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Long-Term Disability Insurance

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Long-Term Disability Insurance

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How Does Long-Term Disability Insurance Work?

Ask a Workers’ Compensation Attorney for Legal Advice

When someone works a particularly high-risk job, it’s a good idea to invest in long-term disability insurance. In fact, many employers offer it. Whenever someone suffers a serious injury, there is the potential for disability, including long-term disability. When a person suffers from a long-term disability, it is important to know what kind of resources are available to help them with expenses like medical bills, lost wages, and more. Having a long-term disability policy in place ensures that a worker will continue to be able to pay their bills and fulfill other financial obligations, even if they are unable to work due to a long-term injury or illness. It is important to remember that every policy has a slightly different definition regarding what they consider an official disability, so it’s a good idea to research these definitions before choosing a policy or filing a long-term disability insurance claim. To learn more about your options for long-term disability insurance, contact a worker’s compensation attorney.

If an employer refuses to follow through on a long-term disability insurance claim it’s important to contact a workers’ compensation attorney as soon as possible to take corrective action. Workers’ compensation attorneys are familiar with the kinds of insurance available to these employees and are aware of the standards a person must meet in order to qualify. Contact a workers’ compensation attorney to learn more.

What are the Statistics on Long-Term Disability?

When understanding the importance of long-term disability insurance, it may first help to note some of the statistics surrounding the need for it. Long-term disability is an unfortunate risk that is often overlooked, resulting in unnecessary damage and financial hardship for an injured worker and their family.

Let’s go over some important long-term disability statistics according to Affordable Insurance Protection:

  • Most Americans are more financially prepared to die than to become disabled, even though the chance of gaining a disability is 3-5 times more likely.
  • A 35-year-old has a 50 percent chance of becoming disabled for a 90-day period or longer before age 65.
    About 30 percent of Americans ages 35-65 will suffer a disability lasting at least 90 days during their working careers.
  • About one in seven people ages 35-65 can expect to become disabled for five years or longer.
  • The typical long-term disability policy covers approximately 60 percent of a base salary up to a maximum of about $10,000 a month.
  • More than 375,000 Americans become totally disabled every year, and approximately 110 million Americans don't have long-term disability coverage.
  • Most workers have financial commitments that consume 65%-75% of their normal cash flow. This is why experts suggest securing disability income insurance in the amount of at least 65%-75% percent of normal earned income.
  • The Social Security Disability Insurance program pays an average of $722 per month. However, the criteria to qualify for this program is so strict that only about 35% of applicants are able to receive benefits.

Do You Need Long-Term Disability Insurance?

The human tendency to assume that the really bad things only happen to others is a driving force behind why so many at-risk workers do not purchase and maintain long-term disability insurance. When a worker suffers a debilitating injury for any significant period of time, it is unlikely that their savings will be able to support themselves and their family the way they would prefer.

This is why it’s a good idea to purchase long-term disability insurance in addition to whatever insurance you already have. This type of insurance is relatively inexpensive when compared with other kinds of insurance, but the benefits of having this insurance can be invaluable in case of an injury. While some employers may offer long-term disability insurance, these policies are by no means the only way to obtain this kind of coverage. Before purchasing long-term disability insurance, compare quotes from several different providers to make sure you are getting the most expansive coverage for the best price.

If you or a loved one were injured at work and are now suffering from a disability, contact a workers’ compensation attorney to see what kind of benefits you might be eligible for. Similarly, if you want to learn more about long-term disability insurance and its uses, seek legal counsel from a disability insurance professional.

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