Disability Insurance

Your paycheck is your most valuable asset. Protect your income and financial future with disability insurance that replaces your wages if injury or illness prevents you from working.

Get Your Disability Insurance Quote

What is Disability Insurance?

Disability insurance provides income replacement if you become unable to work due to illness, injury, or medical condition. It pays a percentage of your regular salary (typically 50-70%) directly to you while you're unable to work.

Think of it as paycheck protection. While health insurance covers medical bills, disability insurance covers your mortgage, groceries, car payments, and all your other living expenses when you can't earn your regular income.

Why You Need It

  • • 1 in 4 workers will experience a disability before retirement
  • • The average disability lasts 2.5 years
  • • 90% of disabilities are caused by illness, not accidents
  • • Most people have just 3-6 months of savings
  • • Social Security Disability has a 65% denial rate
  • • Your income is likely your most valuable asset

Income Protection Calculator

Types of Disability Insurance

Choose between short-term and long-term disability insurance, or combine both for comprehensive income protection.

Short-Term Disability (STD)

Covers temporary disabilities

Coverage Duration

3 to 6 months (some policies up to 2 years)

Elimination Period

0 to 14 days (benefits start quickly)

Benefit Amount

50-70% of gross income

Typical Cost

1-3% of annual salary

Common Uses

  • • Surgery recovery (4-8 weeks)
  • • Pregnancy and childbirth
  • • Broken bones
  • • Minor heart attack or stroke recovery
  • • Mental health treatment
  • • Short-term illness

Long-Term Disability (LTD)

Covers serious, long-lasting disabilities

Coverage Duration

2, 5, 10 years, to age 65, or lifetime

Elimination Period

90 to 180 days (STD often covers this gap)

Benefit Amount

50-70% of gross income

Typical Cost

1-3% of annual salary

Common Uses

  • • Cancer treatment and recovery
  • • Severe back or neck injuries
  • • Major organ failure
  • • Chronic conditions (MS, Parkinson's)
  • • Severe mental health conditions
  • • Permanent disabilities

Best Practice: Combine Both

Most financial advisors recommend having both short-term and long-term disability insurance. Short-term covers you immediately, then long-term takes over for extended disabilities.

Days 1-14
Use sick leave or short-term waiting period
Days 15-180
Short-Term Disability pays benefits
Day 181+
Long-Term Disability takes over

Individual vs. Group Disability Insurance

Understand the differences between employer-provided group coverage and individual policies.

Individual Disability Insurance

Portable Coverage

Stays with you if you change jobs or become self-employed

Higher Coverage Limits

Can insure up to 80% of income (vs 60% for group)

Own-Occupation Coverage

Benefits if you can't perform your specific job

Guaranteed Renewable

Rates locked in, can't be cancelled

Tax-Free Benefits

Since you pay premiums with after-tax dollars

Best For:

  • • Self-employed individuals
  • • High earners
  • • Professionals with specialized skills
  • • Anyone wanting maximum protection

Group Disability Insurance

Lower Cost

Often partially or fully employer-paid

Guaranteed Issue

No medical exam required for basic coverage

Not Portable

Lose coverage when you leave your job

Limited Coverage

Typically caps at 60% of income, with monthly maximums

Taxable Benefits

If employer pays premiums, benefits are taxable

Best For:

  • • Traditional employees
  • • Basic income protection
  • • Supplementing with individual coverage
  • • Budget-conscious individuals

Important Policy Features to Consider

Not all disability policies are created equal. These features significantly impact your protection.

Own-Occupation Definition

Pays benefits if you can't perform the duties of your specific occupation, even if you can work in another field.

Highly recommended for professionals

Any-Occupation Definition

Only pays if you can't perform the duties of ANY occupation for which you're reasonably qualified by education or experience.

More restrictive, harder to qualify for benefits

Non-Cancellable & Guaranteed Renewable

Insurance company can't cancel your policy, raise your rates, or change your benefits as long as you pay premiums.

Best protection available

Partial & Residual Disability

Pays reduced benefits if you can work part-time or earn less than your pre-disability income due to your condition.

Important for gradual return to work

Cost of Living Adjustment (COLA)

Increases your benefit amount annually (typically 3%) while you're receiving benefits to keep pace with inflation.

Essential for long-term disabilities

Future Increase Option

Allows you to purchase additional coverage later without medical underwriting as your income grows.

Great for young professionals

Who Needs Disability Insurance?

If you depend on your paycheck to pay bills, you need disability insurance.

1 in 4

Will become disabled

Workers will experience a disability lasting 90+ days before age 65

2.5

Average years

The average long-term disability lasts 2.5 years

90%

Caused by illness

Of disabilities are due to illness, not accidents

You Especially Need Disability Insurance If You:

  • Have a mortgage or rent to pay
  • Support a family or dependents
  • Are self-employed or a business owner
  • Work in a physically demanding job
  • Have less than 1 year of emergency savings
  • Use your hands for your livelihood (surgeons, dentists, musicians)
  • Are the primary breadwinner
  • Don't have employer-provided disability insurance
  • Have student loans or significant debt
  • Are in a high-income profession
  • Want to protect your retirement savings
  • Have a spouse who doesn't work outside the home

Protect Your Income Today

Your ability to earn income is your most valuable asset. Don't leave it unprotected. Get a free disability insurance quote and secure your financial future.

Have questions? Our insurance professionals are here to help you understand your options.