It’s Disability Awareness Month in May (DIAM) within Ottawa, and it’s an excellent opportunity to draw people’s focus to a frequently neglected and misunderstood service. In light of this campaign, I’d like to share some thoughts about the significance of Disability insurance and how insurance providers and agents can alter the way people think about income protection.
When we discuss the difficulty of getting people to think about disability insurance, it is to be at least partially due to a knee-jerk response to the condition itself. The notion of being disabled isn’t something to be taken seriously. Instead, we tend to go back to our youthful thoughts that we are unstoppable. We, as adults, are aware of the possibility of being disabled, yet, we assume that it won’t occur to us. For instance, 61 percent of Ottawa think most people require disability insurance, but only 26% have it.1 It’s crucial for consumers to be aware of the reality when they think about a possible disability and the role that insurance plays in their health and recovery consequences.
Here Are Some Ideas You Can Think of This Month to Help People Feel More About Disability Insurance:
1. It begins with the word: Whoever came up with the concept of “Disability” insurance wasn’t in sales or marketing! It’s not called “Death insurance”; therefore, why employ “Disability”? Fortunately, the industry is beginning to recognize this. I’m beginning to see the phrase “income protection” or “paycheck protection” more frequently – more accurately describing how this insurance product benefits customers. Making consumers think outside the title could aid in overcoming some negative responses or assumptions before the discussion begins.
2. Define what’s important: What would you tell me If I asked you to describe what people think of as their most significant asset? Their house? Their vehicle? Maybe the bank accounts? If you get one of these statements from a prospective customer, I’ll challenge them. Why would a person not think that earning money is the most important thing? Consider this for a moment: If you don’t have to have a regular income, the ability to pay interest on a mortgage, pay for the car payment, or even contribute towards the bank’s account disappears away. Income is the foundation for the other aspects of a person’s financial life, but it gets frequently overlooked.
3. Determine where to get protection: I’ve often heard this while speaking to customers about what happens in the case of a disability “I could get covered in the workplace through Workers Compensation.” The truth is that 90% of all disabilities aren’t related to work, and because they are not associated with work, individuals can not get protected under your Workers’ Comp policy.
A few people also feel a false sense of security, thinking that should they be disabled, they will get assisted by the government. They consider Social Security as their safety net. Social Security does indeed have the Disability benefit. However, the usage is low, and the process is lengthy and complex.
The customer should get informed of what they can anticipate for their protection is crucial to help customers understand the coverage gap and be truthful about the need for disability insurance.
Keeping an eye on disability insurance every May is crucial. However, awareness about disability is a continuous effort that requires insurance companies, reinsurers, and producers to continuously inform the public of the need for disability insurance and provide appropriate solutions.
Each year, the Life Foundation joins forces with others from the insurance industry to increase awareness of income protection. So contact Ottawa Life insurance at (613) 454-1424 or send us an e-mail at info@ottawa-lifeinsurance.ca.
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