Information About Business Disability Insurance
Business Disability Insurance
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Business disability Insurance may not be as common as health insurance or car insurance. It is believed that 80% of Americans live without disability insurance or have insufficient coverage to protect them should they ever become disabled. Imagine the problems that would ensue if you didn't have business disability insurance lined up. You would be unable to work, you would have bills constantly coming in; even if you had some money stored in a savings account, using those funds could possibly ruin your financial goals.
What Business Disability Insurance Can Do For You
Business disability insurance can provide you with income protection—whether you own your own business or are covered under a group policy. If you are self employed you are in definite need of some kind of disability income coverage. Unlike a corporate-sponsored employee, you don't have the luxury of sick-leave or workers compensation. If you are put out of action for even three months, (though most serious disabilities can last over two years) you could face substantial losses. The good news is that you don't need a group insurance policy to get adequate coverage.
In fact, individual business disability insurance is usually more preferable than a group policy. While it is true that a group policy plan is less expensive, (and definitely less paperwork to worry about) it has its share of disadvantages. For one thing, longterm group disability insurance is taxable income. There are more restrictive definitions in the policy, including coverage of partial disability, which may be denied. Since the employer pays your premiums, the entire plan is under their power. That means the policy could be changed at any time, and that if you leave the job voluntarily, your policy stays with the company. Rates are not fixed for group insurance plans, so the prices of premiums could very well rise on a semi-regular basis.
Individual plans offer more flexibility regarding restrictions, but more stability regarding changes and contract agreements. This allows you to have fixed payments and a policy that will follow you from job to job. Of course, if you're self-employed then an individual policy is your only choice aside from Social Security which will make you endure a long waiting process—and very well may deny your claim.
You Can Afford Business Disability Insurance
Don't risk your finances by living without any form of disability insurance. Go ahead and try for Social Security; but in the meantime, while waiting for those claims, take care of your family and make sure that you have enough to pay the bills. Most disability income policies will grant 60% of your usual paycheck. Though not as desirable as 99% it will definitely be appreciated when you're recovering at home for months on end and have no other means of income.
Shopping for business disability insurance is easier than ever before. You can use an on line insurance vendor and search not by company name, but by specific plan coverage. This makes your search easier and far more effective. Ensure your future with business disability insurance.
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