Hardly anyone thinks of getting old, disabled and injured in his or her lifetime. When insurance companies keep calling to sell their products, we tend to ignore their calls and even put our number on the Do Not Call list. Buying disability insurance can save the life of your family members when you are unable to work due to illness or an injury. That’s why it is suggested to contact disability insurance companies to buy the product. Below mentioned are a few key areas that you should keep in mind when buying disability insurance:
Group-policy or individual policy
You can get a disability policy and coverage through your employer, which will be considered a group policy. You also have the option of buying an individual policy to get the coverage. It is important to understand the pros and cons of both options and choose the most suitable one. In many cases, employees opt for group policy because it is free or cheap as the employer pays most part of the premium.
Validity of the insurance
If you are buying a group policy, you need to ask your employer if it is valid if the employment relationship ends. If the policy stands canceled when you leave the company, you should rethink buying from your current employer.
You will have peace of mind if your insurance policy is valid even if you leave the company and join a new one. If nothing else works, you should consider buying an individual plan.
It is difficult to define disability because it varies depending on the medical condition of an insured person.
- Own occupation- This can be defined as the inability to carry out the duties that the person was performing at the time of becoming disabled.
- Any occupation- after 24 months, the disability moves to a more complex standard. The disabled person has to prove that he is unable to perform any job.
You should learn more about the terms of both scenarios before buying any policy.
Inclusion of cost of living expenses
Many people get depressed because the cost of living benefits is not included in most disability insurance policies. It is important to look for the one that has this component added to the whole amount. You need to ask the insurance company about these benefits beforehand.
A lawyer is always there for you to choose the best product. You can contact him before making a choice.