Disability Insurance Provides Peace Of Mind (NAPSA)—Howlong could you and your family get by without your income? A month? Maybe three? Think about what would happenif you were unable to work for a year or more. The simple fact is that most of us don’t have the cash reserves to weather an unexpected loss of incomein the event a serious injury or illness prevents us from working. And you don’t want to deplete the money you’ve been saving for retirement or your children’s education just to keep the bank from foreclosing on your house. Think you don’t need disability insurance? Statistics show that a 35-year-old worker is six times more likely to become disabled than die before he or she reaches age 65. And nearly 50 percent of mortgage foreclosures are caused by disability (only 2 percent are caused by death). “Disability insurance protects your family’s financial security,” said Mutual of Omaha’s Brad Buechler. “Plus, benefits can be paid directly to you—you can receive a benefits check made out to your name, which you can then use to pay for your living expenses.” Even if you have long-term disability insurance through your employer, you may want to con- sider an individual policy. Group disability benefits typically guarantee replacement of 50 to 60 percent of your salary. This may not be enough to meet your needs. Also keep in mind that benefits from an employer-paid plan generally are taxable, while individ- You can’t predict when you’ll need disability insurance or why. ual policies pay benefits free of income tax. Finally, individual coverages are portable and don’t automatically terminate if you change jobs, unlike group insurance obtained through your employer. To determine if an individual disability policy is right for you, figure out if the total benefit from your group policy would be enough to support you and your family. Typical expenses for most families include groceries, mortgage payments or rent, utility bills, car payments and clothing. A good rule of thumb, according to Mutual of Omaha,is to allocate 1 to 2 percent of your income for supplemental insurance, such as disability coverage. The cost of an individual disability policy is reasonable, especially when you consider what is at stake if you don’t have the coverage and becomedisabled—a much morelikely event than most people realize. To find out more about longterm disability coverage, visit www.mutualofomaha.com.
