The Money-Making Machine (Disability Insurance)

Good morning, good afternoon and good evening Whatever time it is you're watching and welcome back once again to another episode of the Harvard trust financial podcast my name is Shane and I'm joined here as always with my co-host Phil and You know today we're gonna be getting into a topic that we do very often with our clients You know the way that we usually introduce this topic with our clients is a concept call Actually, you know what? I'm not even gonna introduce it introduce it that way. We just had our first snow yesterday. It's November It's getting cold Christmas is around the corner and Phil I thought of a Christmas gift I wanted to get for you and I'll spoil it here on the podcast early I'm not even gonna get into the concept of that with my client. I want to get you something. You're a finance guy Are you not? You like money, don't you? Working with money ads. Yeah, so I got this idea where I know a guy who knows a guy who could get me a money printer So I was thinking of wrapping that up all nice and putting that under the tree for you this year Money making my money making machine pretty much a money printer. So, you know, I put that in the living room I kind of made paint it make it look all nice and you just blend right in with your decor and have a money printer You know do whatever you want with it So what do you think about that? I'd love that. Yeah, that'd be a great Christmas gift. Thank everybody I think everybody would like that gift for whatever holiday you celebrate, you know, I'm money making machines a great thing, but Here's here's a catch Well, it's not a catch more of a question. Would you insure it if I got you a money making machine? Would you insure it? Well, I mean, you know if it stops working You know, it stops printing one morning, you know, I would like to insure it if it makes I don't know if it prints out four grand a month But you put a hundred bucks aside for it to make sure it keeps printing out four grand a month in the event that it stops You tell me, you know, I know he makes why don't why don't you put yourself in those shoes? Listener and why don't you ask yourself that question? Would you do that as well? I mean, I don't Think I can come up with a reason why you wouldn't So that's the topic we're talking about today is why would we insure the money-making machine? Which is you you are the money-making machine, right? I'm not getting you any Christmas gifts is what I'm getting to you No, but you know, everybody works everybody makes income You are and in that sense you are the money-making machine You are the money printer because you are doing what that printer does You're racking up thousands of dollars per month to support yourself maybe to support your family to support your goals to support your projects and There is a possibility that you go. You don't you lose the ability to do that. Hence You end up in a disability to work disability insurance is what we're going to be talking about today So on that note folks kind of can you kind of enlighten us? What is disability? Yeah, sure. And what is a disability? Well, there's two types of disability, right? okay, there's you can have you can be disabled due to an illness right or you can be disabled due to an Accident, right? Okay, and the purpose of having Disability coverage in place is to replace that loss of income, right? Because we know that we're not gonna get a hundred percent of our pay if ever we become ill or we have an accident correct and by having that disability as well in place will give you a sense of security that financial security To cover yourself from from that event of having a disability either on the illness side or the accident side Okay, so when we're talking about disability illness or accidents The first thing that we hear when we mention this topic with clients I have this at work and then that you will typically unpack quite a quite a Chunk of questions following up that so, you know, I have it at work. I have disability insurance at work I want to make sure that people understand here. The point of this episode today is is to make sure that everybody understands What it is that we're going to ask you if you tell us you have disability insurance at work we're not going to ask you questions because in in any with any other motive or any other goal than to make sure that you Understand what you have and that it's actually adequate to protect you And these are the questions that we're going to typically ask which is fun You'll be able to ask yourself here today while listening to this podcast We'll kind of give you some tips and tricks on how to find these things out But we're going to enlighten you on everything that involves disability. There's different types of disability insurances So if you have disability at work, it's not this Say all end all Like, you know answer to a question. Oh, I have it at work. I'm good What is it that you have at work? What is your disability? What kind of disability? How long does it cover you for? What does it pay what percentage of your salary so on and so forth so types of disability insurance? We'll start there Short and long term correct. So kind of take us into that path short term I'll be predetermined either you have depending to on the waiting period or even the eligibility So two things in the short term we start with the eligibility Are you a full-time employee or you're a part-time employee? Okay, generally speaking somebody who are part-time Don't necessarily have access to the types of disability that the work