Disability Insurance
If you have trouble living within your income now, have you ever wondered how you would be able to live if your income suddenly stopped? Step back for a moment and determine the amount of money that you spend annually to protect your assets (e.g. home, car, etc.). You are probably spending 3-7% of your income to protect your assets. What are your assets worth? Is it more than your future income?
As you can see from the chart below, one has the most to lose early in life. What it does not show is that odds are the person making $2,000 a month at age 25 would have most likely increased his rate of pay as the years went by. Therefore the loss of income is even greater if a long term disability strikes.
| Potential Loss of Income | ||||
|---|---|---|---|---|
| Age when disabled | 25 | 30 | 40 | 50 |
| Monthly Income | $2,000 | $4,000 | $6,000 | $8,000 |
| In one year you would lose | $24,000 | $48,000 | $72,000 | $96,000 |
| In two years you would lose | $48,000 | $96,000 | $144,000 | $192,000 |
| In five years you would lose> | $120,000 | $240,000 | $360,000 | $480,000 |
| By age 65 you would have lost | $960,000 | $1,440,000 | $1,680,000 | $1,800,000 |
Owning a disability insurance policy should not be optional, and should not be a decision you need to think about. You can request a disability insurance quote and it would be my pleasure to supply you a quote from some of the largest Disability Insurance companies in the industry. Your cost will range between 2 and 4 percent of your income. This is usually less than you pay to protect your assets. Wealth Preservation is one of the key elements in the protection of your family. Is your Wealth Preservation Plan up to date?
It is a foundation product that every working individual needs to make sure they are able to maintain their current lifestyle in the event of a long term disability. Disability Insurance makes sure that if a sickness or injury prevents you from performing the material and substantial duties of your regular occupation, there will continue to be money coming in the door to pay all of your bills.