Already on ArticleSlash?

Forgot your password? Sign Up

Disability Insurance 17 - Why is Important to Have Disability Income Replacement Insurance


Visitors: 419

Since income earned from employment is the foundation of most people's financial well-being. Income replacement insurance is a vital part of business owner as well as working people as it allows the continuation of income in case of accident or sickness. Consultants/contracted employees and professionals, such as lawyers, doctors, dentists, etc are more vulnerable to income disruption if they suffer from disability because of specialty of their occupations and replacement for their work is hard to find.

Here are 12 questions that you should ask yourselves, if you can not find any of solution, then income replacement accident and sickness insurance is the best to consider.

1. What would happen to your business if you had to take 6 months off due to illness or injury? or may be longer.

2. How would you pay these if you were unable to work due to illness or injury.

3. 1 in 70 motor vehicles involved in an accident cause disability, injury or death.

4. Over 4% of all mortgage foreclosures are a result of the death of the major breadwinner. On the other hand, 48% are a result of a disability of the major breadwinner.

5. 1 in 8 people will become disabled.

6. How much money will you and your family need when you become disabled?

7. Where will that money come from if you suffer from accident or sickness?

8. Where would the money come from to pay for the expenses listed above should you be involved in an accident or became so ill that you could not earn an income?

9. Do you know that if if you save 5% of your income each year - a total disability that lasts 6 months could wipe out 10 years of savings.

10. Can you pay all these expenses on just your spouse's salary? Are you using both salaries to pay your expenses or are you putting one complete salary away in investments or savings?

11. How likely is it that you will get fair market prices when you are forced to liquidate quickly? Is this the reason you acquired those assets?

12. If your spouse is not already working, how quickly can they enter the workforce and earn the same income you were earning?"
Income Replacement Insurance is the cornerstone of a sound financial plan. Self employ people should aware of their income replacement needs.

I hope this information will help. If you need more information of the above subject, please visit my home page at:

Kyle J. Norton

All rights reserved. Any reproducing of this article must have all the links intact.
I have been studying natural remedies for disease prevention for over 20 years and working as a financial consultant since 1990


Article Source:

Rate this Article: 
Disability Insurance Income
Rated 4 / 5
based on 5 votes

Related Articles:

Disability Insurance 07 - Understand Disability Insurance Contract Wording of ..

by: Kyle J Norton (October 08, 2008) 

Disability Insurance 19 - Understand Individual Disability Insurance Occupation .

by: Kyle J Norton (October 12, 2008) 

Disability Attorney Insurance Warning - Disability Insurance Can be Terminated

by: Gregory Dell (August 13, 2010) 
(Legal/Labor Law)

Disability Insurance 15 - Disability Benefits Under Life Insurance Policies

by: Kyle J Norton (October 09, 2008) 

Disability Insurance 21 - Understand Types of Individual Disability Insurance

by: Kyle J Norton (October 12, 2008) 

Disability Insurance 16 - Understand Disability Insurance Riders

by: Kyle J Norton (October 10, 2008) 

Disability Insurance 20 - Understand Corporate Disability Insurance

by: Kyle J Norton (October 12, 2008) 

Social Security Disability - Why Disability Insurance is the Best

by: Becca Rode (October 08, 2008) 

Disability Income Insurance

by: Joqtan Anicama (July 13, 2008) 

Disability Insurance Income

by: Keith Mallinson (December 16, 2007)