Author Topic: Life & Disability insurance through work - is it wort the cost?  (Read 2753 times)

moustache1979

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Looking for advice on what types of "other" insurance programs are worthwhile.  I have the option of choosing any/all of the below for work.  Amounts and monthly cost are listed.  In addition i have term life insurance that runs ~$40/month for $500k.  I am mid-30's with a wife of the same age and 3 kids under age 6.

Critical Illness    Core + Supplemental ($3,000 + $10,000) $13,000.00 $4.66
Basic Life Insurance $300,000.00    $21.24
Supplemental Life Insurance   $430,000.00    $14.58
Supplemental AD&D    $250,000    $4.50
Dependent AD&D    $250,000    $4.50
Long Term Disability    $86,000    $40.28
Long Term Care   $9.28

huadpe

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Re: Life & Disability insurance through work - is it wort the cost?
« Reply #1 on: March 04, 2014, 12:10:02 PM »
Depends on your 'stash, but I'd probably go for the long term disability only on that list.  AD&D is just another way of dying really and you should keep enough life insurance for it, regardless of cause of death.  LTC isn't worthwhile til your 50s/60s, especially an employer based plan, since it's quite unlikely you'd need to go to a nursing home directly from working (physical therapy/rehab should be covered by your health insurance, not LTC insurance).

If the $500k is enough life insurance for you, then that's fine.  If not, buy a new policy outside your employer.  Since if you become too sick to work and are terminal, you may lose your employer based policy, same problem as the LTC insurance.

shawnspencer04

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Re: Life & Disability insurance through work - is it wort the cost?
« Reply #2 on: October 13, 2020, 02:19:49 PM »
You should definitely consider Disability Insurance, more than one in four 20-year-olds today will be unable to work due to an illness or injury for 1 year or more during their life before retirement.

As a rule of thumb, you could expect to pay between 1-3% of your annual income for a high-quality disability insurance plan. The price could end up being more or less than 1-3%, but on average we strive to structure a policy that fits into this price range. To get an accurate estimation check out online calculators such as https://www.disabilityquotes.com/disability-insurance-quote , its definitely better to be safe than sorry.

debbie does duncan

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Re: Life & Disability insurance through work - is it wort the cost?
« Reply #3 on: October 13, 2020, 04:45:32 PM »
LTD saved my sorry self. I can not recommend this enough.

snacky

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Re: Life & Disability insurance through work - is it wort the cost?
« Reply #4 on: October 16, 2020, 08:02:35 AM »
LTD saved my sorry self. I can not recommend this enough.

Me three. I could not have predicted that I would become permanently disabled in my early 30's, but without LTD I would be on welfare right now, instead of living comfortably on a small but workable income.

sisto

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Re: Life & Disability insurance through work - is it wort the cost?
« Reply #5 on: October 16, 2020, 03:25:54 PM »
Another vote for LTD. I'm so thankful my employer provided this to me. I totally took it for granted, now I'm using it.