Cawiau follow up- for disability insurance

[robbase]

All - Cawiau's thread reminded me I need to get disability insurance for the wife. I am not too familiar w/ reputable companies so any recommendations on comapnies and exact type to get (stipulations)? I would greatly appreciate it.

[formerexpat]

What does your wife do? Benefits will be tax free, so you only need to replace 60-65% of income. Are you getting STD and LTD? Make sure the LTD goes up to 67 years of age to bridge her to SS age.

Get a SDIR - supplemental disability income rider; this will "top you up" from the benefits she receives from the government.

Get a benefit increase rider - will increase the benefits over time for up to double the original monthly benefit [for inflation protection]

residual rider benefit - this will pay you a monthly benefit if the disability results in a loss of prior earnings of >20%. If the loss of earnings is >80%, then the full benefit is paid. This helps protect against her not being able to do her job but being able to do something, like work at Walmart.

I'd go to www.wholesaleinsurance.com. They work with a number of companies and you can compare prices and companies. We've used them in the past for life insurance as well as my mothers husbands disability policy and they were pretty good and helpful.

[Deleted]

We both have Aflac for both Short term and Long term Disability.

We have heard some pretty good things about them so made the decision easier. Life formerexpat mention, benefits are indeed tax free so you will only need to replace your net income.

Our short term disability is about $5/week and the long term... I really don't remember right now, I'll get back to you tomorrow.

[robbase]

I am currently in the military so I don't think disability insurance makes sense to me right now (if I become disabled on active duty the military has all these things to take care of you - programs and disability money)

My wife is a social worker.

thanks for the recommendations, any others would be welcomed as well

[robbase]

cawaii- any info on the LT insurance cost?

[Deleted]

May 7, 2011 13:03:19 GMT -5 @robbase said:

cawaii- any info on the LT insurance cost?

Totally forgot about it. I will post it for you first thing tomorrow morning.

But off the top of my head I believe it comes close to $100 or so a month for both of us. It will be different for you because for us it is based on our age, career and current income (if you are in a higher risk career will be more expensive)

It will replace our salary till 67 I believe if we were to get injured and have to go on long term disability.

[robbase]

cool, thanks