Another option is the automatic increase adjustment. This increases payments by a set amount yearly rather than relying on the CPI the make monthly adjustments. These are limited to five years, in most cases.
Your premium increases each year due to your purchase of more disability insurance coverage. Typically, you'll receive around a 25% boost in coverage over the course of five years. This is just another choice for you to make if you want your coverage to increase.
7Future Increase Option
This option protects your earnings in the future, allowing you to get more disability insurance. Companies can put limits on when this option can be bought, as policy holders over 45 generally aren't eligible. It pays to check anyway though, because every company will have varying rules regarding age eligibility.
8Hospital Income Rider
This option will handle the costs of hospitalization as the result of a disability. Companies, in some cases, may shell out as much as 12 months of hospital stay. It may not cover everything, however, as the payments are typically in set amounts.
David Baker is a resident of Houston, Texas. He's a huge tech geek, loves frequent travel, and most importantly basketball (go Rockets!). His passion for guiding others has been deep-rooted all his life.