• Disability can strike anyone at any time.Crutches image by Megan van Dyck from Fotolia.com
  
  Disability insurance kicks in when an employee can no longer do his job because of illness or injury. Some companies offer the insurance as part of their benefits packages, but even if covered, it's important to understand terms of the policy to see if the coverage provided is enough to meet your needs. If you need to go shopping for the insurance on your own, most major insurance providers offer disability coverage, and you can find them through online insurance searches.
  
  

Short-Term Disability Policies

• If you break a leg and can't work for a couple of weeks, short-term disability coverage will guarantee you some income. The Insurance Information Institute says short-term disability policies have a waiting period of up to 14 days. That means coverage could begin as soon as you have to stop working, or after a few sick days. These policies pay for a maximum period of two years.
  
  

Long-Term Disability Policies

• If you suffer from an extended illness or sustain injuries that keep you off the job for many months, long-term disability policies come into play. The Insurance Information Institute defines long-term policies as those with a waiting period of several weeks to several months. Payments from these plans could last for a few years or the rest of your life.
  
  

Added Protection

• In addition to guaranteeing you some income, disability policies can offer protection in two other ways. According to the Insurance Information Institute, a no-cancel policy insures you can renew each year without an increase in premiums or a reduction in your benefits. Of course, that only applies if you keep up your premium payments. If you have a guaranteed renewable policy, you never have to worry about cancellation as long as you keep paying your premiums. The insurance company does have the right to increase those premiums, but only if it hikes the price for everyone in the same rating class as you.
  
  

Social Security

• Many people think the Social Security system will take of them if they become disabled, but Social Security doesn't cover everyone. You must meet Social Security's definition of "totally disabled." ProtectYourIncome.com says only about 35 percent of the claims submitted to the Social Security Administration get approved. Just going through the process can take a long time, too. Private disability coverage can begin immediately.
  
  

Chances of Becoming Disabled

• Most people understand the benefits of carrying life insurance, but many fail to realize their odds of needing insurance to cover their expenses while they're still alive. The Social Security Administration reports that the odds of a 20-year-old worker suffering a disabling illness or injury before reaching retirement are three in 10.
  
  

Increased Living Costs

• The Guardian Life Insurance Co. points out that when you suffer a disability, you may need even more income than in the past. Depending on the disability, you may need to pay someone to do home maintenance. You might also see an increase in medical expenses. If you're single, disability coverage could be even more important because you won't have a spouse's income to help carry you through. Disability benefits can help cover those new expenses.