The Most Important Thing to Insure

A recent graduate, Darien Smith had began working at a local home improvement store while attending a community college in Miami.  During a regular shift at work, he accidentally fell and hit his head.  Two weeks later, he was accidentally struck in the head by another employee moving stock around.  The injuries from these two incidents left him paralyzed from the neck down.  At age 19, he became a ventilator dependent quadriplegic - permanently disabled due to injuries suffered on the job.

Injuries on the job, even those less severe than Darien's, force three out ten Americans into disability before retirement.  And once disabled, the ability to earn a living can disappear altogether, adding another layer of devastation to the family.  But disabilities don't just occur on the job however.  Accidents and injuries can happen anywhere and when serious enough to result in disability, even for just a few months, the loss of income earning ability can derail a family financially.

Disability insurance is insurance for your paycheck.  It provides specific payments directly to you if you become disabled whether for a short or long period of time.  The coverage is available whether the disability resulted from injuries suffered on or off the job.  It can also cover spouses under similar terms.  The payments from a disability policy help offset your loss of income from not being able to work.

Have you and your family discussed how you would cope financially with a period of disability?  How would you continue to meet the family's living expenses?  The Council for Disability Awareness (CDA) suggests a simple starting point to planning for the unthinkable:

1. What are your necessary monthly living expenses?  These are often fixed costs such as rent or mortgage, utilities, food, medical insurance.
2. Can your savings carry you for one month?  three? six months or longer if necessary?

Answering these two questions will help you begin the planning process.  You can also visit the CDA's website for additional resources and tools at www.disabilitycanhappen.org.  Simple planning today can help you put a few dollars a week away, to ensure that you and your family could continue to meet regular living expenses after disability.