Disability insurance for self employed
Disability may be due to accident,illness,injury,or a debilitating ailment. In an unfortunate situation of a disablity,a person becomes a liability . The reality is that one third of all Americans between the ages 35 and 65 will become disabled for more than 90 days, according to the American Council of Life Insurers. The disability insurance pays us a part of our income and helps us to tide over the difficult circumstances when we are unable to work. They play an important role in making the future safe. It provides a financial safety net by paying you monthly benefits until you are able to return to work. The average length of time which a person misses from work due to disability is calculated around two and a half years.
Disability insurance is of two kinds-short term and long term .The short duration is usually defined as a period of 48 to 52 weeks .Payments will send a weekly check for up to two years. On the other hand, long term plans are for those people who are unable to make an income for a long period of time. They will pay you for two years, five years, up to ages 65 or 67, or for the rest of your life. The amount received as benefits is on average around 50% of the salary earned. It could vary from 40% to 65% of the salary drawn before one get involved in any kind of disablement .The policy should be purchased as soon as possible,preferably when young,and should cover till the age of 65. In case of difficulty in getting benefits, Disability lawyers and social security disability attorneys can be appointed.They are responsible for representing the client to make sure they are benefited maximum legally and claims are processed timely.
Companies design policies to cover disability insurance for self employed who lose a lot when disability strikes. Sadly, even those who try to insure themselves against disability are often denied the protection they have paid for. It is a long process that takes time. Waiting periods are of 30-180 days after the onset of the disability or illness.
It is easier to find a disability plan than to avail benefits at the time of illness or injury. The best way to find the right plan is to work with a professional agent . Application should be filed after consulting a disability insurance agent;thereafter it should be forwarded to the insurance firm,expecting to hear from it. People generally opt for the inexpensive policies because of the low premiums.
A few guidelines for right insurance coverage are as follows-
Explore the maximum number of companies and policies.
Correct estimate of coverage required as per the standard of living.
Getting to know the policy by asking questions ,reading the policy;there are many hidden terms and conditions.
Taking help from a tax advisor or financial planner.
Considering a long term time frame-say decades.
Buying policy from a high graded insurance companies ,those having a strong reputation for financial stability, and fairness.