2. MYTH: My insurance coverage at work covers me, ought to one thing occur to me.
FACT: It is determined by what safety is in place. In case your employer has staff’ compensation (a type of office insurance coverage), you’ll be provided that in case you’re injured on the job. However the possibilities of getting disabled at work are sometimes decrease than exterior of labor—your employer needs to reduce the possibilities of you being disabled. Some sources point out that as many as 90% of incapacity instances originate from exterior of the office. In case your employer additionally has a gaggle incapacity coverage, it doubtless covers you exterior of labor, however this protection ends in case you depart your employer.
3. MYTH: Employees’ compensation pays in full for my incapacity.
FACT: That’s not at all times true. Not all firms have staff’ compensation, particularly smaller firms and start-ups. Even amongst those who do, staff’ compensation can cowl solely part of your earnings previous to the accident and a few further medical bills, together with pharmaceuticals, medical remedies, chiropractic, physiotherapy, rehabilitation and coaching.
4. MYTH: The extra incapacity insurance policies I’ve, the higher. If one thing occurs to me, I can money out all of them.
FACT: Your incapacity insurance policies are linked to your revenue, that means that the worth you may get from all of them is capped and won’t give you an opulent life-style. In contrast to essential sickness insurance coverage insurance policies, incapacity insurance coverage insurance policies usually are not “stackable.” Often, persons are coated for a sure share of their revenue, comparable to 50% to 70%.
5. MYTH: If I’ve a gaggle incapacity insurance coverage coverage at work, I don’t want a person incapacity coverage.
FACT: Though a gaggle incapacity coverage is a good safety mechanism, it’s worthwhile to perceive its actual circumstances, what the protection gives and the proportion of your wage it covers. Many firms even have staff’ compensation in place; that gives one other safety internet. However, in case you lose or change your job, you’ll not be protected—that’s when particular person incapacity insurance coverage can fill the hole.
6. MYTH: Incapacity insurance coverage works equally to life insurance coverage—as soon as I’m disabled, I’ll get a lump sum.
FACT: Incapacity insurance coverage is completely different from life insurance coverage. It doesn’t pay a one-time lump sum; it provides common funds when you are disabled, substituting your revenue or part of it, relying on the coverage you’ve got.
7. MYTH: If I change into disabled, my incapacity funds begin instantly.
FACT: Many incapacity insurance coverage insurance policies don’t pay out throughout the preliminary 120 days, for the reason that firm must assess and determine on every case.
These details initially appeared on InsurEye. Try your entire record of 111 Insurance coverage Myths.