What is the greatest threat to your family and your financial well-being?  That threat would be that you became disabled and not able to work, if you are the primary breadwinner.  If you were to die as the result of a serious illness or accident, you might have life insurance so that your family would have some sort of financial protection. If you didn’t die, and cannot work, are you financially protected?
The consequences can be devastating, since it is a real risk that you could become disabled in your working lifetime. If the main income earner becomes unable to work for whatever reason, most people do not have an adequate protection plan. Unfortunately, many underestimate that risk and feel that they will ever become disabled. Any disability threaten the ability to earn a living. Disability prevents saving for the future, can impose additional cost and can stop income. Savings will cover only a few months of disability, for most people, after that you will certainly have a problem.
You may think the Social Security Disability Insurance Program will cover you, but the word “disability” is difficult to define and hard to qualify for. For those who do receive SSDI, they know it doesn’t not pay enough to maintain the lifestyle you currently have.

Many feel they can rely on workers’ compensation benefits if the need arises, but do you know those benefits are only for those injured from a work-related accident or illness?  We all know that most illnesses are not work related and just a few states offer temporary disability programs, and those have limited benefits.
We give higher priority to other insurance needs and forget the need to protect against disability. This is a misguided thought because anyone can become disabled. Weekend sports injury, automobile accident along with any number of chronic conditions, will restrict anyone’s ability to work. Actually, the risk of disability is higher than the risk of premature death.
Statistics from the National Association of Insurance Commissioners show one out of four people will not be able to work for at least ninety days during his working years. We tend to think of disability as being due to an injury, and that is another reason we minimize the risk. According to findings by a leading disability research and consulting firm, 90 percent of disability is the result of illness.  Among the leading causes are: diseases of the musculoskeletal system, connective tissue, circulatory system and various forms of cancer.

Once disabled, many people are never able to work again. When in reality, many people believe that any disability will be temporary. Because of a disabling illness or injury, at least 1.5 million Americans are no longer able to work.
The Society of Actuaries 1987 Group Long Term Disability Basic Table show that once a person has experienced a disability that lasts at least 90 days, that person may remain disabled for a longer time. Any extended disability can have a devastating impact, both financially and emotionally, without proper planning. During some point in their careers, workers at age 35 face almost a 1 in 4 chance of suffering a disability lasting 90 days or longer. The ability to earn a living is our most important asset for most of us and it takes just some simple math to realize just how important.
If a person becomes disabled at age 35, earning $25,000 a year and remains unable to work till his retirement age of 65, he will lose $750,000 in lifetime income.  If he becomes disabled at 45, he will lose $500,000.   If he is earning $50,000 a year, the loss will be $1,500,000. The loss of income is significant if you become disabled, no matter what your age or earning level.

Because of a disability, public disability benefit programs may provide some protection against loss of income. How much these programs can help depends on whether or not you would be eligible for them. The Federal Social Security Disability Insurance (SSDI) program, state workers’ compensation programs, and mandated short term disability insurance coverage are known as safety net programs. Each one has restrictions, drawbacks and limitations.  None of them can be relied on for adequate, comprehensive disability income insurance protection.
If you become disabled and unable to work, do not assume that you can rely on these programs to cover your needs. The SSDI definition of disability is very restrictive so qualifying for the benefit is difficult.  Individuals must have significant physical or mental impairments that prevent them from engaging in any substantial gainful occupation,  in order to qualify for SSDI benefits. Any employment where a person can earn at least $940 per month is defined as substantial gainful occupation.
Your disability must be expected to last at least one year to qualify for benefits, or result in death. As you can see, a very stringent requirement, one that you will find in few, disability income insurance policies.

There are several reasons why you may need life insurance and the first one is, if you can afford it. Should you die and be no longer able to provide for them, the most important reason is to have enough money to provide for dependents such as young children or non-working spouses.
Funeral expenses, or other expenses to pay off bills and debts is where the funds from a Life insurance policy could come in handy, as well as for your survivors. You may not have an a need to purchase life insurance if you have no dependents or have adequate financial resources. As a means to leave money to a beneficiary or beneficiaries while minimizing tax consequences is one reason for those who don’t need insurance, to buy it anyway.
Business owners or people with substantial estates are  people who might want life insurance.  They should usually consult with professionals or specialists in insurance-related law since these people have needs that require more planning.  Legal business agreements or trust documents may need to be drawn-up so seeking a professional in this case is a wise choice. If you, or someone you know is in this last category, contact the appropriate professionals if you need their advice in this area.