Are You in Need More Disability Insurance?

When your house appreciates, It’s not difficult to realize that your insurance policy needs to grow. It’s helpful to think similarly regarding your disability insurance policy when your income increases.

The disability insurance benefits you receive will not automatically increase if you get granted an increase. Benefits are calculated depending on your earnings at the initial enrollment and will only increase if you ask for an increase. If you get a deserved raise, make sure to speak to the account manager at registration to increase the number of your benefits as well.

Are You Currently Getting the Most Benefits?

If you’re not receiving any raises, it’s crucial to assess your benefit amount to ensure you’ve got the appropriate insurance for your earnings. Be aware that disability insurance does not cover your entire salary. A change in an insurance coverage bracket generally will increase your monthly premium by just $5-8 per month.

Another option to increase protection is adding optional riders to your insurance policy. The rider is an additional plan to add to your existing policy that offers various possibilities. Specific programs provide riders accidents insurance, COBRA as well as other benefits. Make sure you inquire about these riders at the time the next time you enroll.

Elimination Period Considerations

When you decide on your disability benefit amount, consider the period of elimination that needs to end before benefits can get paid. It will affect your financial plan since you will not receive gifts at that time. It is essential to know the timeframe for your elimination and prepare for the time without earning any money.

Learn about Policy Offsets and Other Eligibility

When evaluating your need to cover yourself, you should determine whether your policy contains provisions that allow for adjustments, limitations, exclusions, or offsets in your plan. These could be rules that apply to other income sources and how your disability benefits get offset against the income amount. A few examples are Social Security disability benefits, state disability insurance, and more.

When you are educating yourself about offsets, be wary of reducing the benefits you receive because there is a chance that a balance will apply. These offsets are not guaranteeable. If you were not eligible for any other income source, You should make sure you get the most benefits.

Be Aware of When You Can Make Changes

Some employers insist that insurance premiums and plans be changed only in your annual enrollment or if you go through any life-changing event that qualifies as a qualifying one like the birth of a child, marriage or. If you get offered an increase, and it’s not the time to enroll for your annual renewal, set up a reminder to yourself to inquire with your account manager to increase your benefits once the moment arrives. Call Ottawa Life insurance at (613) 454-1424 or send us an e-mail at info@ottawa-lifeinsurance.ca.