Long Term Disability Insurance and Health Insurance are completely separate. Long Term Disability Insurance will pay you cash in the event that you are unable to work for an extended period of time due to illness or injury. If you wish to pay for your Health Insurance premiums with that cash, you may do so.
Long term disability can be used for health insurance but the two are completely different policies. Health insurance was designed to pay the medical bills of doctors, hospitals, testing facilities, etc. Long term care was designed to pay you in case of an illness or injury so severe you are no longer able to work. There is no restrictions on what you spend the disability benefits on once you start drawing them. Many use them to pay their living expenses, but some use them to pay health insurance premiums, deductibles and any other out of pocket expenses.
That is a great question! You really want to be careful though, as long term disability and health insurance are two completely different animals. Health insurance can only be applied to your medical expenses, and insures your health. Disability insurance insures your paycheck. As such, the money it provides can be used for whatever need you have, rent, electric bill, medical bills, etc. Could you use your LTD money to help pay for medical bills? Absolutely. Would it replace your health insurance? No, and I really wouldn't advise that you try, as your LTD payments will not be close to what your health insurance would pay, in most cases. I hope that helps, thanks for asking!
The cost of health insurance premiums can be paid using the long term disability benefit payments. Your question helps highlight the importance of having income replacement coverage is the first place.
Many employees are shocked to learn the true cost of employer sponsored health insurance. Many employers pay a significant portion of the premium for active employees. However, when an employee leave on a disability, the employee can continue coverage under COBRA.
The employee pays the full premium and often needs to continue with coverage because their disability requires medical care. Paying for health insurance without an income can be crippling.
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Many employees are shocked to learn the true cost of employer sponsored health insurance. Many employers pay a significant portion of the premium for active employees. However, when an employee leave on a disability, the employee can continue coverage under COBRA.
The employee pays the full premium and often needs to continue with coverage because their disability requires medical care. Paying for health insurance without an income can be crippling.