Many workers are allowed to purchase disability insurance when renewing their employment benefits each year. Others have the option of purchasing such coverage on their own in the marketplace. Few individuals take advantage of the opportunity to purchase disability insurance though. Many individuals don’t take out this coverage because they don’t think that they’ll get hurt. They don’t realize that disability insurance is a key way to protect their assets.
Yes, you’re right. Your health insurance will cover most of your health-related costs if you become sick or injured. That coverage won’t help you if you become so ill or suffer such a debilitating injury that you’re unable to work. While you may ultimately qualify to receive disability payments if your medical condition is terminal or so serious that it prevents you from working at all, it’s bound to take some time for you to qualify for such benefits. Disability insurance can kick in much sooner than that.
Disability insurance is key to helping make sure that you continue to receive a salary either in the short- or long-term while you’re unable to work. This will allow you to continue being able to pay your monthly bills without having to tap into your savings. This is why most financial analysts point out that having disability insurance is a critical component of your estate planning arsenal.
Individuals who don’t have disability insurance could easily lose their homes due to their inability to pay their mortgage if something were to happen to them. Even if their homes were paid off, they could easily run through their savings trying to cover their monthly utility and food or out-of-pocket medical costs. This could potentially leave someone without any retirement savings and nothing to leave to their heirs.
Having disability insurance is critical to ensuring that you and your loved ones have a means of support in the future. There are positives to having both short- and long-term coverage. An asset protection planning attorney can discuss the benefits of having such coverage in place here in Bridgewater. They can advise you of other ways to legally protect your assets in New Jersey as well.