Yes, you need it, but check what is already provided by your employer. It is possible that you already have some kind of LTD through work and this is just an "add on". While you are at it, check for short-term disability as well. You may also have the option to pay for disability insurance pre tax or after tax. I had this option at my employer and chose to pay for it after tax, because of an interesting aspect of the tax law. When you pay for disability insurance pre tax, it is taxable when you receive it. When you pay for it after tax, it is tax free. I chose to pay more up front because I wanted the maximum income if I was disabled, but there are multiple opinions on this. As has already been mentioned before, it's a good idea to read what the policy actually covers. It will be slow going, reading through the provisions, but you will learn a lot.