Five Things to Consider While Selecting a Disability Insurance Company

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When choosing companies that offer disability insurance, there are specific points that you might consider before settling for the right one. There are numerous insurers who offer different policy options; it can get overwhelming. This article will help you in focusing on the essential pointers that will help you settle for the most convenient option.

1.   Determining whether the policy is employer-sponsored or individual

There are policies that enable your employers to pay on your behalf. Usually, these policies are cheap or free. But the problem with the employer-sponsored policy is that it concentrates on benefiting the insures more than it focuses on your well-being. On the other hand, individual disability insurance might be costly, but it will ensure that you are served right.

2.   Whether your policy is portable or not?

While you are purchasing your disability insurance, ensure that they are portable, which means you can continue the same policy while switching jobs. Most of the employer-covered policies are not portable, whereas individual policies are mobile.

3.   Premium

You can choose a premium that is suitable for you if you opt for individual disability insurance. There are different premium options such as lock-in a premium, renewal policy, non-changeable policy, etc. If you choose a guaranteed renewal, you can make changes to the premium you are paying without changing the policy. On the other hand, a non-cancelable policy means you will be restricted from changing your premium and coverage.

4.   Whether the cost of the living benefit is included or not?

While you are talking to an insurance agent about your insurance policy, ensure to ask them whether your policy covers the cost of living benefits or not. It is a significant feature, and you must include it in your policy. It offers you added benefits by taking care of your financial stability.

5.   Collection time

The collection period of a policy varies from company to company. There are companies who allow you to avail of the benefits as soon as the formalities are covered, but for some companies, the timeframe of the collection is very lengthy. A lengthy collection time is something that you must aim to avoid. So make your queries beforehand.


To sum up, these are the five critical factors you should consider before opting for a disability insurance policy. Be as vigilant as possible while making your decision.