Disability Insurance 101 Questions & Answers

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What is disability insurance?
Disability insurance replaces part of your income for a specific period of time if you're unable to work because of an illness or injury. Group disability insurance, like that offered through your association, can offer key advantages designed for the unique traits of your group.

Why do I need disability insurance?
People often think disability insurance only covers serious injuries and illnesses. However, many common injuries and illnesses can result in you being unable to work. The fact is, over 25% of today’s 20-year-olds can expect to be out of work for at least a year because of a disabling condition before retirement. Source: U.S. Social Security Administration, Fact Sheet, 2019

What types of disabilities are covered?
While people generally think of disabilities being caused by accidents, many disabilities are caused by illness. Plans vary in the specific types of disabilities covered, however disability insurance typically covers a variety of illnesses, as well as serious accidents and injuries which prevent you from working.

How much disability insurance can I apply for?
There is a maximum amount of disability insurance you can apply for. You are usually limited to 45-66% of your monthly income across all disability insurance you may own.

How much does disability insurance cost?
The cost of disability insurance depends on the amount you apply for, how long it will last, the length of the waiting period, as well as your age, health, and occupational factors. Refer to our rate chart or online quote. TPA provides links.

What is a waiting or elimination period?
A waiting or elimination period is the length of time you have to wait before the insurance company will pay benefits. The longer the waiting period, the less expensive the insurance.

How do I apply for disability insurance?
You can apply online or download a printable application that you complete and return by mail. TPA provides links.

Do I need a medical exam to apply for disability insurance?
Not always. You may be requested to answer a few health questions by phone or have a medical exam. The exam is at the insurance company's expense and scheduled at your convenience.

Could my disability insurance application be denied?
Yes. Applications are reviewed for insurability based on age, health and other information you provide or give permission to obtain.

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