3 Tips To Help You Purchase A Short Term Disability Policy

While you may be healthy right now, there is no way to predict when an injury or illness may prevent you from going to work and earning a paycheck. If you want the peace of mind of knowing that you have a financial safety net if you are unable to work for a few weeks or a few months, purchasing a short term disability insurance policy is an excellent choice. However, since there are so many insurance companies that offer this type of policy, it can be overwhelming to make a decision regarding which company to work with and which policy to buy. Use the following tips below to help you purchase short term disability insurance:

Get Multiple Quotes

In many ways, buying a short term disability insurance policy is not that different than purchasing auto insurance or homeowners insurance. Before you buy a policy, it is always in your best interest to shop around and request multiple quotes. When you get short term disability insurance quotes from several companies, you will be able to compare and contrast the expense of the premiums and other things offered in a policy in order to determine which company offers the best value.

Make Sure You Understand the Benefit Lengths

When buying short term disability insurance, it is important to note that different policies will have different benefit lengths. One can opt to buy a short term disability insurance policy that has a benefit length of three months, while someone else may be more interested in a policy that has a benefit length of six months. The benefit length refers to how long the insurance company will compensate you for a percentage of your loss of income while you are out of work. The longer the benefit length of your policy, the more you can expect to pay in insurance premiums.

Ask About the Elimination Period

When you have a short term disability insurance policy, benefits do not always take effect the first day that you miss work due to injury or illness. The elimination period of a short term disability insurance policy refers to how long you must be out of work before you begin receiving benefits. You can opt to have your policy go into effect after just a couple of days of missing work, or you can purchase a policy that has an elimination period of one or two weeks.