May is Disability Insurance Awareness Month, making it the perfect time to learn how to protect your livelihood. Not all disability insurance policies are alike, making it important to know the key differences between individual and group disability insurance plans.
Too often, people are injured and find themselves without the security of a disability insurance policy to stabilize their financial situation. Many see disability insurance as just another unnecessary expense without realizing how the benefits can help them if the unthinkable happens.
We have spoken here often about how important it is to take advantage of long-term disability insurance if it is offered by your employer. However, once you have this, don't assume that all of your needs will be taken care of if you become disabled. There are limitations to these employer-sponsored plans, and you may need to look at supplementing your group policy with an individual one to ensure that you and your family will still be able to meet your financial obligations if you are unable to work for a period of time.
A recent decision by a federal district court in Indiana suggests that fibromyalgia continues to gain credibility in the legal realm. It is too bad that some long-term disability insurance carriers still have an outdated view of the condition. In Kennedy v. The Lilly Extended Disability Plan, the judge sided with a woman who was fighting for her long-term disability benefits due to fibromyalgia. She was a manager at the drug company Eli Lilly & Co. until her fibromyalgia symptoms left her unable to work. She was approved for long-term disability (LTD) benefits.