1. True or False: People who work don't need disability insurance because they're covered by workers' compensation insurance.

Answer: False. Workers' compensation insurance only covers injuries or illnesses acquired on the job, while the majority of accidents and illnesses are not work-related.¹

2. True or False: People who work can rely totally on their accrued sick leave if they miss work due to illness or injury.

Answer: False. A disability-related absence can last a lot longer than an individual's accrued sick time.

3. True or False: Most people have enough money saved to cover their living expenses if they can't work because of a disability.

Answer: False. Disabilities can last many months or even years, and many people haven't saved enough to cover living expenses for that long. In CIGNA's 2010 Live to Work survey, only 36 percent of American workers said they had taken steps to prepare for a disabling injury or illness, and of those, 51 percent said they rely on increased personal savings while only 32 percent purchased new or additional disability insurance.²

4. True or False: Short-term disability covers a portion of an individual's wages for a year.

Answer: False. Short-term disability insurance covers individuals for up to about six months, while long-term disability insurance provides coverage for longer periods of time.

5. True or False: People who work don't need disability insurance as long as they have medical insurance.

Answer: False. Medical insurance offers protection for covered medical expenses, but doesn't protect against lost employment income from a covered disability. This is income that may be needed to cover other bills, such as a mortgage or car payment.

"The thought of suddenly being without a paycheck is a scary thing, but the good news is that there are things people can do to help prepare," said Mark Marsters, senior vice president for CIGNA's disability business. "Many people are changing or have already changed their day-to-day routines to cut expenses and build emergency savings as protection against all types of economic uncertainty. But even so, a majority of people still live paycheck to paycheck and would face significant financial hardship if they couldn't work. It's exactly that 'nightmare scenario' that disability insurance can help protect against."

Instant Insights /

May is Disability Insurance Awareness Month

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