An auto accident, work incident, or another unexpected injury can compromise your ability to work. Luckily, disability insurance provides invaluable coverage when the unexpected occurs. Here are a few reasons to invest in a policy today.

How Disability Insurance Helps Workers

1. Replaces Short- and Long-Term Income

While workers compensation (if you are injured at work) will cover a portion of lost wages, the amount provided is not always enough, especially if you’re the sole income provider in your home.

Disability insurance generally pays up to 60% of your income. Short-term policies begin right away and last three to six months. After that, you may need long-term coverage, which often comes in two-, five-, and 10-year increments. These plans often don’t kick in for three to six months, which is why agents recommend getting both policies.

2. Covers Self-Employment

Self-employed individuals aren’t covered by worker’s compensation, which is why disability insurance is highly recommended to people who work for themselves. If you’re an independent contractor and can’t work following an accident, disability insurance replaces your income according to the terms of your coverage.

If you’re self-employed, explore partial disability as well. If you can only work a part-time job due to an extensive physical therapy schedule, you will still receive compensation.

3. Manages Debt

While Social Security Disability Insurance (SSDI) and worker’s compensation may cover your daily spending, the sum may not be enough to cover debts. For example, an injured worker might have difficulty paying their mortgage, auto loan, student loans, or medical bills after an accident. When they’re able to return to work, they may have excessive debt. 

Disability coverage complements SSDI. You will still need to budget the supplementary income carefully, but will have more resources to make payments while you recover.

If you’re ready to explore disability insurance further, contact K.L. Smith Agency of Willimantic, CT. This family-owned and -operated agency has secured coverage for residents of eastern Connecticut since 1953. They will carefully walk you through plans to help you find the policies you need. Learn more about their insurance plans on their website, and call (860) 423-9294 to schedule an appointment.