Posted on: 18 January 2021
Regardless of if you are employed in the private or public sector, you have the right to purchase disability insurance. As a federal employee, you have the right to purchase a disability insurance policy.
#1: Get Comprehensive Coverage
If you are considering the purchase of a disability insurance plan, you will want to look for a plan that provides you with comprehensive coverage. You will want to look for a plan that will provide you with both short-term disability insurance and long-term disability insurance.
You can't predict if you will get hurt or how long you will have to be away from your job. With a comprehensive disability insurance coverage plan, you will be able to take care of your family regardless of the length of your injury and recovery process.
#2: Collect Non-Taxable Income
In most instances, the monthly benefits you will get if you need to use your disability insurance policy are not taxable, allowing you access to the money you need to support your family. This is a nice benefit, as you can access your Social Security Disability Insurance (SSDI) and the Federal Employees Retirement System (FERS) when away from work due to an injury. Still, any of that assistance will be taxed. It can often take the combined benefits of all three sources to help you equal your regular income, and not being taxed on your disability insurance can help bridge that gap. You should always verify that your disability insurance is not taxed with a certified tax professional.
#3: Give Yourself a Cushion
The truth is that most Americans don't have an emergency income, let alone one they can live off for a year at a time. If you suffer from a serious injury that requires some real recovery time, you deserve to have time to recover without worrying about finances adequately. A disability insurance policy is a low monthly investment that will help your family with the emergency fund they will need if you experience a disabling injury. A federal employee disability insurance plan is a small monthly way to invest in a cushion and protect your family.
#4: Disability Is Random
Finally, don't avoid getting a disability plan because you don't think you will experience a disability. The truth is that 5.6% of working Americans will experience a short-term disability, and about one in four current young adults entering the workforce can expect to experience an injury or disabling condition that puts them out of work for at least a year before they retire.
Keep in mind that short-term disability covers claims such as pregnancy, digestive disorders, fractures, sprains, musculoskeletal disorders, and mental health issues. Long-term disabilities cover things all the above, as well as things such as cancer.
You never know when something like this will happen to you. Carrying a federal disability insurance policy will help ensure you are protected when the unexpected happens to you.Share