Often called disability income insurance, disability insurance pays a monthly benefit that replaces a portion of your income, typically between fifty percent and eighty percent, if you become disabled and are unable to work. In some cases, recovery takes a long time, a time when you are not working. For more information on how long your disability benefits may last, please read on, then contact one of our experienced long term disability representation attorneys.
How long does long term disability last?
Once your insurance company has approved your LTD benefits, you can continue to receive benefits for the length of the policy term or until you return to work. Although some plans can provide coverage for ten years or even for the life of the policyholder, most long term disability plans provide coverage for thirty-six months.
However, the length of coverage will all depend on the exact plan policy and the insurance company you have purchased your policy from. With the right company and policy, you may receive long term disability benefits until retirement age.
How do you receive long term disability benefits up to retirement age?
The premiums for a policy that provides benefits into or through the policyholder’s sixties may not be much higher than the premiums for a five-year plan. The reason for this is that insurance companies calculate the risks associated with each policy and they know they may not have to pay benefits for more than five years on the majority of disability claims. Thus, your insurance company can offer a longer benefit period at a relatively low added cost.
Do you purchase LTD benefits up to retirement age?
Please bear in mind that own-occupation long term disability coverage through retirement makes particular sense for medical and dental professionals who rely on fine motor skills to practice their craft. For instance, even if they are otherwise healthy, a diagnosis of arthritis can affect a surgeon’s manual dexterity and severely impact his or her ability to earn a living.
Furthermore, in order to pay off substantial student debt, any professional should consider a longer benefit period.
How do you choose the right LTD policy?
To facilitate your financial professional in tailoring your disability policy to your needs, you should share as much as you can about your financial situation and goals. During this process, you should receive answers to questions like:
- How much coverage can I qualify for?
- How does the definition of disability work?
- Is it own-occupation or any-occupation?
- What conditions does insurance cover?
- When do benefits begin and how long will I receive them?
- Could the insurance company change or cancel my policy?
- Could my premium increase?
- How do I make a claim if and when needed?
Our long term disability insurance attorneys can answer any further questions you may have.
Contact our experienced nationwide firm
If you or someone you know is looking to receive long term disability benefits, contact Walker & Hern for a free consultation.