What You Need to Know
- About 53 million adults were providing care for a child or adult in 2020.
- More than 60% of the caregivers had jobs outside the home.
- One in four Americans has taken leave to care for a family member with a serious health condition.
As a broker, you are often helping your clients prepare for the future, safeguarding them against potential risks and ensuring they have enough money to maintain their lifestyle into retirement. It’s equally important to help them maintain their lifestyle if they experience a disabling event and become unable to earn their usual income before they retire.
Consequently, individual disability insurance — or IDI — is a critical part of any financial plan, because it will pay monthly benefits when your clients can’t work due to an injury or sickness.
But what if your clients have a family member with a serious health condition?
An important feature to look for in an IDI policy is a family caregiving benefit. A family caregiving benefit will pay clients if they must take time from work to care for a seriously ill family member. Make sure the policy you’re offering to clients includes comprehensive coverage, including a family caregiving benefit, to help provide income protection for them and their families in the case of an injury or illness.
A 2020 study showed that 53 million American adults provide care for a child or adult. 61% of caregivers were also employed, performing a balancing act to ensure their loved ones were taken care of while they continued to work.
However, some caregivers also needed to take a leave of absence: One in four Americans have reported taking leave to care for a family member with a serious health condition.