1. 63333 POINTS
    Peggy Mace, Certified Senior Advisor (CSA)®PRO
    CEO, Outlook Life, Inc, Most of the U.S.
    Some things to consider when buying disability insurance are:

    1) Do you want short term disability insurance, or long term disability insurance, or both?
        Long term disability is recommended if you cannot afford both, as the effects of being unable to work for many months or years is the most devastating.

    2) How much (what %) of your income do you wish to replace?
        It usually makes sense to get as much as you can.

    3) Do you want to spend more to have Own Occupation feature?
        If not, you will need to go back to work when you can do any job. With "own occ" you will be paid until you can go back to your own occupation.

    4) What about Residual Disability?
        Getting a policy that offers Residual Disability enables you to receive a partial benefit based proportionate to the amount of income lost when able to resume working part time (unlike Partial Disability, which just pays a set %).

    5) What does your policy cover?
        Make sure it covers illness and injury, and review the conditions covered.
    Answered on September 14, 2013
  2. 61667 POINTS
    Steve SavantPRO
    Syndicated Financial Columnist, Host of the weekly talk show Steve Savant's Money, the Name of the Game, Scottsdale Arizona
    Disability insurance is paycheck protection. Purchasing the maximum benefits is dependent on your annual compensation. Long term disability is the preferred form of paycheck protection, but not everyone can afford it. So, short term disability insurance can provide some income if yo can't work. The elimination period defined when benefits start. Your cash reserves can help you determine how long the waiting period should be. If you have vocational specialty, the  "Own Occ" provision can coverage your skill set.
    Answered on September 14, 2013
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