One in four adults will experience a disability that interrupts their income before retirement.

Disability insurance replaces a portion of your paycheck when you can't work, but short term and long term policies solve very different problems. Understanding both is the difference between a smooth recovery and a financial disaster.

We write individual disability, group supplemental, and short term medical leave policies across both employer sponsored and private pay options.

How Short-Term Disability Works

Short term disability (STD) covers partial income replacement, typically 40 to 70% of your gross income, for about 3 to 6 months. The elimination period (how long you wait before benefits start) is usually 7 to 14 days. STD pays out quickly for injuries and illnesses that keep you out briefly: a broken leg, surgery recovery, or maternity leave.

How Long-Term Disability Works

Long term disability (LTD) kicks in after short term ends, typically with a 90 day elimination period. Benefits can last 2 to 10 years or until retirement age, replacing 40 to 70% of income. LTD is what actually protects you against serious conditions (cancer, back injuries, mental health conditions, MS) and is the real financial safety net.

Your paycheck is your biggest asset. Compare short term, long term, and hybrid disability options in one call. Get a free disability quote in under 15 minutes.

The Key Decision Factors

Not all disability policies are equal. The variables that matter most:

• Elimination period, how long you can self fund before benefits start

• Benefit period, how long payments last (2 years, 5 years, to age 67)

• Definition of disability, "own occupation" vs "any occupation" (a massive difference)

• Monthly benefit amount, the actual dollar figure replacing your paycheck

• Taxable vs tax free, depends on who pays the premium

• Carrier quality and renewability, especially the non cancelable guarantee

Own-Occupation vs. Any-Occupation

Own-occupation

Pays if you can't do your specific job. A surgeon with a hand injury collects even if she could still work in consulting. This is the gold standard and worth paying more for.

Any-occupation

Only pays if you can't do any work you're reasonably qualified for. Much more restrictive, and typically kicks in after 2 years under hybrid policies. Cheaper, but significantly weaker protection.

The overlooked risk: You're far more likely to experience a disability than die during your working years. Yet most families insure for life before they insure their income. The opposite of the actual probability.

Individual vs. Group Policies

Employer group coverage

Cheap or free, but limited. Usually 60% of income, taxable, any occupation after 2 years, and ends the day the job ends. Fine as a supplement, dangerous as your only coverage.

Individual coverage

More expensive, but portable, tax free benefits (if you pay premiums with after tax dollars), stronger own occupation definitions, and better for high earners who can't replace their income inside 60%.

Real example: A 35 year old earning $85K might pay $60 to $120/month for an individual long term disability policy with a 90 day elimination period, 65% income replacement, own occupation definition, and benefits to age 67. That's insurance against losing decades of future earnings for the price of one dinner out a month.

Self employed or relying only on employer disability coverage? Both situations leave dangerous gaps. Talk to a OnePoint advisor or call 888-899-8117 for a free coverage review.

Frequently Asked Questions

Does Social Security Disability replace private disability?

Rarely fills the gap. SSDI is slow (6 to 24 month approval), denies 60%+ of applications, and pays less than most private disability. Don't rely on it.

Is maternity leave considered disability?

Typically yes under short term disability for 6 to 8 weeks after birth. Pre existing pregnancy at enrollment may be excluded.

Are disability benefits taxable?

If the employer pays premiums with pre tax dollars, benefits are taxable. If you pay premiums with after tax dollars, benefits are tax free. Huge after tax difference.

What if I have a pre-existing condition?

Individual policies often apply a 12 to 24 month exclusion; group plans may exclude or decline. Disclose honestly, non disclosure voids coverage.

Do I need both short-term and long-term?

Depends on your emergency fund. If you have 3 to 6 months of expenses saved, you can usually skip STD and buy a longer elimination period on LTD (cheaper). If not, STD fills the gap.

How OnePoint Can Help

As an independent agency, we compare individual long term disability across multiple carriers, layer it with employer group coverage where it makes sense, and dial in the elimination period, benefit period, and own occupation definition so you're not paying for features you don't need.

Want to see what your rate could be? Get a free disability quote, or talk to a licensed advisor and we'll walk through it together.

Your income is your biggest asset

Protect the paycheck, not just the family.

Your ability to earn is almost always worth more than your house, your car, and your investments combined. A quick call with a OnePoint advisor walks through short term, long term, and hybrid options, with pricing from multiple carriers.

Get a Free Disability Quote | Call 888-899-8117