Welcome to Part One of our deep dive into Disability Insurance (DI) on the ShiftShapers Podcast! In this two-part series. In this episode, host David Saltzman converses with Don Schamay, Regional Director of Executive Benefits at The Principal, about the often-overlooked importance of disability insurance in a comprehensive health insurance strategy. Don shares his journey from military service to a seasoned expert in disability insurance, emphasizing the critical need for both individual and group disability insurance to protect one's income. The discussion covers the prevalence of disability, how group and individual disability insurances differ, and the significance of educating clients about income protection and insurance options.

Key Takeaways from the Episode:

✅ Importance of DI – Disability insurance (DI) is an often-overlooked but crucial component of a comprehensive health insurance strategy. It provides financial protection if one is unable to work due to illness or injury.

✅ Group vs. Individual DI – Group disability insurance often covers basic salary and is a cost-effective, foundational benefit for businesses. Individual DI can supplement group coverage by filling in gaps and covering additional forms of income.

✅ Coverage and Income Protection – Properly structured DI ensures that individuals have a safety net that covers up to 80% of their income, considering both salary and other compensations like bonuses and K1 distributions.

✅ Market Trends – The DI market has become more competitive and robust, improving the quality and affordability of coverage. Newer carriers have entered the marketplace, stabilizing and enhancing the options available.

✅ Advisor’s Role – Advisors must educate clients on the significance of DI, ensuring that they understand the risks and the options for mitigating them. This includes both group and individual solutions tailored to the client's specific needs.

Episode Timestamps:

⏳ 00:00 Introduction to Disability Insurance
🛡️ 00:48 Don Schamay's Journey into Disability Insurance
💡 02:47 The Importance of Disability Insurance Today
📊 05:57 Understanding Disability Income Protection
🔍 06:57 Group vs. Individual Disability Insurance
📈 11:41 Coordinating Group and Individual Coverage
🎯 17:44 Advisors' Role in Disability Insurance
📉 20:44 Market Stability and Competition

📢 This Episode is Sponsored by BenePower

BenePower is an AI-powered platform that helps advisors build high-impact, self-insured health plans quickly and seamlessly by integrating the best point solutions, eliminating inefficiencies, and improving collaboration. It streamlines plan creation, reduces costs, enhances member outcomes, and positions advisors as industry leaders.

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Resources & Links:

🌐 Council for Disability Income Awareness: https://thecdia.org/