will offer right? okay, if you are a full-time is there a waiting period Before even the disability kicks in or does your group plan kicks in from day one? Very important to know day one of like a disability occurring You're talking as day one from starting your work as well because let's say you're within that probation period All right, so they don't always cover when you're in that period. No, what is that period generally is three months? Generally is three months and after three months you should be covered But then after that once your disability kicks in with your group plan that you're eligible now You've passed that grace period There still could be some waiting period so when we're talking about the short term, is it immediate? Is it a few days or is it 30 days? Gotcha, or do you even have short-term disability? So many times we'll sit down with clients and they'll say I have I have disability coverage I'm good and we start looking in their group plan and all of a sudden there's a lot of surprises Yeah, I did not know I had no short-term disability. I did not know. I only have a long-term disability I did not know. I only had short-term but no long-term. I thought I had disability I did not know there was only X amount of coverage Covers my my types of my portion of your salaries covered So a lot of there's a lot of those things So when we meet when we look at our short-term disability We look at their waiting period or even if we have any short-term disability Okay, the second portion of it is the long-term disability Long-term disability will kick in after the short-term disability if any Generally, we're gonna look at long term if you have no short term I've seen some plans that their long term starts at 30 days Some are gonna start at 60 days. Some will start at 90 days. Some will start even six months like a hundred and eighty days A hundred and eighty days without pay if they don't have any short-term disability So then it comes the question of like, okay You know, mr. And mrs. Client Are you aware that if you have some form of an illness or disability or accident that prevents you from going to work? Tomorrow, are you aware that for the next six months you will be? Income less you will have no income. Are you aware of that? Right? That's a far-fetched from the first answer. You gave me of like, oh, I got it at work. I'm good Okay, do you know that you have six months of not getting any income or something happens to you tomorrow Probably not right. So flying by the edge of your seat and not being aware of those details. I think can be very very detrimental to the how the scenario plays out given if you if it happens, right the point is we hope it doesn't but It happens far too often that people are unaware of these things. So that's why we're here talking about it today But let's bring back to your first day of employment, right? We all remember Let's say it's some some job or some employment that that worry that we do that We have a spend our first day or a first week super excited. Yes, they're pumped. Yeah, you know, but there's a lot going on You want to take in new people you meet maybe some new system you need to adapt yourself to right? Let's say it's a brand new industry Lots of paperwork to fill out. Yeah sign here sign there go at the bottom. We don't have time. Let's go. Yeah Everything is rush rush rush. We need to learn we need to do because at the end of the day that Workplace needs you to start working in order for them to start producing money Yeah, they can pay you at the end of the day exchanging time for that money So a lot of time that HR stuff or that group plan stuff is being put in on the back burner And then we never look at it again And then the only time we're gonna bring that up most of the time not because there's some people that that will take a look At it, but majority of the time when we bring back those benefits is when something happens Oh, yeah, it's then it's too late, right? It's too late. It's because if something already happened I know some people who had this misconception nature human nature But I know some people that had this misconception of like if something happens to all it's alright. I'll figure it out when it happens That's not how it works man That's not how you can handle it because if something already happens It's too late to adjust because the event already happened in insurance You're insuring something that could happen when you're talking about living benefits. You're not insuring something that already happened. That's not how it works So just kind of saying well, I know I got something at work If I need more I'll take like I've had this answer like if all well, whatever if it's not enough I'll just take out more when I'm on disability. That's not how it works. You can't do that What do you have to we already got disability? You can't take out more because you're a disability. You're on Uninsurable for that product and you're like no longer insurable for that period. So that's it what you have is what you have figure it out now or Figure it out when it's too late and you can't make any do anything about it, right? Yeah, I think it's better to know what you have and what you don't oh geez and then something happens You could adjust for sure Versus not knowing. Yeah what you don't have and then trying to struggle be like I did not know. What do we do? because there's some people out there that don't know how their plan works and There are some people out there that do get hurt or sick and they can't work happens every day across the country Right, so may not