Important Features to Know in Your Disability Policy

When purchasing a disability policy, there are several things that you will need to be aware of. Here are a few important features to know in your disability policy.

Elimination Period

The elimination period is a time frame that determines how long it will be after you become disabled before you can start receiving benefits. This is sort of like a deductible with traditional insurance. For example, you might have to wait 90 days before you can start receiving benefits.

Benefit Period

The benefit period is another feature that you should be aware of. This is the amount of time that you will be able to receive benefits from your disability policy. It can be a specific number of years, or it could stop once you reach a certain age. It is important to understand how long you will have these disability benefits so be sure to research your policy information.

Amount of Income Replacement

When looking at your policy, it is also important for you to know how much of your income will be replaced. Some policies will provide you with full replacement, but most policies only give you a certain percentage. Research whether the policy includes anything for increases in income, or an allowance for inflation.

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