Disability Insurance | Protect Your Income

What Is Disability Insurance?

Disability insurance is designed to replace a portion of your income if you become unable to work due to illness or injury. While health insurance covers your medical bills, disability insurance covers your everyday living expenses — your mortgage, groceries, utilities, and other financial obligations.

The odds of becoming disabled during your working years are higher than most people realize. According to the Social Security Administration, more than 1 in 4 of today's 20-year-olds will become disabled before reaching age 67. Without disability insurance, a single injury or illness could wipe out your savings and threaten your family's financial security.

What Does Disability Insurance Cover?

Short-Term Disability

Replaces a portion of your income for a short period — typically 3 to 6 months. Benefits often start within a few days or weeks after you become disabled. This coverage bridges the gap until your long-term disability policy kicks in or until you can return to work.

Best for: Immediate income replacement, recovery from surgeries or short-term illnesses.

Long-Term Disability

Provides income replacement for extended periods — often until you reach retirement age. Policies typically replace 50–70% of your pre-disability income. There's usually a waiting period (elimination period) of 30 to 180 days before benefits begin.

Best for: Long-term or permanent disabilities, chronic conditions, catastrophic injuries.

Own-Occupation vs. Any-Occupation

Own-occupation policies pay benefits if you can't perform the specific duties of your current job, even if you could work in another field. Any-occupation policies only pay if you can't work in any job suited to your education and experience. Own-occupation provides broader protection.

Best for: Professionals, specialized workers, and anyone wanting maximum protection.

Why You Need Disability Insurance

Most people insure their cars, their homes, and their health — but neglect their most valuable asset: their ability to earn an income. Here's why disability insurance is essential:

Your income is your greatest wealth-building tool — losing it would be financially devastating
Employer coverage may not be enough — group disability policies often have limitations and may not cover your full salary
Social Security Disability Insurance (SSDI) is difficult to qualify for and pays modest benefits
One illness or injury could derail your retirement savings, mortgage payments, and your children's education fund
Peace of mind knowing your family's lifestyle won't crumble if you can't work

Tips for Buying Disability Insurance

When shopping for disability insurance, consider these factors to ensure you get the right coverage for your needs:

Look for an "own-occupation" definition of disability — it provides the most comprehensive protection
Choose the longest benefit period you can afford — coverage to age 65 or 67 is ideal
Consider a longer elimination period (90 days instead of 30) to lower your premium
Check for riders like cost-of-living adjustments (COLA) that protect against inflation
Compare quotes from multiple carriers — rates and coverage terms vary significantly
Work with an independent broker like Seth who can shop the market for you