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What happens to you when you lose your most valuable asset?

Insurance is not a subject anyone wants to talk about.  Disability insurance is discussed even less.  The reason I am blogging about disability insurance today is I find most all self-employed business owners do not own a disability policy.  They insure everything else, but not their most valuable asset, their ability to work and earn a living.

I own a disability policy and have done so for about 30 years.  I have also been paid on a claim for a short-term disability as well.  In 2010, I shattered my tibia plateau, part of my knee, and was on claim for around four months.  I received payments from my individual disability policy and my disability business overhead expense policy.  I receive around $95,000 while I was out on disability.

Now like any self-employed business owner, I was at work with my leg elevated on my computer setting under my desk.  I hobbled around the office on crutches and did as much work as I could.  But, I was on disability and my income was affected by my injury.  I was not able to go out on appointments and meet with current and potential clients.

I have been in business for quite some time.  I have known of many people who have gone through a disability both short and long term.  The following link details the current statistics on disability occurrences http://disabilitycanhappen.org/disability-statistic/.

The reason I am writing about disability insurance today is caused by a recent experience.  I patronized a local business and found out from one of the employees that the owner of the business had a stroke.  The owner is young, and this is of course unexpected.  Luckily, the owner has family who are assisting with the business.  The owner may be out for some time if not permanently.

But most of us do not have family or someone to step in and continue the operations of the business.  Thusly, the income stream slows down to a trickle and the tragedy is compounded.

If you are an employee of a company, you may want to look at any disability benefits that are offered by your employer.  If you are self-employed, you may want to consider looking at a good disability policy.  I have posted a document on this website that will give you some pointers on what to look for in a disability contract.  Go to Learning Center, then go to Glossary, and then go to Useful Financial Terms on this website and scroll to the bottom after Zero Coupon Bond.

I hope you will find it helpful.

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