be you but you might know someone who that happened personally. Did it happen with us in our in our family? So for me disability hits its home A little more than maybe some people that never experienced more right for themselves because we've been through it But felt the impact of it Oh big time and luckily we were prepared for it Not necessarily getting we didn't have disability in place But the income that we had put aside was able to sustain I got you that the family right now So it's not about always to go get that disability or needing that disability It's more of are you prepared financially if there's an impact? and if the answer is yes with either a big emergency fund or some income coming in while you're at your Whatever how how it is because some people don't have an emergency fund but also don't have a disability Right. So if something happens, they're literally screwed. Yeah, and then not only that but I'll talk about later But the stress financial stress or not only you're trying to get better because you're ill you're you're you're hurt trying to recover And then but then you're stressing because there's no income coming in most certainly double whammy. It's not gonna help your recovery That's what you know, it's gonna it's gonna enhance the if anything gonna slow you down. Yeah big time that stress So it's not it's not really good So we're talking about work insurance here and another just fun fact before before we move on to More like government programs here because there are some you know There's a lot of things with the government as well that can kind of kick in when you end up in this situation But we'll get into that. We're talking about work insurance I'm just gonna leave this here and we'll move on you don't earn you don't own your work insurance listening listeners me you Nobody if you have insurance at work, you're not the owner of that. You don't own that policy You don't get to pick and choose what happens with it. So If you say that yeah, I got disability insurance. I'm good and you've been at your employer for more than one year That means something could have changed Every single year group benefits are renewed. The employer can make changes on those group benefits and sometimes unfortunately a lot of times employees are not made aware of those changes or just don't understand them and You just like yeah, I got my disability insurance when I started and then it's like ten years later It's like when's the last time have you looked at this because it changed ten times Yeah, it could have changed ten times and you could still not have it I had a client who told me that they were covered for like 90% of their income for until retirement if something happened to them And they hadn't looked at their disability pot and that's what they had. They reassured me I know because that's what I read when I signed up five years ago and Then five years later. We open up the books again, and I take a look at them with the client and we see that It's actually now 55% of their income for six months the employer made cuts on disability It's the most expensive part typically of well one of the most expensive parts of group insurance So it's usually the first place to get cut if things get too expensive for the employer and they got cut So that client going from I know I'm covered for 90% of my income until retirement to if something happens to me I'm getting half of my money taxable for six months It's two different worlds and that would have been a really tragic surprise if they would have found out After something happened thinking that they were adequately protected as they were when they first signed up, right? So keep that in mind if you have group benefits, yeah, it's great Keep an eye on that at year-to-year because what you have this year might not be what you have next year And don't learn don't don't find that out when it's too late So that's and we can move on to other portions because EI is a thing. Yeah workers comp is a thing Yes, how do those work? Yeah, I generally you'll get 55% of your gross annual income, okay or your your weekly earnings For for maximum of 119 days. So 55% of what I'm making a week For 119 days. Yes. Okay, and you'll be taxed on that. It's not that's also taxable Yeah, so after taxes, I'm looking at probably like 40% of what I'm making depending on your tax bracket You are but you know You can you can look with your CRA but you take your tax bracket where you're filing your income tax Whether you're at 37% you're at 30% here, whichever percentage you you're on Then you'll get taxed at the 55% of your weekly earnings But the good news, there's the workers compensation That generally you'll get 65% Of your gross but they calculate on net income and Depending per province here in New Brunswick. You'll get 90% of Your net earnings. Okay, so net earnings means what I'm what I'm paid Take home take home after taxes after fees after deductions take home pay 90% of that is what I'm getting. Yes workers comp. It has to happen at work, correct? So the disability the event that triggered you to not be able to work has to have happened at work Yes, okay needs to be a work event related and needs to be an injury unless there's an illness involved like Let's say working with fumes at at work like a factory or mines The lungs and they can prove it. Yeah, and if it's a long-term effect, it can become a gray area Unfortunately, because there's a lot of stipulations, but right It needs to be happen at work now another gray area that people need to be careful is if they they're driving to work hmm There's