CA-Disability Income Insurance

Undue Hardship An employer is not required to make an accommodation if the accommodation imposes an “undue hardship” on the operation of the employer’s business. This is a broad concept,…

Overinsurance An important concern of disability insurers is overinsurance. An individual whose disability income approaches or exceeds his or her working income could be tempted to claim a disability fraudulently…

Business Disability Insurance Now that we have discussed group disability insurance designed to provide protection for individual employees, let’s look at other disability income policies designed to protect the business…

Deciding on a Policy Once the general need for individual disability insurance has been determined, the next thing to decide is what policy to buy. Most people need help in…

Disability Income Policy Riders We have already covered some of the basic components of disability income insurance. Coverage can also be customized by choosing among several optional riders, which are…

Accidental Means or Results An accident is external and violent, but accidental death and dismemberment policies make a clear distinction between injuries caused from accidental means and those caused from…

DI Eligibility To receive disability insurance (DI) payments, a worker (or that worker’s dependent or dependents) must meet the program’s qualifications for both eligibility and disability. A disabled worker is…

Divorced Spouses Ordinarily, for a divorced spouse to receive benefits based on an ex-spouse’s work record, the marriage must have lasted at least ten years. However, disabled divorced spouses are…

Basis of Computation of Benefits Disability benefits are generally based on one’s AIME (Average Indexed Monthly Earnings). If a person is at or over normal retirement age when he or…

Who Must Participate Workers’ compensation laws cover persons in “industrial employment,” a term that encompasses office workers and those working in factories and stores. Certain kinds of employment are generally…

Occupational Illness or Disease The basic difference between accidental injuries and occupational diseases is that accidents are unexpected. Occupational diseases really are expected to a certain extent, because to be…

Overview While workers’ compensation insurance and Social Security are the two principal statutory disability programs that cover most people, they are not the only government-sponsored disability programs. This chapter discusses…