What are the different types of disability income insurance?
Disability income insurance policies typically come with one or more of the following features: Noncancellable: Guarantees that as long as you pay the premiums, your disability insurance policy can’t be cancelled and typically locks in the premium rate for a set number of years. Guaranteed renewable: For short-term needs, this policy guarantees that you can renew the policy with the same benefits as long as you continue to pay the premium. There is the possibility that your premium will increase. Yearly-renewable term: For short-term needs, this type of policy has a scheduled annual premium increase. Participating policies: Provides the company may declare a dividend depending on the company’s claims, experience that year, earnings on the company’s investment and company’s operating expenses. Dividends are not guaranteed. Who needs it? Whether you’re single, married, have children, or own a business, a disability that keeps you out of work can be costly. To continue your standard of li
Disability income insurance policies typically come with one or more of the following features: Noncancellable: Guarantees that as long as you pay the premiums, your disability insurance policy can’t be cancelled and typically locks in the premium rate for a set number of years. Guaranteed renewable: For short-term needs, this policy guarantees that you can renew the policy with the same benefits as long as you continue to pay the premium. There is the possibility that your premium will increase. Yearly-renewable term: For short-term needs, this type of policy has a scheduled annual premium increase. Participating policies: Provides the company may declare a dividend depending on the company’s claims, experience that year, earnings on the company’s investment and company’s operating expenses. Dividends are not guaranteed. Who needs it? Whether you’re single, married, have children, or own a business, a disability that keeps you out of work can be costly. To continue your standard of li
