Supplemental Disability Insurance - Time To Drop It?

[foghorn]

MMM Crew;

I recently posted a Case Study:

https://forum.mrmoneymustache.com/case-studies/at-a-crossroads/

Bottom line - I was laid off at 50 and now trying to decide if I want to re-enter the workforce.

As I continue to debate re-entering the workforce, I am beginning to question the need to maintain the Supplemental Disability Insurance policy I have with Mass Mutual - the cost is about $54 per month.  If I choose to truly FIRE, then I think I need to cancel the policy as it is Supplemental Insurance.  If I do not have income to supplement, then the premium is a true waste of money.  If I were to become disabled while FIRED it is pretty clear to me that Mass Mutual would not pay anything because I have no work income to supplement.

However, if I choose/am able to re-enter there workforce I am still not sure if I need the policy.  I purchased it years ago when I was younger and it made more sense than life insurance (I am single, no kids).  With not being married to another breadwinner, the Disability Insurance seemed to be a good choice over life insurance.  Now that I have some reasonable resources, I think I could survive OK without a Disability payment (should I become disabled).

Did anyone here have Supplemental Disability Insurance while working?  What did you do with it once you FIRED?  What about once you felt you were FI, but maybe still working?

Thanks for any input, thoughts, suggestions.

Foghorn

 

[terran]

With almost 2.5 Million $16,644 annual expenses you are well past FI even once you start paying things like health insurance unless you're wildly wrong about your actual expenses. I would drop the disability insurance because insurance should be used to cover losses that you cannot (or really don't want to) otherwise sustain.

[RedwoodDreams]

Don't forget that you're entitled to SSDI if you become disabled as well, assuming you've paid into this system your whole career. If you don't have an account at ssa.gov, set one up and you'll be able to see what amount you're entitled to if you become disabled before full retirement age. At age 50+, your chances of being approved for SSDI increase significantly.

Given your stash size and expenses, and potential SSDI income, I think your $600 plus annually is better spent elsewhere. After two years on SSDI, you're also eligible for Medicare, so you also don't have to worry about being completely uninsured if you lose employee coverage.