Understanding the Importance of Disability Insurance for Your Future

Who Needs Disability Insurance?

Why do some people need disability insurance to protect their income?

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

If you are like most people on this planet, you are not financially free. You would not be able to stop working and still support yourself and your family from your financial resources. Your continued ability to work in order to earn an income would therefore be one of your greatest assets.

Your ability to work for a salary or wages would therefore be one of your greatest assets.

Have you insured this asset?

If disability suddenly stops you from being able to work, how would you earn an income?

How long would you survive without a paycheck?

If the situation described above is a cause for concern, you need disability income insurance.

You can become disabled either from an accident or for medical reasons.

One life insurance company defines disability as "the inability of the life assured to perform any part of any occupation in which he was engaged immediately before the onset of the incident

Further, the life assured must not be following any other gainful occupation"

Disability is often referred to in life insurance circles as the worse hazard, because if you become disabled: -Â

You stop earning salaries or wages,Â
Your life insurance policies will not pay a claim, since you didn't die,Â
Your illness

will consume a significant portion of available funds.

Here are a few facts on disability: -Â

Each year, 1 person in 8 will suffer disabilityÂ
1/3 of all people between the ages of 30 and 64 will become disabled sometime in their livesÂ
At age 32, the chance of being disabled for 90 days is 6.5 times greater than the chance of deathÂ
75% of disabilities are caused by an illness rather than an accidentÂ
Workers today are 3 times more likely to suffer a long-term disability than die during their working yearsÂ
The likelihood of being disabled for more

than 3 months is greater than dying in any given year

As you can see, the risk of disability due to illness or injury is great.

The cost of not being prepared is severe. Why take the chance? Even substantial savings can run out quickly if it is your only source of financial support.

If you are like most people who need to work in exchange for money, there is a need to protect one of your most valuable assets, i.e. your ability to earn an income.

Disability income insurance should therefore, be an important part of your long-term financial security plans.

It can help to secure your dreams, lifestyle and income, regardless of your occupation or industry.

This valuable income replacement plan is available from your local life insurance companies.

Call your life insurance advisor or enquire online for more information on this useful long-term financial security plan.

Published: Friday, 11th Sep 2020
Author: Paige Estritori

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Who Needs Disability Insurance?

Why do some people need disability insurance to protect their income?

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