Michael on November 19th, 2007
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One of the most overlooked benefits–particularly during the annual enrollment period–is disability insurance. With all the attention paid to health insurance and life insurance, disability insurance often gets the short end of the stick.

While this often surprises people, most folks do need disability insurance. In fact, long-term disability insurance is an important benefit at any age. Don’t skip this one, even if you are young. Not convinced? Read these statistics, from MSN’s Money Central:

“Every year 12 percent of the adult U.S. population suffers a long-term disability. One out of every seven workers will suffer a five-year or longer period of disability before age 65, and if you’re 35 now, your chances of experiencing a three-month or longer disability before you reach age 65 are 50 percent. If you’re 45, the figure is 44 percent.”

Furthermore, when you are young, the odds of dying are far lower than the odds of your becoming disabled. Plus, if there are no survivors depending on your income, the financial burden caused by your death is minimal.

You: Don’t rub it in.

A disability has entirely different financial implications. If you are disabled, an income is required to take care of you, whether or not you have dependents. Your personal needs might actually increase. Absolutely take advantage of a long-term disability option offered through your employer. It’s quite likely far less expensive to purchase such a policy through your employer compared to buying one on your own.

Taking advantage of a group (corporate) long-term disability insurance option is a crucial cost-effective step to living Beyond Paycheck to Paycheck.

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