What is private long-term disability insurance?

On Behalf of | Mar 21, 2024 | Long-Term Disability Insurance

For those that have not heard of private long-term disability insurance, it serves as a vital safeguard for individuals in New Jersey facing incapacitation due to severe illness or injury. This insurance provides financial support by replacing a portion of the individual’s income during their recovery period.

Purpose of LTD insurance

The primary aim of private LTD insurance is to ensure financial stability for individuals unable to work due to disability or injury that occurs at work or otherwise. It covers living expenses, medical bills and helps maintain the injured or disabled person’s standard of living until they can resume work.

Reasons to consider private LTD insurance

New Jersey residents should consider private LTD insurance for many reasons. First, it can supplement state benefits. While New Jersey offers temporary disability benefits, they might not suffice for long-term needs. Private LTD insurance bridges this gap, extending coverage.

It can also overcome employer coverage limits. Employer-provided disability insurance may be insufficient. Private LTD insurance offers broader coverage and higher benefit amounts.

Finally, since you get it yourself, you can customize your policy. With private insurance, individuals have control over coverage selection, including benefit amount, waiting period and benefit duration.

Choosing the right policy

Selecting a private LTD insurance policy requires comparing various plans and providers to find the most suitable coverage. Factors to consider include coverage amount, premium costs, disability definition and policy exclusivity to New Jersey residents.

Do not forget to check consumer reviews too because you want to make sure that if you need them that they will actually pay. The last thing you want is to have to file a lawsuit to get your benefits.


Private long-term disability insurance is indispensable for securing financial stability in the face of disability. By comprehending its purpose, benefits and customization options, residents can make informed decisions about their disability coverage.


FindLaw Network