A Review

MR. WATSON: Purpose of Disability Income Insurance is to cover disability either from accidents alone or accidents and sickness. To protect against economic death. Got it?

Disability Income Payments

MR. WATSON: We're going to let you have only how much? 60 percent of your salary.

Partial Disability

• s a flat amount or
• residual

Probationary Period

MR. WATSON: When does a probationary period begin?

WOMAN: When you buy the policy, the policy doesn't cover sickness until so many days are over with.

MR. WATSON: How long does it last? 15 or 30 days. Does it apply to accidents? No. Only applies to what?

ALL: Sickness.

Elimination Period

MR. WATSON: When does it begin?

ALL: As soon as you become disabled.

MR. WATSON: It may or may not apply to accidents. Accidents may be first-day coverage. Does that make sense?

Benefit Period

MR. WATSON: Individual short-term policies provide benefits for six months to two years. So what would a long-term benefit be? Anything longer than that. Make sense?

Delayed Disability Provision

MR. WATSON: 30, 60, or 90 days

Recurrent Disability

MR. WATSON: If I'm back at work for longer than how long?

MAN: Six months.

MR. WATSON: Going to be what?

ALL: New.

MR. WATSON: If I'm back at work less than six months, it will be recurrent. Do I begin a new waiting period with a recurrent disability? No, because it's the same one. Got it?

Non-disabling Injury Benefit

MR. WATSON: Pays a per-centage of the disability benefit for non-disabling injuries.

MR. WATSON: Everybody pick up their hand, wave at me. Give me the waiver. Waiver of premium. What's the waiver of premium? You're waiving what? Waving bye-bye to the premium. Got it?