NEW! The Walpole Chamber of Commerce endorses the Bulfinch Group to provide our members with Disability Income Insurance. Here is a Primer on the subject:


Individual Disability Income Insurance.

While most Americans insure their lives and material assets, like their homes, cars, etc., many overlook the need to protect their most valuable asset – the ability to earn an income. Consider these facts:

At age 30, you are twice as likely to become disabled than you are to die.
At age 40, the odds are 1.95 to 1.
At 50, they are 1.53 to 1.
Source: “Why Disability?” Pub by National Underwriter. Commissioner's 1985 Disability Table and Commissioner's 1980 Standard Ordinary Mortality Table.


What to look for in a Disability Insurance Policy
Insurance claims studies indicate that the odds of becoming disabled for 90 days or longer are much greater than dying during one’s working years.
Ø Definition of disability: Many policies provide for an initial own occupation definition of disability, for a specified period of time, after which a different definition of disability applies. The best policies have an own-occupation definition of disability for the entire benefit period.
Ø Partial or residual benefits: Partial or residual disability benefits may be paid in some policies when the disabled insured can work but can perform only a portion of his or her duties.
Ø Cost of living adjustment: Is there a cost of living adjustment (COLA) which could increase benefit payments after a disability occurs?
Ø Cancelability and renewability of policy: Except for nonpayment of premiums, is the policy noncancelable or guaranteed renewable? Noncancelable generally means that the insurance company cannot cancel the policy, change the policy provisions or increase policy premiums after issue, as long as premiums are paid on a timely basis. Guaranteed renewable is similar, but allows the insurance company to increase the premium.
Ø Waiting and elimination period: Is the waiting or elimination period proper for insured’s circumstances? Commonly available periods may include 30, 60, 90, 180, and 360 days.
Ø Benefit period: What benefit period should be selected? Since a long term medical disability can be financially devastating, one should elect a long-term benefit where possible. Some companies offer lifetime benefit periods, but periods as short as 24 months to 60 months are also available.

Types of Disability contracts
Several other specialized disability contracts are available to the businessperson:

Ø Business Overhead Expense: Covers expenses such as staff salaries, rent, telephone, utilities, malpractice insurance, and other expenses necessary to keep one’s business open.
Ø Key person disability: Reimburses the business for the loss of a key employee and allows funding of temporary replacement or training of a successor.
Ø Disability Buy-out: Provides income to fund a buy-sell agreement triggered by the total disability of a shareholder/business owner.

How would your life be affected if you couldn’t work?
Nobody expects to become disabled before they turn 65, but the fact is men have a 43% chance and women have a 54% chance of becoming seriously disabled during their working years.* You may not be able to avoid the risk, but you can protect your financial future with a quality disability income protection plan. We have the disability protection you need to help protect your income, retirement contributions and business.

Protect your income
· Your home mortgage: who would pay it?
· Your basic household expenses: could your savings cover them for months – even years?

Protect your retirement
· Your primary retirement plan: could you continue making contributions?

Protect your business
· Your business: Could you keep it running if you weren’t there?

Please contact us at 781-449-4402 for more information.

Stuart Wagonfeld
The Bulfinch Group
140 Kendrick Street, C-1 East
Needham, MA 02494
Office: 781-449-4402
Fax: 781-449-4462
Stuart_Wagonfeld@bulfinchgroup.com