some work that can they don't pay there's some work that won't pay I've seen both sides of the story from from past experience But it's such a gray area. Yeah, but when someone has Disability outside of only just our work plan There's no questions because that disability pays whether it's at home or work doesn't matter It goes our way on top and it goes on top of on top of it unless somebody doesn't abuse of having too much disability because you can't you can't Enriching yourself. No with disability. It won't work. And if you try I promise you you will not succeed because you won't be the first Actually, so it's it's not it doesn't work that way you can't just take out a disability policy here and then go to another company and take out another one there and then claim All five of them as if you get caught it's it's a it's pretty bad. Yeah, you like it It's not good taxed because now it's earned income And anyway, it's money you're gonna get clawed back and pay a bunch of interest and penalties on and it's just don't do it Yeah, just don't do it the I'm worth it But the workers compensation is this has to happen that it has to have to be work related Question before you move on from this. Yeah, you said it was 55% of your weekly earnings. Yeah, so I'm assuming You know 55% it's pretty low. Yeah, if I tell a client, you know, okay I'm gonna take away 45% of your income like that and then I'm gonna tax you on the other 55% What do you think about that? Just a question do Clients bills also go down by 45% Due to the EI program given by our government. No. Oh, okay You still have to pay the totality of your bills, even though you're getting less than half Okay, I just want moving on just wanted to understand that and make sure they well a lot of people will say like oh I'll get I'll get EI. I'm at work But what they don't factor in is they've never done a financial needs analysis on them They don't understand what there is once someone understands. Yeah, if they lose 45% of your income What does that actually do to you? You know when we look at at at Canadians, unfortunately And I said very unfortunately a lot of people are working paycheck to paycheck multiple jobs And try to get so so if you're if you're and I'm not saying that that that everybody's is that but if someone's working paycheck to paycheck and They lose 45% can't lose 20% of their you can't lose five. That's right. So and it's it's yeah, you're right It's an unfortunate reality in today's Canada. Things are very expensive right now. It's it's hard It's a bit harder to get by than it's ever been Just that it's it to also look at inflation with groceries going up And everything else going up Around us. Yeah, so even price of houses has been gone up drastically as well And it makes sense economy. Yeah, of course. Yeah, I'm not blame. I'm not blaming an operation, but but You need to be properly prepared with your financial obligation Be aware of that basis to make sure hey, let's do the exercise if I get taken away 45% of my earnings Can I meet my financial obligations? Yes or no question and it's answered in numbers So there's no opinions involved and the good news is when when we do a financial needs analysis Which is a very detailed financial needs analysis and every clients gets a report after we're done with it They get to see exactly the percentage and to the dime on Exactly what they need But they don't need but they're properly covered and what they're not properly covered also They get everything so with our fun good financial tools that we have we're able to show these clients exactly Provide direct answers. Yeah to those questions. Exactly. Yeah, so moving on, you know from that And again, you know on these topics We're gonna get into a couple of different things any questions or anything related to this that you maybe have a situation that you you're Going through or you know somebody or you're just trying to be proactive and thinking Okay, what if I do this and this, you know, feel free to ask us answer down in the comments send us an email We'll be happy to answer the questions and even have a sit down Virtually or you know, and if you're in New Brunswick in person to answer these questions directly. I think it's really important We don't charge anything to consult for these kinds of things. I mean, we believe that it's important to share this knowledge This information should be accessible and you should definitely, you know Take action on this and understand what how the situation would play out for you. It plays out differently for everybody Yeah, it's case-by-case, but you know, we have the tools that are There to answer your specific scenario Everybody should be doing a financial needs analysis at least once at least one time in your lifetime Yeah, so they understand and like you said doesn't cost anything But for them just to have knowledge where they're going It's like doing a checkup you go to the doctor go and do a checkup. Make sure your health is in check Well people should do the same thing with their finance and you could do it. They could do it themself, but We have the right tools to do it. We can help people go into the one I do with an expert Why not do it before we move on to the next point just an interesting thing. I wanted to share We're talking about workers compensation we're if you're in different provinces in New Brunswick every province will have a different percentage of Protection on the net earnings in New Brunswick is 90% Ontario is 85. I believe Nova Scotia is 85 We're looking at every province So it ranges anywhere between 