EZDIQuotes - Physician DI Quote

Disability Insurance: Longer Waiting Periods, Lower Premiums

Posted on: Wednesday, April 1st, 2009

Disability income insurance is a topic that many people are discovering as they make plans for the protection of their families. While life insurance is crucial – especially when there are small children in the home – consumers have also come to find out how equally important disability insurance can be to the survival of a family should an income earner become ill or injured and not be able to return to work. And when you consider the statistics – a staggering one in seven people will become disabled before they reach the age of 65 – it becomes clear just how important disability insurance is to a family’s survival.

There are many things to consider when it comes to purchasing disability insurance; and policyholders work closely with insurance specialists to determine how much insurance is enough – balanced with how much they can afford in premiums. A disability insurance policy must work on all levels for a policyholder; being over insured – carrying more insurance than they are able to pay for – is just as dangerous as being under insured – when there are huge gaps in the disability income insurance policy that can leave families exceedingly vulnerable.

Of course the ultimate goal of any prospective policyholder is to balance their insurance needs with what they can afford. And one of the ways that premium costs can be lowered is through the choice of longer waiting periods. The waiting period in a disability insurance policy refers to the time that policyholders must wait between the time they are declared disabled and unable to work and the time that they begin to receive their policy payouts. The longer the waiting period, the lower the premiums that the policyholder will have to pay on a monthly basis. Those policyholders that do choose longer waiting periods must ensure, however, that they have put enough of their own money away – or have alternative resources – to cover their living expenses during this gap in time.