Replacing your income
Don’t overlook disability insurance
What would happen if you could no longer work because of an injury or illness? Could you continue to make mortgage payments or take care of other monthly expenses?
With long-term disability insurance, you wouldn’t have to take money from your retirement, college, or other savings to pay the bills in the event you become disabled.
Before you investigate an individual policy, find out if you can get long-term disability insurance through your company or an organization such as a union. Even if you can, you may want to purchase additional insurance to replace more of your income.
Individual disability insurance varies based on the insurance company and the state you live in, so you should speak with a licensed financial professional, who can outline your options and give you specific details, including:
- how much it costs,
- payments you’d receive if you became disabled, and
- whether the policy covers basic healthcare costs.
Life is so busy that it’s easy to overlook the importance of disability insurance. But ensuring you have enough money to provide for your family or supplement your spouse’s income is something you shouldn’t put off doing.