75 to 90 percent depending on the province So depending on the province you're listening to maybe a look on the workers compensation on how much? This is a quick. This is a very easy Google search. You know, just kind of Understand what your province does for you in terms of workers comp but but keep in mind that this has to be work-related So what do we do if it is not work-related? We look at individual disability insurance and it's essentially what we just talked about for the last 20 minutes. This is That but individual which means that you know personally own the policy you are personally protecting your income at a percentage that you determine with the benefit period that you determine with a Waiting period that you also determine with your advisor You fully customize an insurance policy to fit your needs after having conducted a needs analysis Of course to understand what the best case scenario is for your protection And typically you're replacing 60 to 85 percent Of your income and we're talking about individual disability policies These pay you whether your disability happened at work or not Doesn't matter the source or how it happened or where half as long as it is something that prevents you from working due to an illness or a health issue that was You know given to you written up by a doctor and says that you can't work for the next X amount of time individual disability insurance is what we plan with to Set that up for you to make sure that you're covered no matter where what happens It's typically the best case scenario. It's the best route to take you on the policy There's always there's even sometimes some options I hate the idea of paying for insurance and not using it But I also hate the idea the idea of needing to claim a disability insurance because that's probably it's probably because not really a good a good situation, but Better to have than not have it. But what happens if I don't use it? Well when you when you plan with individual insurance policies, there's some options sometimes we can get reimbursements on your premiums When you terminate your policy when you don't need it anymore, you can get reimbursed a certain amount return Read the return of premium. So there's lots of interesting points in individual planning, which is a bit more of our line of work We usually do this to complement what you have at work because typically what you have at work is not enough It is sometimes we see it sometimes with you know maybe better plans getting a federal government plan sometimes are a bit more beefy and they cover a you know bigger depth of income a higher percentage, but Typically, you know for smaller companies or We're not seeing Disability insurances come in and we do our analysis and we go. Oh, yeah, you're fully fine. It's never it's typically never the case There's always a little something that can be better So this is what you use individual disability for that you go get with a license and by like ourselves even for a workers compensation if an employee and if an employee has less than five and If an employer sorry has less than five employees, right? They're not obligated. I don't need to get a workers compensation even that's right. So These are more crucial as well. Those who are in an organization that are Only a few people's like small enterprises and small contractors earlier and doesn't need to pay for workers compensation You need to be over a certain amount of employees Yeah, so that's another thing and then a second it's a good point a second Second point I'd like to bring is I get a lot of questions Well, if I get that that disability will it reduce what my work give me or workers comp? Give me or AI gives me and the answer is no, absolutely not. Okay goes on top of everything That's why we do a needs analysis to make sure exactly what you're eligible to get and also it's determined per Working class as well. Yeah, depending on what industry what job you were premium will fluctuate Yes, if you have a I'll go in one extreme to another but you have somebody in an office that does 95% is just an office. No physical work versus a minor that goes in Alaska and Yukon or whatever is up there, you know, there's gonna that's two different Employment course and one is riskier than the other course So price will will fluctuate with that as well. So there's a lot to Take an account. Definitely. Yeah When it comes to that so a lot of people will also ask questions about tax implications when it comes to disability It's a very simple answer And it's I'm gonna answer the question directly, but then I'm gonna answer it with the concept if your employer is paying for your disability policy and you have it at work if Your employer is paying for it. You're not paying for it Employer is it's taxable with a benefit that you're getting is not something you paid for So it will be taxable if you are the one paying for it If it's coming off of your paycheck entirely Not at half not a part portion of it If the full amount is coming off of your paycheck to cover yourself for disability through your work Then in this in this case, it is tax-free. The money is not taxable. You don't have to claim income with it The concept is like if you get money that you were not taxed on You got to pay taxes on it So if you pay money to have that policy with money that you are already taxed on Well, that's something that you own. You're already taxed on the money. You're paying for it with Right, so it's it's it's it's not taxable. So in the sense where your employers paying for it It's a source of income that you did not acquire