What is Disability Insurance?
When individuals and families are affected by disability, one of the biggest challenges can be the loss of income. That’s why many Canadians choose to purchase disability insurance coverage. If you become disabled and are unable to work, disability insurance will help you replace your lost income. With disability insurance, you know that you and your family will remain financially stable even if you become seriously injured or sick, or are affected by serious mental health issues.
How Does Disability Insurance Work?
In Alberta and other Canadian provinces, your provincial health care plan will help you pay for medical expenses if you become disabled. However, your provincial health care plan will not help you replace any income that you might lose as a result of a disability. That’s where disability insurance comes in.
When purchasing disability insurance, you can choose to purchase either short term disability insurance, long term disability insurance, or a combination of both. Short term disability insurance is designed to help cover income losses for periods lasting from several weeks to several months, while long term disability insurance is designed to cover income losses over a longer period of time – from several months to the rest of your working years, depending on the policy and the nature of the disability.
Do I Need Disability Insurance?
Without an employer-sponsored disability insurance plan, many people are left without any income protection in the event of disability. Even if you already have disability insurance coverage through your employer’s health benefits package, it’s a good idea to talk to an insurance advisor to determine whether or not this coverage will be sufficient to protect your income in the event of a disability. In many cases, people choose to top up their employer-sponsored disability coverage with an additional disability insurance plan. This way they know that their income will be fully protected. For example, an employer might provide good short term disability benefits, but not offer any long term disability coverage. In this case, the employee could choose to purchase a long term disability insurance plan through a third party insurance provider.
Which Disability Insurance Plan Is Right for Me?
There are several Canadian insurance providers that offer disability insurance plans for both employees and employers. At First Foundation, we work with some of the best insurance providers in the country. This allows us to find the best disability insurance plan for each of our clients. You can come to us with any questions and concerns you may have about disability insurance, and we’ll provide you with all the information you need to make the best decision for you and your family. We’ll also help you compare quotes and insurance providers to make sure you get the coverage you need.
Who Can Benefit from Disability Insurance?
We offer a variety of individual and group disability insurance plans for:
- Full-time employees
- Part-time employees
- Home-based employees
- Self-employed individuals
- Entrepreneurs
- Business owners
Want more information about disability insurance? Talk to one of our insurance advisors, or fill out the form below for your free disability insurance quote.