Health insurance is an important aspect of human insurance (other than life insurance) and again of the various forms of health insurance, disability insurance is significant.
Concept:
It is designed to replace 45-60% of the insured's gross income (on a tax-free basis) in case he/she is disabled by sickness/illness which prevents him/her from earning an income. Such disability insurance policy varies from every insurance company. However one should note that buying the cheapest disability insurance policy on the market is actually detrimental since the possibility of getting paid by a monthly benefit under a cheap contract may be significantly lower than benefiting from a quality contract. Disability Insurance can cover people like professionals, small business owners, professionals, government owners, engineers, and other occupations falling under Class 3, Class 4, Class 4P, Class 5, and Class 6.
Total Permanent Disability:
Total Permanent Disability means that because of sickness or injury, a person is unable to work in any suitable occupation. Insurance companies define permanent disability differently, although typical definitions would include loss of two eyes, arms or legs; or absence from work for six months owing to an accident or illness (without expectation of returning to work). The difference between Total Permanent Disability and income protection insurance is that in the former case, the insured person should be permanently disabled for the insurer to cover his/her case. Insurance against permanent disability can be done by individual or group of individuals (as part of a life insurance package or separately).
Disability Insurance Agencies:
Some of the agencies offering insurance against disability are:
• Guardian Disability Insurance offering Non-Cancellable and Guaranteed Renewable to those aged 65, and contains own-occupation definition of total disability.
• Disability Income Insurance
• Berkshire Life Insurance Company of America offering Provider Plus 1100
• American Life, Health & Disability Insurance Agency
• Palmer Insurance Agency
For more information on Disability Insurance, please refer to www.mapsofworld.com.