with your own taxed earnings. So you must be taxed on that money so it's a very simple concept, but Make sure that you understand who's paying for your disability insurance Because you could end up with a surprise tax bill at the end of this whole thing Not knowing that your employer was paying for it or not knowing that you're playing for it. So understand that as well It's 50-50. It's 50-50 Well, then as it goes whatever portion it is that you purchased of that policy is not taxable Whatever portion it is that you have not paid for to acquire that income is taxable Because it's earnings that came from a source that you did not acquire By paying with your taxed earnings. So anything that you're not paying for it is taxable. Yeah Yeah And then we talked about eligibility and waiting period. So we like you mentioned a while ago. It's typically full-time employees You have to have worked for a specific waiting period typically three months That you have to be at your employer working full-time before it kicks in sometimes it's immediate But your most common one is three months. Sometimes it goes to six depends on the employer And then when you're looking at waiting periods for when it pays out Disability happens today When do I start getting my money? Well for short term you can go from a few days up until you know 30 days is typically your your your whole waiting period to start receiving benefits but that short-term policy white might last anywhere between a Few months to maybe a year or two tops short term would be much lower short term is much lower Even that's for three months under usually it's pretty it's really short term is Very sure it's not reliable. It's just to kind of get you out of that Immediate scenario if you have it, which a lot of times if you have long-term Yeah, as commonly as I see people have short-term I also see people not have it So there's a pretty long gap of I don't have income, but I still got to pay my bills right there So then what do we do? Well, we plan adequately around other things But then your long-term policies will you know, they can last up until you retire Yeah, I've seen some policies that are in place and if something happens to you where you can no longer work until you're 65 Well, it'll pay you until you're 65 At which time you'll start receiving government pensions anyways, so But it can also just be a couple years for long-term Disability insurance. I've seen it at two years. I've seen it at one year I've seen it very very low and the waiting period on those is like we mentioned a while ago anywhere between a month two months Three months goes all the way up to six months in some cases So if it is six months and you don't know that you're waiting period of six months Time to me it's time time to do some planning time to be proactive because you got a six month period waiting to happen where you're not going to have any income and you're not going to be able to work and It's not going to be good. So I remember a case specifically with one of your clients. I will always remember because I remember The conversation that this client was telling Was telling us that she had Disability and she was covered for two years at a hundred percent and In my head, I was like, okay, I kind of went with it and we'll wait till the financial We'll see we'll see what we uncover in the analysis that was in there and that was in their first first First meeting with yeah client during our market analysis Yeah, and say okay kind of let her talk and you know I didn't want it to to argue with the client right there and then after ten minutes But we'll find out in the financial needs analysis and and sure enough she was in Shocked when it was a six months waiting period without no income and then it was at 65 percent or Wasn't even close to the hundred percent. No, and she was she was in shock and it was only for a certain amount of time It was for six months or a year or something like that. Yeah, but They're her reaction was Well, I don't want to say it was price because I was like I knew this was gonna be a shock to her Yeah, cuz everybody who thinks the action were used to it When everybody thinks it's always a surprise. I have disability. I'm well covered Yeah, like it doesn't mean that you're well covered. No, just be and I'm not saying Everybody should go see a financial advisor Everybody she goes but just open up your policy and a lot of people's like oh It's complicated these types of plan. I promise you they're not they're not when I open it up It's generally the writing is bigger and bold. Yeah, I can't miss it Yeah, if you open it up and you look at it, you can't miss it. Yeah, if it's a complex one It's a big book or whatever it is. We Look at contracts every day every day So it's easy for us to look at it and there's a pattern as well to look at certain things as well So be more than happy to look at it but Just do yourself a favor and if you have good plans, just open the book look it up Just be aware of what don't do and don't go to there's that's another one. They'll say oh, I'm I went to HR I'm still waiting for an answer and I'm not here to blame HR, but a lot of times they have no idea Some do but some don't they have to open up the books because if there's different departments and within that that Company, they might have different departments will have different benefits as well. Depending how big your organization It's not just a one policy for all Sometimes is divided for department as well. Yeah, so if you want to do yourself a favor and go to a licensed insurance advisor Yeah, you're