Don't Forget Disability Insurance

Feb 9, 2017

Many people neglect disability insurance when modifying their insurance needs
Credit Pictures of Money / Flickr

Even with 2017 well under way, there still some chances to hit the reset button.

This includes updating your personal finance situation. During Sound Money, WGLT's Willis Kern talked with Edgar Norton, Director of Illinois State University's Institute for Financial Planning and Analysis.

Most people have all kinds of insurance ranging from car and homeowners insurance to life insurance and other forms of coverage. Many people, once they sign up for this coverage, just let time roll on and don't give it another thought. Norton said the "set it and forget it" concept may be okay for your kitchen appliances, but doesn't work well with insurance or finance. A lot can happen and much can change.

"Life happens, and it's good see that, maybe that coverage I got five or 10 years ago may not be appropriate for 2017.

Norton said many people neglect disability insurance when considering their insurance needs.

"It's the forgotten insurance. In order to drive in Illinois, you have to have car insurance. Bank lenders require homeowners insurance if you have a mortgage. About two-thirds of the American work force doesn't have disability insurance. Also, about one in four twenty year-olds today will become disabled before reaching age 67. So, it's clear if you want to have an income beyond the insurance that pays medical bills, having disability insurance is key," said Norton.
 

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