Disability Insurance: If You Were Disabled Tomorrow, Could You Cover Your Living Expenses?
If you’re like most people, your single most valuable asset is your ability to earn an income. Not your home. Not your car. Not even your education, though that impacts your earning power. If you do the math, you’ll see that your potential earnings over your working life add up to more than the cost of any of those things, especially if you’re in your 20’s, 30’s or 40’s.
But while you are required to insure things like your home and your car, the importance of insuring your ability to generate income gets little or no attention. It should, if for no other reason than your earning power is what gives you the ability to pay for everything else.