Short Term Disability Insurance

According to the American Council of Life Insurers, nearly one-third of all Americans will suffer a serious disability between the ages of 35 and 65. Do you have disability insurance?

What is short term disability coverage?

A short term disability plan would pay a portion of your salary if you become disabled for a limited time. If you become unable to work due to injury or sickness the disability plan would kick in. A regular short term disability plan might provide you with a weekly portion of salary ranging from 50-66% for 13-26 weeks. This is excluding on the job injury.

You generally start receiving benefits from your policy within one to 14 days after sickness or disability. The actual time for coverage to kick in depends on whether you suffer an illness or injury. If you suffer an injury, your benefits will be paid immediately. If you suffer an illness, it will take longer because there needs to be enough time to show disability.

Do I need disability insurance?

If you have enough in savings to last until you go to work again (maybe approx 6 months), you probably don't need to buy short term disability insurance or an individual accident policy.

Related Article: Long Term Disability Insurance >>