Disability insurance provides income replacement if you become unable to work due to illness or injury. For most people, their ability to work is their most valuable asset, and disability insurance ensures that they don’t face financial hardship if they’re temporarily or permanently unable to earn a living.

There are two main types of disability insurance: short-term and long-term. Short-term disability insurance typically covers a period of a few months, while long-term disability insurance can provide coverage for years or until the policyholder is able to return to work.

The importance of disability insurance is often overlooked, but it can be a lifesaver for those who are injured or ill and unable to continue working. Whether provided by an employer or purchased privately, disability insurance can help maintain financial stability during tough times.