Disability insurance: Protecting your income

We pay for few things in life that we never intend to use. After all, purchasing something you do not plan to utilize is generally reckless. However, one category of purchases is exempt from such thinking: insurance.

When we purchase insurance, we aim to protect ourselves from uncertainty, preparing ourselves or our loved ones for a situation that would otherwise cause financial ruin.

While automotive, homeowners, and life insurance are commonly the most thought-of insurance policies, it's essential also to consider disability insurance. This type of insurance is not just an option; it's necessary, providing crucial protection in unforeseen circumstances.

Disability insurance protects an individual's income for a set duration should they lose the ability to work in their field or be employed. Unlike other insurance policies that protect against unforeseen expenses, disability insurance protects your income.

Many larger employers offer disability insurance at a low cost to their employees, but these policies often have gaps in coverage. Furthermore, many smaller employers do not provide disability insurance, and self-employed people may forget that disability insurance is a must-have. The financial risks of not having this coverage can be significant, potentially leading to financial hardship if you rely on your income to support yourself or your family. It's crucial to understand these risks and take action to protect yourself.

Regardless of which bucket you fall into, reviewing your current situation and the coverage you have is essential to ensuring continued financial prosperity. After all, having a steady monthly income, regardless of your ability to work, is mandatory. 

At Lundeen Abrams Advisors, we regularly help people from various fields review their existing disability policies and financial situation to determine whether they have adequate or need additional coverage.

If you are ready to discuss protecting your income, please get in touch with us today so we can schedule a talk. Doing so means taking control of your financial future and ensuring your peace of mind. 

We will publish more information on disability insurance in the coming weeks. Subscribe to our newsletter and social media channels to stay informed and learn more about short-term and long-term disability insurance, plus the most common coverage gaps people face with employer plans.