How to Insure Your Income: Optional Disability Benefits and Riders Introduction

The basic benefit provided by any disability income coverage is replacement of lost income. For this reason, disability coverage -- whether a stand-alone policy, a rider to a life policy or any other form of insurance -- is usually referred to as income replacement insurance.

All of these coverages share a basic format: Following an elimination period, benefits are paid to replace income lost due to a disability.

In addition to the basic benefits, there are a number of optional features that can enhance disability coverage. We have discussed some of these options before -- but they may seem more understandable if you think about them as a group of related income insurance issues.

In this chapter, we will consider the various optional benefits and coverages that can expand or otherwise impact income insurance.