So let's say I'm injured and can't come to work for four months. The first two weeks I don't get any pay. Then I get pay from day fifteen until three months or until long term disability kicks in. I am not totally financially prepared yet, I don't have three months expenses in my savings account. I do have two weeks expenses in there at this time.
If I don't get the insurance and choose to set the money aside in a dedicated savings account, it would take me almost nine years to save the money. So if I have one need for the insurance during the next nine years it has paid for itself. What a perverted thought, I am now gambling that something bad will happen to me. --- The sole reason that I don't like to think about insurances. If I don't get the insurance and make it four years before needing it, the at that time I will only have about half of what I need to make it through.
There are three levels. $400, 40% and 60% of income. As a single woman, the minimum $400 would be setting myself up for failure. If I choose to take it, I want to make sure that I am NOT set up to fail.
That leaves two options to look at 40% or 60% of income For $11.50 per paycheck difference (fee), I would gain 20% of my income for three months. That is going to take some calculating to figure out if the ROI (return on investment) would be worth it. Outside of that, I need to look at my budget. How would my budget change if I were hospitalized or at home recovering?
- additional medical bills
- adjustment in food bills
- adjustment in gas needed for the car
Okay, so with the changes I've made in lifestyle lately, I don't think that is the case. But I do need to consider it to make sure. If I do take this step, I suppose I should set up a power of attorney. Because if I'm unconscious in a hospital for several months, having the checks coming in won't help a bit. (As long as I'm thinking in the worse case scenario, I might as well look at one of the worst possible cases.)
This is a good time to seriously say, "God, please give me wisdom." AMEN!