The following are some common questions about disability income insurance.

When Am I Considered Disabled?
The definition of disability will vary depending on the terms of your own individual policy and/or your employer’s plan. Some policies and plans pay when you’re unable to perform the duties of your own occupation, while others pay only if you’re unable to perform in any job suitable for you based on your training, education and experience.
Some policies and plans may use an own-occupation definition for a period of time (e.g., two or three years), after which an any-occupation definition is applied. Other policies and plans require that you not be gainfully employed while you’re collecting benefits.

There are policies and plans that will pay you a portion of your monthly benefit if you have lost a part of your income due to a disability—usually referred to as a residual or partial disability benefit. Additionally, some policies and plans include a  rehabilitation benefit that pays some or all of the cost of occupational rehabilitation approved by the insurer.

Keep in mind that many policies and plans will not cover disabilities caused by suicide attempts, drug abuse, war, or attempts to commit a crime. Pre-existing conditions are also frequently excluded.

When Will Benefits Start?
Benefits will begin to accrue shortly after the end of the waiting period. Most individual disability policies and group plans have a waiting period (e.g., 90 days, 180 days). When you choose individual disability coverage, consider how long you can manage without a paycheck. If you have significant savings, you may be willing to choose a longer waiting period. The longer the waiting period, the lower the premium. Under most group plans, generally the employer selects the waiting period.

How Long Will Benefits Be Paid?
With individual disability income policies, you can select the maximum time your benefits will be paid, subject to the insurer’s underwriting guidelines.With most group disability plans, the employer selects the maximum duration of benefits. The most frequently offered benefit periods are two years, five years, and to age 65. Policies with shorter benefit periods will have lower premiums.

What if I Need to File a Claim?
You will need written proof of your disability to file a claim. Your insurer may also require medical records from your doctors concerning the details of your disability. Your insurer may also want you examined at their cost.

Your benefits will begin accumulating after you have been disabled for the predetermined waiting period. If you return to work before the waiting period is over, you most likely will receive no benefits. Note that premiums are usually waived during your disability.

If you find yourself unable to work someday, you’ll need to concentrate all your energy on getting better. Disability insurance can help you do that by alleviating financial worries so you can focus on your health and your future.