Has anyone obtained long term disability insurance in planning for that eventuality that you can't work anymore? Anyone have any opinions on using this type of insurance?
Sadly, with KD, you are not likely to be able to get LTD insurance. I went through a broker who polled several companies, big and small, and all said that they would not sell insurance to someone with KD.
There are some problems with buying disability insurance for SBMA. First, the disease arrives so late in life, and progresses so slowly, that you might reach retirement age before you are disabled. Second, be aware the insurance company will put up a fight and say you are still able to work at a desk or office job, so you are not totally disabled. There is also the question of whether you bought "own occ" coverage that pays if you can't work at your OWN occupation, or "any occ" coverage that pays only if you can't work at ANY occupation.
I have one thing to add to Allan's point: You don't necessarily have to tell the insurance company that you have KD. Generally they will have a questionnaire asking about specific diseases, and KD will not be on it because the disease is too obscure. Your obligation is only to answer the questions truthfully, not to volunteer additional information, unless they ask a quesion like, "Do you have any other neurological conditions?" in which case you'd have to answer yes.
Even with that said, I still don't think most people should buy the insurance. Keep in mind you have to pay on it for many years before you could consider making a claim. Statistics show that most people never collect on disability insurance simply because they stop paying and let the policy lapse. Be sure to add up the total of your expected payments and think about whether you'd do just as well saving and investing the funds....keeping in mind the saved funds are "a bird in the hand" as opposed to parking the money at an insurance company that might try to deny your claim and give you nothing.This message has been edited. Last edited by: Dan B,
Location: rochdale. england.
First class post here Dan. I totally agree with you. Putting money aside is the way forward.
Location: rochdale. england.
First class answer here Dan. I totally agree with you. Putting money aside is the way forward.
Thanks for the advice and info. It makes much better sense to take the money that would be spent on premiums and put it into my retirement account.
Dan provides some interesting information and considerations. I, however, have had a positive experience with disability insurance.
My company offered DI and when I joined the company I signed up for it even though I didn't know I would need it. I was forced to retire at age 57. The DI paid 2/3rds of my salary up to $XX,000. That along with Social Security-Disability helped make the transition much easier.
As Dan mentioned, run the numbers and determine if it makes sense for you. If you work for a larger company that offers DI, give it serious consideration. The premiums were quite reasonable ... and like any insurance, you hope you never have to exercise the policy's coverage.
Jeff, because I work in the insurance industry I thought I would add my 2 cents. As Dan said, you are not going to be able to buy a disability insurance policy in the private sector unless you lie in the underwriting process. If you did lie, there is a good chance that it would be discovered when you file the claim and insurance company does an investigation and goes through your medical records. You should be able to get a policy in the group sector. This is the type of policy Bruce is refering to where you are offered it through work and there is no underwriting. With that said, you still have to read through the policy at the pre existing conditions clauses and defitions of disability. Not sure what you do for a living, but if it is possible, I would try and work for a large company where you can get this type of insurance because I know many men with KD that can't make it to retirement age.
Just wanted to add that I agree with Bruce's and Ron's point that if you are offered disability coverage at a reasonable price through a large company, you should take it. In my earlier post, I was thinking of an individual policy that costs more and is subject to underwriting.
Ron thanks for pointing that out. I am a ER RN at a large hospital. I have carried short term and long term disabillity since I started here many years ago. Funny thing is, to me anyway, when I think long term I think of more than 90 days. Our short term covers the first two weeks and the long term covers ninety days. I am not sure of how long it would take to obtain SSI. Of course I have heard about what a nightmare it is to apply for and that it can be a lengthy process. Again I appreciate everyone's input on the matter.
Bruce I tried clicking the link you posted for SSI to read up on it but the link seems to be broken. Do you still have the link somewhere? I am not currently in need of retiring just planning for the future.This message has been edited. Last edited by: Jeff,
Jeff, I just tried the link and it worked for me. Try it again, if it doesn't work, send me a private message with your email address and I will send you the actual file.
Reference the process, almost everyone who followed the tips in the guide were accepted within 90 days or less. Documentation, and doctor and employer support are key to a successful application. Remember, it is a government process so overkill is far better than anything. If you have any specific questions, please let me know.
Thanks Bruce. The link worked just fine when I clicked on it this time. I have already had to step away from the beside. People tend to get a little nervous when you come at them with a needle and your hand is shaking like crazy. I have taken a management role at the hospital and returned to school to complete a Masters Degree in Health care administration. Hopefully that will allow me to extend my employment long enough that I won't have to pursue disability.
Jeff, good to hear you have a plan. Good Luck!
Kennedy's Disease Association
PO Box 1105 Coarsegold CA 93614