Comparison of three disability insurance types: individual policies, group coverage through employers, and guaranteed standard issue (GSI) plans. Each has different costs, underwriting requirements, and portability depending on your health and job situation.
Individual coverage almost always offers better policy definitions as well as coverage that continues as long as you pay premiums. However, it is generally more expensive. Group insurance is typically inexpensive or even employer paid, and often there is little to no medical underwriting. However, the coverage may not be own occupation, and rates may increase over time. The employer rather than the employee owns the policy, so you may not get to keep the policy if you change jobs, and they can cancel or change it at any time. Guaranteed standard issue or GSI coverage is individual coverage, so GSI includes all the same advantages as traditional individual insurance. If you're healthy with no risky hobbies, you can likely get an individual policy that costs less than a GSI policy. But if you have any health problems at all, a GSAI policy may be your best or even only option.
Physician Takes a Youth Sports Team to the State Championship - MtoM Podcast #236
