“Dying is so peaceful and loving, be not afraid. Becoming disabled is a living nightmare, be
afraid!”
Most of us fear death, as the finality of our current
existence creates questions about what’s next or where do we go from here. However, even for the most spiritual, there
exists a condition that could be worse than death. Becoming permanently disabled or disabled for
an extended period of time actually carries three times higher odds than
experiencing a premature death. Odds are that 1 in 4 people between the ages
of 20-65 will experience a disability.
Disabilities can occur as a result of many conditions, however,
the most common issues result from Musculoskeletal and Connective Tissue
concerns (26.2%), Cancer (15.3%) and Injuries (8.8%). While we can use caution to prevent the
likelihood of becoming disabled, we cannot control everything. Just ask the victims of super storms
(Katrina, Sandy, etc.) and other natural disasters or the survivors of a
significant accident which manifested itself with no warning. One can go from living a healthy and fruitful
life in one second to having a significant disability to contend with in the
next.
The nightmare associated with the disability is not that
your life has been provided with a new challenge. In fact, many people with disabilities have
thrived as a result of overcoming a disability.
The real challenge is replacing the income that you would have earned
had the disability never occurred. In
fact, your future income stream is typically your biggest asset. You never
think twice about insuring your car or home from financial loss, however, your future
income stream, which dwarfs the value of your home and auto(s), is typically
the last item considered for insuring.
Fortunately, many employers include a Long Term Disability
(LTD) policy as part of the employee benefits portfolio. You should check to be sure you are included
if your company has coverage. Even for
those with coverage, the typical group policy limits your income to 60% or less
of your current earnings and, in the case that you change your job you can’t
take the coverage with you. Fortunately,
there exists Individual Disability Insurance (IDI) to augment other coverage. The benefits of IDI are that it provides for
increased income replacement (above the 60%) and it’s portable, which means if
you change jobs, you don’t lose the IDI coverage. People with higher incomes should definitely
consider an IDI policy as the typical employer plan falls short of even 60%
replacement.
Remember, death is certain and a disability is not. However, the odds of experiencing a
disability, which can impair your biggest asset-your ability to earn your
income, are greater during your working years than the likelihood of premature
death. Life insurance is certainly
recommended, but disability insurance is a necessity. Don’t leave your biggest asset exposed to
loss. Get yourself covered today.
About Hipskind Seyfarth Risk Solutions
Hipskind Seyfarth Risk Solutions offers a wide-range of
insurance products for individuals and businesses of all sizes. HS Risk
Solutions, located in Chicago, provides expertise in the area of health and
ancillary benefits and property and casualty insurance for businesses and
individuals. For more information, visit HS Risk Solutions website at www.hsrisksolutions.com or
on Facebook atwww.facebook.com/HSRiskSolutions.
