Know the Facts to Build a Strong Foundation
You probably don’t think twice about insurance for your home, car and other personal assets. But what about the income you earn used to purchase those assets? Most people don’t have any or enough individual disability income (DI) insurance, and often make an ill-crafted decision to leave their income behind based on common myths:
Myth #1: I can rely on my savings.
Fact: Even if you save 10% of your salary, one year of a disability could easily wipe out many years of savings.
Myth #2: Social Security benefits will take care of me.
Fact: Just 35% of the 2.8 million workers who applied for Social Security Disability Insurance benefits in 2009 were approved.1
Myth #3: A disability won’t happen to me. I expect to stay healthy.
Fact: Every 10 minutes, 490 Americans become disabled.2
Myth #4: I can rely on disability coverage through my employer.
Fact: Group long-term disability insurance typically covers 60% of gross income, and benefits are usually taxable. Could you afford more than a 40% pay cut?
Myth #5: Individual DI insurance costs too much.
Fact: The average annual cost is typically only 1% – 3% of what you earn.
Don’t let the consequences of a disability derail your lifestyle and future plans. I can help you protect your most valuable asset – your ability to work and earn an income.
Questions? Contact: ben@LNAservices.com 602-996-6010
1Social Security Online, disabled worker beneficiary statistics
2National Safety CouncilR, Injury FactsR 2010 Ed.