What Does Oregon Disability Insurance Cover?
Disability insurance, also known as disability income insurance, is a coverage that protects your income against the risk of disability. For example, if a worker suffers from an inability to perform their work duties due to a disorder or an injury, they will not earn an income if they don’t have disability insurance, but if they do, the policy will cover them until they are able to resume work.
There are two major types of Oregon disability insurance: short-term disability benefits (STD) and long-term disability benefits (LTD).
Short-Term Disability Insurance:
Short-term disability insurance protects employees from temporary loss of income. With a short-term policy, you will receive a percentage of your income lost due to sickness or injury. This policy is usually provided by employers, and are sometimes provided under group insurance packages or as part of a benefits package.
Just like the latter, if your OR employer does not offer this type of coverage, you can purchase an individual plan from an insurance agent.
Most disability insurance plans include certain stipulations regarding eligibility. Some will specify a minimum service period and others may need you to have worked full-time or consecutively for a certain period of time.
Long-Term Disability Insurance:
Long-term disability insurance covers a part of your income if you are injured or ill. When you are unable to work for a long period of time, a long-term disability plan can cover a part of your wages and will typically start after a short-term policy has elapsed.
The time frame of a long-term plan will vary from policy to policy, but will usually take about 10 to 53 weeks, with the average taking about 26 weeks.
What Oregon Disability Insurance Doesn’t Cover
Disability insurance does not cover:
- Cover medical care or long-term care services
- Benefits once you are over age 65.
OR Disability Insurance vs Workers Compensation
When workers are injured on the job or sustain illness or injury out of their workplaces that result in absence from work, disability or workers’ compensation benefits are made available. Employers compensate their staff who suffer work-related injuries through a workers compensation plan, but those who suffer non-work related injuries will be covered by a disability insurance policy.
The primary difference between Oregon disability and workers’ comp is whether or not the illness or injury is work-related. Disability insurance will pay a portion of an employees earnings if they cannot work and the policy can be taken out independently without a contribution from an employer.
Do I Need To Buy Oregon Disability Insurance?
The fact is that during the course of your working life, you may need disability coverage, but in truth, most people do not know what makes them eligible for disability insurance. Eligibility will vary depending on your employer’s policy. Some employers consider you disabled when you can’t perform your duties, while others will classify you as disabled if you’re unable to perform in any suitable role based on your training, education, and experience.
Many employees get some type of insurance from their employers when they are unable to perform their duties, but this is usually for a short period of time. Notwithstanding, it’s necessary to have a disability coverage on-hand to ensure that you don’t lose your monthly income altogether. Keep in mind that several policies have clauses and conditions that may not completely cover certain disabilities.
Just about everything you intend to accomplish in the future is dependent on the expectation that you will continue earning an income. That income is the resource needed to achieve your biggest financial goals. You don’t have to earn a lot of money, you just need enough to cover your personal goals while you get better. So protecting your ability to earn should be a financial priority.
How Much Does Oregon Disability Insurance Cost?
How much does disability insurance cost? The average price of OR disability insurance is usually very affordable. The premiums vary depending on the company and their underwriting rules, and it depends on the coverages and deductible selected. Following are some of the main factors that go into the price of a policy:
- Age – The older you are the higher the premium cost will be.
- Smoking Status – Smokers typically pay more premium then non-smokers.
- Health Conditions – Pre-existing conditions make the premium on long term disability insurance more. They also may excluded for the first year.
- Waiting Period – Waiting periods range from 30 to 90 days and function similar to deductibles in health insurance. Longer waiting period = lower premiums, shorter waiting period = higher premiums.
OR Disability Insurance Quotes
Request a Oregon Disability Insurance quote in Albany, Ashland, Baker City, Beaverton, Bend, Canby, Central Point, Coos Bay, Cornelius, Corvallis, Cottage Grove, Dallas, Damascus, Eugene, Forest Grove, Gladstone, Grants Pass, Gresham, Happy Valley, Hermiston, Hillsboro, Keizer, Klamath Falls, La Grande, Lake Oswego, Lebanon, McMinnville, Medford, Milwaukie, Monmouth, Newberg, Newport, North Bend, Ontario, Oregon City, Pendleton, Portland, Redmond, Roseburg, Salem, Sandy, Sherwood, Springfield, St. Helens, The Dalles, Tigard, Troutdale, Tualatin, West Linn, Wilsonville, Woodburn and all other cities in OR.
Insurance Regulations In Oregon
Let's take a look at insurance in Oregon. There are definitely some state regulations that govern insurance in the state of Oregon. You should become familiar with what these regulations are, even if they do not necessarily apply to you.
You will be much better informed about insurance if you know what types of insurance businesses are required by law and what types they normally get regardless of law. You also may want to know the regulations governing personal insurance such as automobile insurance and life insurance. Let's take a closer look at OR insurance regulations.
Oregon Business Insurance
The first type of insurance that we will start with is business insurance. Specifically, we will be discussing general liability insurance. Commercial liability, sometimes called general liability, is a type of insurance that protects your business in case someone slips and falls on your floor or experiences roofing materials falling on their car that does damage. There are many other situations in which general liability insurance may kick in.
There are also some types of insurance that are mandated by law including Worker's Compensation insurance for any company that has one or more people working for them full-time or part-time.
Oregon does not have any laws stipulating that companies must carry disability insurance like in many states, but if there are vehicles being used for commercial purposes, then they must carry commercial auto insurance.
OR Personal Insurance
There are definitely some regulations that govern the auto insurance that normal motorists are required to carry on their vehicle. These are pretty standard across the states and match what is required in most. In Oregon, you are required to carry 25 000 USD per person for bodily injury and 50 000 USD per accident for the same. Property damage is a little higher than you will find in other states at 20 000 USD per accident and there is also an additional requirement that requires a personal injury protection amount of 15 000 USD per person.
Finally, there are regulations governing life insurance in Oregon as well. Unlike most states, there is no free look period for life insurance. However, there is the normal grace period Of 30 days when it comes to late payments. Lastly, insurance companies are required to make payment within 30 days of receiving notification of the death described in the policy. If they do not make payment within 30 days then the person that is the beneficiary of the policy may receive interest as well.