Long Term Disability Insurance Benefits
With long term disability insurance, you won’t have your entire income replaced by your benefits payments, but the policy will at least provide you with about half your base salary. Long-term disability insurance benefits will pay an estimated 40 to 60 percent of your typical wages. Though, you will generally have to wait at least 90 days after being disabled to collect compensation from your insurer.
How Long Do Long Term Disability Benefits Last?
Unlike short-term disability insurance, which will only pay benefits for up to a year in most cases, long-term options can provide benefits payments for your entire working lifetime. The type of policy you purchase will determine the extent of your payout. While all policies end payments once your disability ends, if it continues, you may have other options. For example, some long-term policies continue benefits payments for a specific number of years or up to retirement age.