Fear, Stats and Buying Disability Insurance

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1 Making Waves: Disability and Consumer Awareness Carol Harnett President Council for Disability Awareness

description

As the new president of the Council for Disability Awareness, I'm about to give my first presentation on behalf of my organization. I've given hundreds -- if not over 1,000 -- presentations in my life, but I had to stop and pause when I reflected on how I would represent the CDA.

Transcript of Fear, Stats and Buying Disability Insurance

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Making Waves:Disability and Consumer Awareness

Carol HarnettPresidentCouncil for Disability Awareness

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Five Elements of Our Story

•The Characters

•The Setting

•The Plot

•The Conflict

•The Resolution

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THE CHARACTERS

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Now

Employer

Insurance Company

Employee

Agent/

Broker/

Consultant

Financial Advisor

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Now Near-Term Future

Employee/

Consumer

Insurance Company/

Private Exchange

Financial Advisor

Agent/

Broker/

Consultant

Employer

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THE SETTING

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Disability Trends

ACA

SSDI

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THE PLOT

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Sell versus Buy

Fear versus . . .

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THE CONFLICT

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Medical

70% Retirement

64% Life

57%STD

40% LTD

33%

Private Sector Employees With Access to Employer-Sponsored Benefits

U.S. Department of Labor Bureau of Labor Statistics, Employee Benefits Survey, March 2013

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Consumer Viewpoint

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Consumers report their income is critical

84%

67% 67%

29%18%

13% 10% 8% 5%

Importance, % ranked 1st 2nd or 3rd highest

Source: CDA survey of working consumers, May 2014

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More working consumers aware of their potential to be out of work, but . . .

50%59%

31%

59%68%

45%

20102014

Source: CDA survey of working consumers, May 2014

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Employees think they’re covered for income loss by some other source

Employer payments for sick leave and vacation

Disability insurance payments

Your spouse or partner's income

Debt

Help from friends or family

Selling possessions

Retirement savings account

Government programs

Household savings

42%

38%

36%

34%

32%

32%

31%

30%

24%

Income source, % ranked 1st 2nd or 3rd highest

Source: CDA Disability Divide Awareness Study, 2010

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Consumer Beliefs About Costs

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THE RESOLUTIONTHE FUTURE OF CDA

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Opportunities

• Millennials 13% have disability insurance compared with

37% of 30-49 year olds*

• Singles Majority of American adults (50.2%) are single –

first time since BLS began recording this data Tend to be more self-reliant**

• Changing How We Tell the Story

A N O P P O R T U N I T Y F O R A D V I S O R S

* Source: Dan Kadlec, Why Millenials Resist Any Kind of Insurance, Money, 8/27/2014. Accessed on 9/14/2014: http://time.com/money/3178364/millennials-insurance-why-resist-coverage/

** Source: The Most Popular Lifestyle in America: The single paradigm shift. Examiner, 9/10/2014. Accessed on 9/14/2014: http://www.examiner.com/article/the-most-popular-lifestyle-america-the-single-paradigm-shift

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How does CDA Help?• Interactive tools and calculators

• Content that can be repurposed on your website and social media

• Disability trends, research and data

• Personal disability stories

A N O P P O R T U N I T Y F O R A D V I S O R S

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Personal Disability Quotient Earnable Income Quotient

www.whatsmyeiq.org

C A L C U L A T O R S

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Personal Disability Quotient Earnable Income

Quotient

C A L C U L A T O R S

New paper version:•Good for enrollment meetings

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CDA Member Companies