A recent NY Times article published that “death and disability are the leading causes of a family’s financial hardships”. Life is unexpected and disability can occur at any time. Insurance companies more and more are combining insurance packages to cater in those instances. Life and disability insurance packages are usually recommended for a family.
First let’s take a look at them separately so we understand what they each do and what they cover individually.
This is pretty straight forward. Life insurance is a contract that you purchase and pay a monthly premium on, they in exchange will pay your family and or beneficiaries an amount upon your death. This will leave your family with some sort of financial security and peace of mind.
Is another type of insurance that can be purchased where again you would pay a monthly premium in the event that you get disabled and are unable to work for an extended period of time, this insurance will then pay you a sum of money during your unemployment due to your disability.
When combining the both life and disability insurance, take a look at all the advantages. For example combined policies can be exempt, this allowing the cash values in the plan to accumulate on a tax deferred basis. Combining life and disability insurance can also simplify the process for the insured, since the requirements are quicker and any documentation as well as medical checkups. There is a also a possibility of building on a cash reserve. It also creates flexibility with the insured in mind.
When choosing a company for life insurance quotes and disability insurance quotes, do research, on the costs, benefits, premiums, ask questions to see what best fits your family’s needs. Insurance companies will answer any and all questions to help you personalize the right coverage.