Disability insurance replaces a portion of your income if you're unable to work due to illness or injury. Your ability to earn income is your most valuable financial asset — disability insurance protects it.
Types of Disability Insurance
Short-Term Disability (STD): Covers 60-70% of your salary for 3-6 months. Often provided by employers.
Long-Term Disability (LTD): Kicks in after short-term benefits end and can last years or until retirement age. Covers 50-70% of income.
Key Policy Features
- Elimination period: Waiting period before benefits begin (30-180 days)
- Benefit period: How long benefits last (2 years, 5 years, or to age 65)
- Own occupation vs. any occupation: Own-occupation pays if you can't do your specific job. Any-occupation only pays if you can't do any job
- Non-cancelable vs. guaranteed renewable: Non-cancelable locks in your premium rate
Who Needs Disability Insurance?
Anyone who depends on their income. Statistics show that 1 in 4 workers will experience a disability before retirement. If you couldn't survive 6+ months without income, you need this coverage.
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Written by the Ensureing Team
Updated March 2026 · 3 min read
