Disability insurance protects your ability to maintain these assets and acquire new ones. For disabilities of duration longer than 90 days, the average downtime is 1.2 years. Being sidelined for that amount of time can have a devastating affect on your personal finances. As is the case with life insurance, the government does not require you to purchase disability insurance. However, most people rely upon their income to pay bills, support their families and maintain their standard of living.
Disability insurance is really income insurance.
Some workplaces offer group disability insurance to its employees. You can't buy disability insurance unless you have an income that could be jeopardized by a disability. It's also important to know if you are in a profession that is eligible for disability insurance. According to Canada Life disability insurance specialist Chris Lyne, insurance companies believe there are some professions that are too dangerous to cover. These can include loggers, taxicab drivers, professional athletes, musicians and anyone in the explosives industry.