Disability insurance replaces a portion of your income if you become unable, through injury or illness, to work.
Disability benefits are not normally taxable, and the disability benefit is calculated as a percentage of pre-tax income
Disability insurance benefits are almost always payable on a monthly basis, while the disability continues
Upon recovery from a disability, the policy continues. Benefits could potentially be payable again for subsequent disabilities or for the recurrence of a prior disability.
If the disability insurance policy is paying a disability benefit to the insured and they die, a nominal life insurance benefit is usually payable in a lump sum and will end the contract.
