3 people who absolutely must have disability insurance, according to a financial planner - Business Insider

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3 people who absolutely must have disability insurance, according to a financial planner

, it might be a necessary piece of the puzzle if any of the following three scenarios applies to you and your life.Whether you're single, the breadwinner, or a one-income household, your household needs your income not only to manage expenses but also to keep pace with savings goals. While you may already have group long-term disability coverage through your employer, that may not completely cover your needs.

So, for example, say you made $200,000 per year — but only $75,000 of that compensation is salary — and your group policy covers 60% ofpay. Your disability insurance may only provide a benefit of $45,000 per year. Another 12% to 22% of that would be taken out for taxes. . Leaving a job also means leaving your benefits, which could mean failing to protect against the risk of being sick or injured.

can use to pay for fixed expenses, like employee salaries, business-related loans, rent or mortgages, and utilities, during the owner's recovery.

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