Many people feel that since they have their homes and cars insured that they are covered for any mishap that may effect their lives. However, what they often don’t consider is properly insuring what pays for those things—their paycheck.

Your paycheck is your most valuable asset, and just as you insure your other valuables, you need to insure your ability to earn an income. It’s sometimes helpful to think of disability insurance as insurance for your paycheck, because it provides an income if you’re unable to work due to an injury or illness.

Here are some common misconceptions people have when it comes to their plans to pay for a disability that might effect their paycheck:

Misconception 1: The government will provide me with social security assistance if I become disabled.

According to the National Safety Council, a majority of long-term disabilities are a result of an injury or illness that is not work-related, and therefore wouldn’t qualify for state-based workers comp. If you were counting on Social Security benefits, you should know that approximately 65% of those who apply are initially denied. Those who are approved receive an average monthly benefit of just over $1000, which would leave you with an income that is barely above the poverty line.

Misconception 2: I don’t work in a dangerous profession, therefore I don’t need the income protection of disability insurance.

You actually have a three in ten chance of suffering a disabling injury or illness  during your career that would keep you out of work for three months or more. The odds of suffering a long-term disability are high because illness, not accidents, account for 90 percent of disabilities that keep people out of work.

Misconception 3: I would rely on my families savings until I get better and go back to work.

The reality is that most people under estimate the savings they will need to cover their expenses if a disabling illness or injury kept them from earning their paycheck. Half of working Americans say they couldn’t make it a month before financial difficulties would set in, which is an awful fact since disabling illnesses or injuries often last for months or even years.

Misconception 4: My employer provides disability insurance coverage.

Disability insurance through your employer is a great benefit, but you’ll need to find out exactly what coverage you have. The Social Security Administration reported that almost 70% of employees  in the private sector don’t have long-term disability insurance.

Let us help you find disability information, coverage and rates that fit into your over-all financial plan, and protects your paycheck. Give Jeff Pennington a call at 1-877-221-6198 or use the form on the right to request a quote, get answers to your questions, and find the right policy.