Many companies have a policy where if they have not received a payment in thirty days then they cancel your policy.
Is the insurance company in question the “First Payer” or is there what is known as an “Integration Clause”? In other words if a disability makes it impossible for you to work but you do have another form of income coming in will the company still pay you the full amount of coverage (First Payer) or will they deduct the amount you are earning from your benefits (known as an Integration Clause)?
Many people wonder about any tax benefits that could come from a disability benefit insurance product. If this is the case with you then speak to an accountant or a financial planner to learn as much as you can. What about the portability of your disability benefit insurance product? If you move will it relocate with you or will you have to look elsewhere for another policy? It cannot be stressed enough- shop around for the very best disability benefit insurance product you can find. Companies tend to vary from place to place and no two are exactly the same. Don’t stop until you find one that suits all of your potential needs. Remember that the chance that you could develop a disability is always imminent.
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