Pre-Disability Earnings

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Pre-Disability Earnings Pre-disability earnings are the amount of qualifying income that a disability insurance policyholder was earning before an injury. Pre-disability earnings are used to calculate how much disability income a policyholder will qualify for in the case of an injury. Disability income insurance is intended for helping people replace a portion of their income if they become injured for an extended period. The plans pay policyholders a percentage of their pre-disability earnings. The percentage range is determined by the applicable law. Some of the factors that affect the cost of disability insurance include: Age: The minimum age of an applicant is 18 years. The maximum age is typically 60. The older an applicant is, the higher the final premium. Gender: The rates for female applicants per unit coverage are higher than the rates for men. Health: Smokers can pay as much as 25% more than non-smokers for the same protection. Pre-disability earnings must be verified, even if the claimant’s pre-disability salary was paid regularly, without bonuses, commissions or special distributions. Pre-disability earnings do not include bonuses, commissions, overtime pay, or employer contributions to a retirement plan. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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