It’s important to get coverage while you’re still young–when it’s more economical.
As a young professional, you’ve worked hard by applying yourself to everything you do. You thrive by embracing the changes you know life brings. Yet having a job is only the first step toward achieving stability–because not all of life’s events can be predicted. As you start to build blocks for your future, have you thought about protecting the income you’ve work so hard for?
“I’m young and healthy. Why would I need disability insurance?”
You’ll always strive to stay young at heart, but you won’t always be young in years. That’s why it’s important to think about disability insurance now.
Accidents and illness happen regardless of your age. Even so, disability insurance is based on your health, age and medical history. While you are at the prime of your life right now, it may be the best time for attaining coverage. You can secure your coverage while you are healthy for the fruitful life that lies ahead, while knowing your financial security is protected.
“What are the chances I have an accident?”
Statistics show that one in four of today’s 20 year-old workers will be experience disability within their career. In fact, the majority of disabilities are caused by illness rather than accidents. With the average long-term disability claim lasting three years 34.6 months,1 disability insurance can help protect your finances should you suffer an accident or sickness and become unable to work.
“Do I have enough coverage?”
It depends, so you need to answer a few questions: What are your (and your family’s) living expenses–fixed costs (like mortgage, rent and utilities) plus variable costs (the new roof on your house or new car you need)? How much savings do you have to cover expenses should you suffer a debilitating sickness or injury? Take a few moments to calculate your needs using the Life Happens disability needs calculator.
A group plan that’s as dynamic as you are.
- Keep the plan when you job-switch. Group coverage is portable–you can take it with you from one job to the next as your career progresses. By sustaining coverage over time you can both maintain a certain lifestyle in the event you experience a disability, and help protect your future insurability.
- Change the plan according to your situation. You can add your spouse–so you’re both protected from life’s events–and make changes as your life situation evolves.
- Affordability is key. Since group medical underwriting spreads risk over pools of people, you’re less likely to experience price fluctuations than you would with individual coverage. What’s more, group plans are priced competitively in accordance with your industry.
- Get the benefits you need. Disability insurance plan was designed exclusively with professionals like you in mind. That’s because coverage may contain customized features suited to your type of work that you may not be able to find in other plans.
What if my employer already provides disability insurance?
Insurance isn’t one-size-fits-all. Your employer coverage might not adequately meet your financial obligations–like mortgage, living expenses, children's college education, retirement savings and assets, and aging parent care. It may have a maximum coverage time period that leaves you unprotected if your disability lasts longer; make you subject to a tax that can reduce your benefit by 20 to 30 percent; and stop coverage when your employment period ends. It can be smart to look closely at what you have and fill in the gaps where they exist.
Good things come in groups
Employers today are reducing benefits that professionals used to take for granted. By obtaining flexible group coverage, you’ll be free to focus more on pursuing your own goals–and less on worrying about uncertainty.
This information is courtesy of New York Life Insurance Company, used with permission. It is intended exclusively for general information only.
1The Council for Disability Awareness, “Overview,” 2019
For more information about disability insurance options available through the American Academy of Pediatrics Insurance Program, please click here.