There are many different kinds of insurance, and some are more important than others. Whether you need a specific kind of insurance is dependent upon your individual circumstances. Whether it is health insurance, car insurance, life insurance, or disability insurance, there is a lot of information to understand before deciding if you need coverage or not.
Disability insurance is one that is frequently misunderstood, and many people have unanswered questions about the coverage disability insurance provides. Let’s look at some common questions about disability insurance.
Who Needs Disability Insurance?
Whether or not you need disability insurance is a personal decision, but there are many scenarios where disability insurance could be of great benefit to you. When most people think of disability insurance they think of coverage for things like long term debilitating illnesses or horrific car accidents, but the truth is that disability insurance is much broader than that. Working professionals of all ages and professions can benefit from disability insurance because you never know when you may be unable to work for one reason or another.
What Does Disability Insurance Cover?
Disability insurance covers you in the event you are unable to work. This could be because of a major or minor injury or illness. Disability insurance generally does not cover injuries or illnesses directly related to work however, because this is usually covered under workman’s compensation. Additionally, disability insurance does not cover you if your injury is a result of self-harm, or if injuries are incurred while doing something illegal that you are later convicted of.
How are Short Term Disability and Long Term Disability Different?
Short term disability covers you financially if you are unable to work for less than three to six months. Long term disability covers you financially for a period longer than three to six months, but compensates a lower percentage of your normal income. Short term policies usually cover up to 70% of your income, while long term policies can cover as little as 40% of your income.
Your Disability Insurance Provider in MD
If you have financial obligations and responsibilities that you’d be unable to pay as the result of an accident or illness, it may be time to consider adding disability insurance. Paying a small amount monthly could end up saving you in the long run if you become unable to work. To discuss your options and questions, contact us at Freedom Insurance today! We can help you find the right disability insurance in Maryland for your needs!