Unum Individual Disability Insurance: Safeguarding Your Income When You Can’t Work

Introduction

For self‑employed professionals, entrepreneurs, and contractors, your ability to earn income is your most critical asset. Unum Individual Disability Insurance provides personalized coverage that replaces a portion of your earnings if illness or injury prevents you from working—so you can focus on recovery, not cash flow. In this article, we’ll explore why Unum’s individual policies stand out, key plan features, rider options, and how to apply.

1. Why Choose Unum for Individual Disability Insurance?

• Own‑Occupation Definition
  Pays benefits if you’re unable to perform the duties of your specific profession (e.g., surgeon, attorney, consultant)—even if you could work in another capacity.
• Strong Financial Stability
  Backed by Unum’s A‑rating, ensuring claims are paid reliably.
• Customization for Your Needs
  Flexible benefit periods, elimination periods, and riders allow you to tailor coverage to your income level and risk tolerance.

2. Key Policy Features

3. Optional Riders to Enhance Protection

• Future Increase Option
  Lock in the right to boost coverage as your income grows—without medical underwriting.
• Catastrophic Disability Rider
  Additional benefit if you become permanently unable to perform two or more Activities of Daily Living (ADLs), providing higher monthly payouts.
• Waiver of Premium
  If you collect disability benefits, future premiums are waived—keeping your policy in force at no extra cost.
• Student Loan Repayment Rider
  Unum pays your eligible student‑loan obligations during a qualifying disability period.

4. Advantages for Self‑Employed & Small‑Business Owners

1. Cash‑Flow Continuity
   Maintain mortgage payments, business overhead, and family expenses even during extended health events.
2. Tax Flexibility
   Premiums paid with after‑tax dollars yield tax‑free benefits; consult your advisor to explore deductibility options.
3. Peace of Mind
   Knowing your income is protected empowers you to take calculated professional risks—growing your practice or enterprise.
4. No Employer Dependence
   Coverage stays with you if you change jobs, close your business, or pivot careers—offering lifelong protection.

5. How to Apply for Unum Individual Disability Insurance

1. Get a Personalized Quote
   Visit Unum’s website or contact a licensed agent to estimate benefit levels based on your earnings.
2. Select Policy Parameters
   Choose your desired benefit amount, elimination period, benefit period, and optional riders.
3. Complete Underwriting
   Submit a health questionnaire; higher benefit amounts may require a brief medical exam or attending‑physician statement.
4. Review Policy Illustration
   Examine projected premiums, benefit schedules, and rider costs before signing.
5. Activate & Manage
   Upon approval, pay your first premium. Use your Unum online portal to update income, change beneficiaries, or request riders like the Future Increase Option.

6. Frequently Asked Questions

Q: What counts as “own occupation”?
A: Unum defines it by your current specialty and duties; if you can’t perform those but could work elsewhere, you still receive full benefits.

Q: Can I adjust my coverage later?
A: Yes—through the Future Increase Option rider, you can periodically increase your benefit amount without further health questions.

Q: How are benefits taxed?
A: If you pay premiums with after‑tax dollars, disability benefits are generally tax‑free. If your business deducts premiums, benefits may be taxable—check with your tax professional.

Q: How quickly do benefits start?
A: Depending on your chosen elimination period, Unum typically pays benefits within a few days of claim approval after your waiting period ends.

Conclusion

For professionals whose livelihoods depend on their capacity to work, Unum Individual Disability Insurance offers a customizable, reliable way to protect your most valuable asset—your income. With robust own‑occupation definitions, flexible plan designs, and a suite of enhancing riders, Unum ensures you and your business remain secure through life’s uncertainties. Contact a Unum agent today to craft an individual disability solution tailored to your career and lifestyle needs.