Quick Facts on Disability Insurance

Written by Tony Novak


Continued from page 1

§Most policies may be continued year after year until you retire. Butrepparttar average life of a disability insurance policy is about 5 years.

§The average time required for an insurer to review an application is about 3 weeks. The insurer may request copies of medical and financial records.

§Applications are still submitted on paper; no online enrollment system is available.

§Expectrepparttar 112748 premium cost to be about 2% of your salary if you have a “desk job” and about 4% of your salary if you work with your hands. Of course, this is a very rough guideline, andrepparttar 112749 actual cost will depend on a greater number of individual factors.

§When a policy is issued, you have at least 10 days to review all ofrepparttar 112750 details and cancelrepparttar 112751 coverage if you are not completely satisfied. It may be useful to have an independent financial adviser reviewrepparttar 112752 new policy during this period.

§Assuming that you keep disability insurance forrepparttar 112753 balance of your working career,repparttar 112754 probability of suffering a loss of income due to accident or illness sufficient to trigger a claim under your policy is about 1 in 4.

§If you become disabled, you should consult with an attorney who specialized in disability insurance claims before filing a claim withrepparttar 112755 insurer. This may help avoid delays and disputes regardingrepparttar 112756 claim.

Tony Novak, MBA, MT, is a financial adviser based in Narberth, Pennsylvania. He is editor/publisher of “Tax and Benefit News” and moderator of the tax forum for financial planners at “Financial Planning Interactive”. He is available by telephone at 1-877-529-7435 to address public inquiries on tax and benefit planning issues free of charge through OnlineAdviser service sponsored by www.MedSave.com and www.FreedomBenefits.com.


Update on Student Health Plans

Written by Tony Novak


Continued from page 1
Fortis Health,repparttar largest issuer of student insurance policies, announced that it is raising rates for policyholders over age 29. The new rates will be about 15% higher. Whilerepparttar 112747 new rates are probably still attractive compared to regular medical insurance policies, there are other alternatives for older and non-traditional students. Fortis’ rates for short-term medical insurance or permanent individual insurance with a high deductible might be a better deal in many situations. An alternate health insurance plan from Clarendon Insurance Company often offers 3 years of coverage to individuals over age 29 at a lower price thanrepparttar 112748 Fortis plan. Rates and enrollment for all of these plans are available online at www.MedSave.com.

About the Author: Tony Novak, MBA, MT, is a financial adviser based in Narberth, Pennsylvania. He is editor/publisher of “Tax and Benefit News” and moderator of the tax forum for financial planners at “Financial Planning Interactive”. He is available by telephone at 1-877-529-7435 to address public inquiries on tax and benefit planning issues free of charge through OnlineAdviser service sponsored by www.MedSave.com and www.FreedomBenefits.com.


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