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"I don't need disability insurance."


Disability insurance is one of the most important insurances that working people should have. It is important for all those who, due to illness or accident, are no longer able to perform their profession.

Taken out with professional assistance, the insurance does not have to be expensive and, if the medical record is checked beforehand, it also ensures that the pension will be paid if the worst comes to the worst.


The saying is usually: no way back. If it is too late, the contract is often no longer possible. Talk to us about solutions in such cases: Dread Disease/ Serious Illness Insurance, as well as Basic Abilities Insurance. These are worthwhile alternatives to occupational disability insurance.


What is occupational disability insurance?

Occupational disability insurance is private insurance that protects the insured person against the loss of his working capacity due to occupational disability.


Disability is when the insured person is no longer able to perform his or her profession for health reasons. In contrast to statutory pension insurance, occupational disability insurance is not tied to a specific number of earning points and there are no minimum contribution periods. The payment of the state disability pension was €917 net/month on average in 2021.


How does disability insurance work?

In the event of occupational disability, occupational disability insurance pays the insured person a monthly pension. This pension can be determined individually by the insured person and should usually amount to at least 60% of the net income. The amount of the pension and the amount of the premium depend on various factors, such as the age of the insured person, the profession and the state of health. It is therefore advisable to take out the contract at a young age.


What are the advantages of occupational disability insurance?

Occupational disability insurance provides the insured person with financial security in the event of occupational disability. In contrast to statutory pension insurance, occupational disability insurance is not tied to a specific occupational class and there are also no minimum contribution periods. The amount of the pension can be determined individually and should usually be at least 50% of the net income.


What are the disadvantages of occupational disability insurance?

Occupational disability insurance usually involves higher premiums than other types of insurance. This is because the risk of an occupational disability claim is relatively high.


Another disadvantage is that the policyholder must answer all health questions truthfully when taking out the policy. This can lead to people with pre-existing conditions being excluded from an occupational disability insurance policy or having to pay a higher premium.


What should I look for when taking out occupational disability insurance?

When choosing an occupational disability insurance policy, you should pay attention to the following points:

Sum insured: the amount of the pension should be at least 60% of the net income

Contract terms: The contract terms should be clear and understandable.


Pay attention to these conditions:

  • Post-insurance guarantees

  • Six-month prognosis period

  • Exclusion of referrals

A particularly attractive option is to take out a policy as part of a company pension plan. Here, tax advantages and, under certain circumstances, simpler application conditions can be expected.

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