Employees or workers rely on their benefits to secure their income even if they suffer a disability. Specific disabilities could use one or more insurance policies to cover expenses. However, these coverages have limitations based on their purpose and features.
As a policyholder, it is vital to read your insurance details thoroughly. Each type of insurance has unique restrictions that could be optimal for varying circumstances. Long-term disability (LTD) insurance coverage also has limits.
Unfortunately, you might not receive payments from this policy for the rest of your life. LTD benefits typically last until:
- Sixty-five or retirement age if you sustained the disability before reaching 60 years old
- Twelve to 60 months if you were over 60 years old when you received the disability
- Recovery from the disability
You can find terms regarding deadlines in your policy and other information, such as the benefit calculation, deductions and other policy features.
Make the most of your benefits
You might want to use as many benefits as possible because of your disability. However, using them at certain times could help cover your expenses strategically.
For example, your private LTD insurance could cover your costs from when you suffer the disability until your retirement after exhausting other sources. After you retire, you could start receiving payments from your retirement benefits.
Still, the appropriate type of coverage and payment amounts could depend on your circumstances. Sometimes, receiving payments from other benefits might be most advantageous. It might be best to assess your situation first before filing any claims.
Having LTD insurance coverage could help protect your future from unexpected disabilities. Additionally, you could make the most of your benefits with careful planning and consideration. Doing so could support you and your family’s needs while recovering from a sudden disability.