putting your odds in your face. It's good It's good to go see HR and I'm not I'm not here to diminish No HR, but it has happened in the past people are like I'm asking HR and they have no idea now You may have some HR worker Logan's like yeah, but they probably don't know what they're doing Yeah, just like any other job, right? There's some people know what they do. And there's some people that don't know Which would lead us to our last point here is why it's of mine Why an important why do you do it? It's peace of mind. It's why why should you take this seriously? I mean, I think you're flying by the edge of your seat is Especially when it comes to this if you're in your younger years, you know Mid 20s all the way up until pre retirement like 45 50 55 that whole age range Is so crucial to be properly protected and your income is so detrimental to your everything around you People say money doesn't buy you happiness, but I agree, but it sure solves a lot of problems It does not buy you happiness, but it does solve a lot of problems It's something that somebody told me at some point so have the peace of mind of knowing what that result is Take take that stress off your shoulders Focus on recovering when you're in the disability Don't focus on the debts and the the financial burden that that it'll bring on if you've already prepared yourself for it There's nothing to worry about If you haven't I don't know what there is to worry about and that is scary What's more scary not knowing what there is to worry about or finding out that your disability insurance is not adequate Obviously, it's the first so I mean it's it's it's that's the importance of it take it seriously. It doesn't take a lot of time We do it for free. Yeah, we we read through this for free and we do an analysis for free. It's absolutely no obligations for us, it's it's in our best interest to find a solution because that's how we are remitted or enumerated, but If there is no solution if we do find that it's adequate then even better Then you've done you've done the due diligence to find out that it's good You can now have that peace of mind because you were proactive and We are now Friends of yours and we are there to answer any questions and we don't obviously don't just do with disability insurance, right? So but you know take that seriously on that level and I think we could wrap it up on that point. Yeah, and Yeah, the peace of mind and the recovery. Absolutely. Those are the two two main things. You don't want to be focusing on your finance While you're recovering or you're stressing out because stress will bring more more to the illness Yeah, or more to the injury certainly more help On that side and and maybe one question that people should be asking themselves is you're talking about? your your income how important it is for your financial obligation and Here's a question if you would remove your income Could you meet all your financial obligation on a monthly basis if you remove a portion of your income Work backwards. What is the most that you can remove where you'll feel no impact But I'm saying this is because there are some people out there that has that either a passive income coming in, right? I see what you mean. Yeah, so some people are in in the real estate game that they have apartment building Rental income rental income some people Passive income with their work Sales and stuff like that. So there might be some some other sources of income that comes in that can replace Their initial or their main income that they might be fine But if you're a type of individual that you don't have that passive income and you don't have a supplementary Income those are the people that is most Vulnerable that needs to look at making sure they're probably covered because to your point If someone gets hurt or sick and if this is not based on fear because these these happens every day You don't want to be stressing out on money You want to be more putting that focus on recovery put that energy towards recover Exactly because if you put that energy towards stressing about money, guess what is gonna bring more illness more injury That's not gonna help the case. You're you're gonna be you're gonna be way behind and then you'll have to do some fundraisers or Crowd funding or what? Yeah. Yeah. Yeah, it's just yeah these types of funding and and I'm all up for that But when we have the proper planning in place Then situation usually go is a bit smoother. Yes a Bit is a bit of an understatement. Yeah, at least you'll have a very fun type of income coming in to Offset absolutely, whatever you're losing as well for sure. So any questions on top of that feel free to answer in the comments Make sure to LIKE and subscribe. I Hope you enjoyed this episode Phil and I put a little bit more. I know this one's a bit more dense a bit longer but we really Allocate a lot of importance towards this topic. It's it's it's like you said you've been through it I know some people that have been through it as well And what we do every day is try to prevent these situations But we can only help people that are proactive enough to take what we say seriously So hope that you got something out of this episode and and hopefully it makes you a little bit more comfortable with your disability insurance if you if you have any Feel free to ask us questions about it. We'll be glad to answer on that note. We hope you enjoyed this episode We will see you next week on the Harvard Trust financial podcast My name is Shane joined by my co-host today Phil as usual. See you on the next one. Bye. Bye everybody