Disability Insurance Comparison
| Policy Type | Benefit Period | Best For |
|---|---|---|
| Short-term disability | A few weeks to ~1 year | Bridging shorter recovery periods |
| Long-term disability | Several years to age 65+ | Protecting against extended/permanent disability |
| Group (employer) | Varies by employer plan | Baseline coverage, often lower cost |
| Individual | Customizable | Portable, more comprehensive protection |
Short-Term vs. Long-Term Disability
Short-term disability bridges shorter recovery periods (weeks to about a year), while long-term disability protects against extended or permanent inability to work — many people benefit from having both types of coverage.
Group vs. Individual Coverage
Group coverage through an employer is often lower-cost or free but typically replaces less income and isn't portable if you change jobs. Individual coverage costs more but offers more comprehensive, portable protection you control directly.
Comparing Policies Effectively
Compare definition of disability, benefit period, elimination period, and benefit amount across policies — not just premium, since these factors significantly affect the real value of coverage.
Frequently Asked Questions
Many people benefit from both — short-term covers the initial recovery period while long-term protects against extended or permanent disability, working together for more complete protection.
Often worth considering — group coverage alone typically provides less comprehensive protection and isn't portable, making individual supplemental coverage valuable for many.