Income Insurance Insights: Let’s Chat About Supplemental Disability Insurance

We get it, nobody likes to think about worst-case scenarios.  In an ideal world, getting sick or being in an accident wouldn’t be something we have to worry about.  In an ideal world, if those things did happen, we would all have enough support and financial stability to recover and be able to pay bills.  But you don’t need us to tell you we don’t live in an ideal world.  What we can do is help you protect yourself, so you don’t have to worry about those worst-case scenarios. So, what does that look like?

First off, let’s talk terminology…

You may have already heard the term ‘disability insurance’.  To be honest, it’s a little outdated.  It doesn’t really give you an accurate picture of what it is and what it does.  That is why at Asteya we use the term ‘income insurance’.   Income insurance is intended to protect your financial future in the case of an accident, injury, or illness causing a long-term disability that prevents you from working in your previous capacity.   

Wait, don’t I have that in my employee benefits already?

You actually might.  Right now it is possible that you are included on your employer’s group disability insurance policy, which should (in theory) keep your income safe if you become sick so you can keep paying the mortgage and bills.  So does it?  Sadly, not nearly enough.  You see, the truth is that most of those policies only cover 60% of your income and because it is a tax-deductible benefit, the cap could mean that you are only left with 40% coverage of your income.  If your salary was suddenly cut to less than half, would you struggle to make payments, let alone continue to save?  Could you look after your loved ones?  Would you find yourself worrying about money and put your recovery in jeopardy?  By securing Extra Income Insurance, as we have at Asteya, you can bridge that gap and make sure that a much greater majority of your income is covered. 

But I’m healthy and I work out, do I really need supplemental income insurance?

First off, well done!  The more we can take care of ourselves, both mentally and physically, the better off we will be.  Promoting individual wellness definitely helps to reduce the risk of illness or injury, but it can’t remove it all together.  When it comes down to it, we just don’t know what the future holds.  While we all hope for the best, accidents or illnesses don’t discriminate, they can affect us all. There are many things that we could experience that would impact our ability to work.  Significant hand damage could stop a surgeon, a bad case of pneumonia could keep an administrator bed bound and a long-term disability could drastically impact the capabilities of a sales or marketing director.  Workers today have a 30% chance of suffering an illness or injury that keeps them out of work for 90 days or longer.   Many employer disability insurance policies only provide short-term or insufficient coverage and if the event was non-work related, you wouldn’t be eligible for workers compensation. 

Okay, so break down the benefits of extra income insurance for me.

In the same way as having car insurance or home insurance reduces your risk and stress, extra income insurance or supplemental disability insurance gives you the level of protection that will ensure peace of mind.    Here are some of the reasons why:

• It covers more. With extra income insurance, you can increase your safety net to cover your specific needs and financial obligations.  You can take into account your personal expenditure, projected income, and bonuses and calculate a figure and payment plan that suits your needs and those of your dependants.  

• It’s all yours. Any existing long-term disability policy that you have is tied to your role and your employer.  When you secure your own extra income insurance policy, it stays with you, even if you move jobs. 

• It’s simple and fast. You can get a policy from Asteya in just a few minutes, and you don’t need to undergo a medical exam, provide financial data or have a complex verification of multiple documents done.

• It’s an affordable investment. Given that by the age of 42 people are four times as likely to have an injury or health complication during their working years than they are to die, securing financial protection for you and your loved ones seems pretty vital.  With tailored coverage starting from just $6 per month at Asteya, this is one investment that will give you peace of mind without breaking the bank, so you can focus on living life to the fullest.