If you were disabled and unable to work as a result of an accident or illness, what would you and your family do for income?
Disability income insurance, which complements health insurance, can replace lost income. Forty-three percent of all people age 40 will have a long-term (lasting 90 days or more) disability event by age 65.
There are three basic ways to replace income:
Employer-paid disability insurance
This is required in most states. Most employers provide some short-term sick leave. Many larger employers provide long-term disability coverage as well, typically with benefits of up to 60 percent of salary lasting from five years to age 65, and in some cases extended for life.
Social Security disability benefits
This can be paid to workers whose disability is expected to last at least 12 months and is so severe that no gainful employment can be performed.
Individual disability income insurance policies
Other limited replacement income is available for workers under some circumstances from workers compensation (if the injury or illness is job-related), auto insurance (if disability results from an auto accident) and the Department of Veterans Affairs.
For most workers, even those with some employer-paid coverage, an individual disability income policy is the best way to ensure adequate income in the event of disability. When you buy a private disability income policy, you can expect to replace from 50% to 70% of income. Insurers won’t replace all your income because they want you to have an incentive to return to work. However, when you pay the premiums yourself, disability benefits are not taxed. (Benefits from employer-paid policies are subject to income tax.)
There are two types of disability policies: Short-Term Disability (STD) and Long-Term Disability (LTD):
Short-Term Disability policies (STD) have a waiting period of 0 to 14 days with a maximum benefit period of no longer than two years.
Long-Term Disability policies (LTD) have a waiting period of several weeks to several months with a maximum benefit period ranging from a few years to the rest of your life.
Disability policies have two different protection features that are important to understand.
Noncancelable means the policy cannot be canceled by the insurance company, except for nonpayment of premiums. This gives you the right to renew the policy every year without an increase in the premium or a reduction in benefits.
Guaranteed renewable gives you the right to renew the policy with the same benefits and not have the policy canceled by the company. However, your insurer has the right to increase your premiums as long as it does so for all other policyholders in the same rating class as you.
With Permission © Insurance Information Institute, Inc. – ALL RIGHTS RESERVED.
Commercial Solutions Ins.
2200 Franklin Street Bellevue, NE 68005
Testimonial from Eric Crouch
As a new client, so far I have only had a positive experience with Commercial Solutions and I already recommended them to others.
-Customer since 2017
Very polite and informative! Very service oriented.
-Steve R., customer since 2012
I appreciate the personal attention and annual renewal meetings. I prefer having a face to face conversation rather than just a "sign here to renew" letter being sent out. I like to ask questions and be sure that my coverage is what I actually need and hear suggestions if changes are necessary.
-Customer since 2016
Jeff & the team at Commercial Solutions are great at getting finding solutions for our insurance needs. I really appreciate the quick response time and friendly service.
-Cathy H., customer since 2014
Commercial Solutions responds quickly, usually same day, and provides us with insurance that our clients request with no problems.
-Jean M., customer since 2015
Jeff & his team are always very fast & courteous in their help to us. Pricing, value... no comparison. A trusted relationship with extremely knowledgeable professionals... they have won our business through consistently demonstrating they put their clients first. Thank you for all your help & guidance. Mike & Sheri Jacoby
-Michael J., customer since 2011
Very easy to work with (Traci is great!!!). I was in a complicated position and you were quick to find me a solution to insurance needs that were above my expectations. Overall service has been great.
-Customer since 2016
I really appreciate how quick you are to get me a quote. Your office is always very professional and friendly.
-Customer since 2014
The customer service at Commercial Solutions Insurance is stellar! The rates are excellent and they really care about their customers.
-Chris R., customer since 2016
We liked how easy it was to sign up, and that it was explained to us well. I do like even more that when we do have a question the customer service is on it. It's nice to know your there to answer questions instead of the old "we got you money now don't bother us" thing that happens all to much with some other companies. Thank you
-Vince S., customer since 2014
Located in Bellevue, NE . We also serve the Council Bluffs, IA, LaVista, NE, Lincoln, NE, Omaha, NE and Papillion, NE areas. - Licensed in Colorado, Iowa, Illinois, Kansas, Missouri, Nebraska and South Dakota