Disability insurance is an essential tool for individuals who want to protect their income in the event of an illness or injury that prevents them from working. However, many employees are not offered disability insurance through their employer, leaving them vulnerable to lost income and financial instability. This is where short term disability insurance comes in; it provides coverage for a temporary disability that prevents an individual from working for a short period of time. Let’s dive into the best short term disability insurance options available.
What is Short Term Disability Insurance?
Short term disability insurance (STDI) is a type of insurance coverage that provides income replacement for individuals who are temporarily unable to work due to a disability. The coverage typically lasts anywhere from a few weeks to a year, and is designed to help individuals pay their bills and cover living expenses during this period.
STDI policies can be purchased as standalone policies or as part of a group insurance plan offered by an employer. The cost of STDI coverage varies depending on a number of factors, including the length of the coverage period, the amount of the monthly benefit, and the individual’s age and health status.
The Best Short Term Disability Insurance Providers
When choosing a short term disability insurance provider, there are a few factors to consider. These include the insurer’s financial stability, the range of coverage options available, the level of customer service provided, and the overall cost of the policy. Here are some of the best short term disability insurance providers:
Insurance Provider |
Monthly Benefits |
Coverage Period |
Cost |
Rating |
|---|---|---|---|---|
Aflac |
Up to $7,500 |
Up to 24 weeks |
$25-$100 per month |
4.5/5 |
Mutual of Omaha |
Up to $3,000 |
Up to 24 weeks |
$25-$100 per month |
4.5/5 |
Guardian |
Up to $10,000 |
Up to 26 weeks |
$30-$100 per month |
4.0/5 |
Unum |
Up to $6,000 |
Up to 26 weeks |
$20-$70 per month |
4.0/5 |
Cigna |
Up to $10,000 |
Up to 26 weeks |
$30-$100 per month |
4.0/5 |
Aflac
Aflac is one of the most well-known providers of short term disability insurance in the market, with a range of coverage options to choose from. Their policies can offer coverage for up to 24 weeks, with monthly benefits of up to $7,500. The policies are also customizable, allowing individuals to choose the amount of coverage they need and the length of the coverage period.
The cost of Aflac’s STDI policies can vary depending on a number of factors, including the individual’s age and health status, as well as the amount of coverage selected. However, the monthly cost is typically between $25-$100 per month, making it an affordable option for many individuals.
Aflac has received high ratings for their customer service, with a 4.5/5 rating on ConsumerAffairs.com. They have also been rated highly for their financial stability, with an A+ rating from A.M. Best.
Mutual of Omaha
Mutual of Omaha is another well-known provider of STDI coverage, offering policies for up to 24 weeks with monthly benefits of up to $3,000. Their policies are customizable, with options for individuals to choose the length of the coverage period and the amount of coverage they need.
The cost of Mutual of Omaha’s STDI policies can vary depending on a number of factors, but typically range from $25-$100 per month. They have a strong reputation for their customer service, with a 4.5/5 rating on ConsumerAffairs.com.
Guardian
Guardian offers STDI coverage for up to 26 weeks, with monthly benefits of up to $10,000. Their policies are customizable, allowing individuals to choose the level of coverage they need and the length of the coverage period.
The cost of Guardian’s STDI policies can vary depending on a number of factors, but typically range from $30-$100 per month. They have received a 4.0/5 rating on ConsumerAffairs.com for their customer service, and have a strong reputation for their financial stability with an A++ rating from A.M. Best.
Unum
Unum offers STDI coverage for up to 26 weeks, with monthly benefits of up to $6,000. Their policies are customizable, with options for individuals to choose the length of the coverage period and the amount of coverage they need.
The cost of Unum’s STDI policies can vary depending on a number of factors, but typically range from $20-$70 per month. They have received a 4.0/5 rating on ConsumerAffairs.com for their customer service, and have a strong reputation for their financial stability with an A rating from A.M. Best.
Cigna
Cigna offers STDI coverage for up to 26 weeks, with monthly benefits of up to $10,000. Their policies are customizable, allowing individuals to choose the level of coverage they need and the length of the coverage period.
The cost of Cigna’s STDI policies can vary depending on a number of factors, but typically range from $30-$100 per month. They have received a 4.0/5 rating on ConsumerAffairs.com for their customer service.
FAQ About Short Term Disability Insurance
What is the difference between short term and long term disability insurance?
Short term disability insurance provides coverage for a temporary disability that prevents an individual from working for a short period of time, typically a few weeks to a year. Long term disability insurance provides coverage for a disability that lasts longer than a year, or that may be permanent.
Can I purchase short term disability insurance on my own?
Yes, short term disability insurance can be purchased as a standalone policy or as part of a group insurance plan offered by an employer. If you are self-employed or do not have access to coverage through your employer, purchasing STDI on your own may be a good option.
How long should my short term disability coverage last?
The length of your short term disability coverage depends on a number of factors, including your financial situation, the type of work you do, and your health status. However, most policies provide coverage for up to 26 weeks.
How much does short term disability insurance cost?
The cost of short term disability insurance varies depending on a number of factors, including the length of the coverage period, the amount of the monthly benefit, and the individual’s age and health status. However, the monthly cost is typically between $25-$100 per month.
Is short term disability insurance worth it?
Short term disability insurance can be a worthwhile investment for individuals who want to protect their income in the event of a temporary disability. It can help cover living expenses and bills during the recovery period, and provide peace of mind during a stressful time.
In conclusion, short term disability insurance is an important tool to protect your income in the event of a temporary disability. When choosing a provider, consider factors such as financial stability, coverage options, customer service, and overall cost. With the right coverage, you can feel confident knowing that you are protected during a difficult time.