Long-term disability (LTD) insurance is an important form of protection that can help to replace a portion of your income if you become disabled and are unable to work for an extended period of time.
Here are a few reasons why LTD insurance is important:
- Income replacement: If you become disabled, LTD insurance can help to replace a portion of your income, so you can continue to pay your bills and maintain your standard of living.
- Protects savings and assets: Without LTD insurance, you may have to rely on your savings or other assets to support yourself if you become disabled. This can put a significant strain on your finances and may even lead to financial ruin.
- Employer-provided coverage may not be enough: Some employers may provide disability insurance, but it may not be enough to cover all of your expenses if you become disabled.
- Social Security disability benefits may not be sufficient: Social Security disability benefits can provide some financial support, but they may not be enough to cover all of your expenses.
- Helps to maintain independence: Being disabled can be difficult and challenging, but LTD insurance can help to provide you with the financial resources you need to maintain your independence and autonomy.
It’s important to note that the likelihood of becoming disabled is higher than you might think, and the effects of a long-term disability can be devastating, not only financially but also emotionally and socially. Having a LTD insurance can provide a safety net and peace of mind, and help you to prepare for unexpected events.
This communication is for informational purposes only and should not be construed as legal, accounting and/or tax advice. Should you have any questions and/or issues in these areas, please consult your legal, tax and/or accounting adviser. All views, expressions, and opinions included in this communication are subject to change. This communication is not intended as an offer or solicitation to buy, hold or sell any financial instrument or investment advisory services.