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Kerr you name -- but what about your ability to earn a living disability insurance could be a good option for you and your family but how do you go about deciding that.
Personal finance expert Jordan Goodman is here with the details -- always good theater to be really -- I -- certain wit that the facts on why people might choose disability insurance once and for today's twenty year olds will become disabled before reaching 67 and not make that -- we did not take that from a disability insurance you might think it came from the Social Security Administration.
And then this disability causes nearly 50% of all mortgage foreclosures right so that's the reason to do it better.
As you know I don't happen to you until it does just like insurance I was -- you never won a bit but until you need at minicamp but right.
Government offers disability well that's -- security disability is bare bones I -- is it got to really disabled very very badly it's about 11100 dollars and the average ago so it's not enough to live on there and won't cover your costs and a lot of companies still offer group disability insurance -- sometimes don't come out completely sometimes you have to pay for.
That's it we're gonna pay for baby about 60% of your salary so that was cheated out of my individual right -- individual and it into what's called supplemental disability which is on top of what your company may give you.
Which make a -- that 80% of your salary -- -- -- do a 100% because they want to have an incentive to go back to work.
All right so let's talk about some of the -- so this is expensive at the end of it.
That's -- -- the can be several 100000 -- your salary.
But if you lose yourself in a lot of people's biggest assets -- solid golf and to think about it -- earning.
50000 a year for twenty years -- -- like a million dollars -- bring some people don't think -- with a bigger asset -- your house your car and -- up to your insurance.
You know what's interesting about this is it can be difficult to get.
It -- -- you have to be in pretty good shape and you kept the old set that they like to -- people but the number of claims obviously insurance company usually work at.
So you're right it is difficult to get that's why it's stupid to get as part of group you're freelance -- So proprietor of sometime you've got to do it through some kind of a -- when you can get individual policies.
Can be very expensive -- it a union -- association something like that's the best -- -- -- But the coverage is limited I mean at you know you mentioned it -- it's hard to get your entire salary it's hard to get everything covered right.
-- never gonna get -- complete -- 80% of about the most couldn't get even with a supplemental policies.
But yet it is and the other thing -- make sure it's -- council won't book last thing on division get a policy.
You get disabled and -- they say we're kicking you out -- make sure it's not accountable what's called guaranteed issue.
So that's what -- -- -- -- well the other thing if you can get what's called a cost of living increase or cola increase couldn't get at today's level when you get sick.
Do they do that they -- I think you see buying this insurance and then finding out years later -- haven paying into it for years Jerry.
But you're getting 1986.
Is that it's so yes they do off that console but that German -- -- -- insurance but get a -- up so it's gonna keep up to -- about 5% inflation every year.
So twenty years from now it's going to be worth something of -- think you know money from years ago.
You know the nice thing about talking to you Jordan as I know you're not giving me the wind from the insurance and he'll tell me your honest opinion -- eyewitness.
Is it worth it to buy gift fidelity -- I have disability insurance myself.
I got a long ago it's a tough thing and you you only take it up to age 65 to 65 you gonna get some security and you don't do that.
But is it something you never think it's gonna happen to until it does and then and then -- to -- said it is too late.
You can't buy disability insurance from the disabled they kept by a tornado insurance when a tornado's coming -- -- so.
It's cost something but the peace of mind kind of thing lot of people do not have disability insurance -- said it -- a huge amount of financial problems if you can't pay your mortgage or something.
You are totally -- Even more trouble even more trouble in the disability itself Jordan thanks for coming on tonight are always good to see -- about -- -- Well time now for a look at stories your clicking --
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