Skip to content
News & commentary

Reviewing your Disability Insurance and Protecting Against the Catastrophic

Home News & Commentary Reviewing your Disability Insurance and Protecting Against the Catastrophic
Ryan Smillie

Ryan Smillie

When most people think about disability claims they think about broken bones and other physical injuries that usually heal with time, when some of the most common disability claims come from cancer, cardiac and mental health issues that do not go away.  Due to cost constraints many insurance plans will put emphasis on the first 2 years of a disability or injury with own occupation* coverage for 24 months and then any occupation** coverage until age 65 or earlier. Even though, most group benefit plans include disability coverage for employees, and most self-employed individuals have some form of disability coverage, not all policies and coverages protect against the catastrophic. In many cases, people suffering from disabilities that are not back to full heath after 24 months and unable to go back to their regular job are forced into doing a lower level job at lower pay or receive a reduced or eliminated disability payment. If the disabled still has several years of work left being reduced to any occupation can mean a significant lifestyle reduction and alteration of financial goals.  We recommend looking at your disability coverage and if you do not have own occupation until age 65, take a serious look at topping up coverage.

Key disability terms:

*Own Occupation disability: Covered when the insured is unable to perform most of the occupational duties they have been trained to perform in their regular job.

**Any occupation disability: Covered when the insured is unable to work in any occupation that they’re reasonably qualified for.

Waiting period or elimination period: The period of time between the onset of your disability and when you begin receiving long-term disability benefits (usually 90 to 120 days)


This information has been prepared by Luft Financial. Opinions expressed in this article are those of Luft Financial only and do not necessarily reflect those of HollisWealth®. Furthermore, this does not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors.

How do we elevate your wealth?

It begins with understanding your needs and creating a comprehensive and tailored financial plan to help reduce tax, manage risk and grow your portfolio over the long term. Learn more about how we help you achieve financial security and peace of mind.

News & commentary

February 2021 Portfolio Management Team Update

Market & Economic Environment The record-setting rally in global equities came to a temporary halt in the last week of January, as stocks posted their worst weekly performance in three months. Investors were unnerved by surging prices for the most heavily shorted stocks like GameStop, on concern that hedge funds would have to reduce their […]

Read more
Permanent Life Insurance… an effective estate transferring strategy

Your New Client Portal starter’s guide

The Client Portal offers a simple and convenient way for you to view your investment portfolio anytime, anywhere. Please review this guide and contact us if you have any questions. New Client Portal User Guide

Read more

When Will You Get Your Tax Slips?

There are different mailing dates for different account types. Please click on the link below to view the expected delivery for both mail and online tax slips and reports. 2020 Client Tax Slip Mailing Schedule Checklist

Read more