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Three Big Reasons To Check Your LTD Plan

Here are Three Big Reasons to help make sure your income is fully protected with LTD coverage through the AICPA:

Let’s face it: Even CPAs can forget about Long Term Disability (LTD) insurance. Maybe it’s because most of us are too busy taking care of the financial plans of others to remember our own, or because LTD isn’t a topic that tends to come up at the family dinner table or when out with friends. And who needs Long-Term Disability coverage anyway? After all, we’re in a “safe” profession, right?

But just because LTD is off your radar does not mean you don’t need it. Here are Three Big Reasons to help make sure your income is fully protected with LTD coverage through the AICPA:

Big Reason #1: The risk is real, even if you don’t think anything will happen to you. More than one in four of today’s 20-year-olds can expect to be out of work for at least a year because of a disabling condition before they reach the normal retirement age.1 Even if you work a desk job and have no intention of skydiving or swimming with great white sharks, you face more risk than you think. Contrary to popular belief, the leading causes of long-term disability claims (and loss of income) for workers are musculoskeletal disorders and disease, not catastrophic accidents.2

Big Reason #2: Employer-provided LTD plans often cover only a fraction of your income. If you have LTD coverage provided through your employer, double check the coverage amount. It is not uncommon for group plans to cover about half your salary! And that doesn’t even consider other forms of income you may rely on, like bonuses and other incentives. Now consider if you can handle your monthly expenses on that amount. If so, congratulations, your LTD coverage is just fine. If not, you risk missing payments on things like mortgages, car payments, tuition, life insurance, groceries, and much more. Ouch.

Big Reason #3: As an AICPA member, you have access to LTD coverage at lower rates. AICPA LTD coverage is issued by The Prudential Insurance Company of America at lower rates—especially for younger CPAs. What makes it popular? For starters, coverage is based on your ability to earn your income in “Your Occupation.” The AICPA LTD Plan pays benefits if you're unable to perform the duties of your "own occupation" without forcing you into another line of work. This is a feature not commonly found in other LTD insurance plans. Your coverage can also be taken with you even if you change jobs or retire, as long as you maintain your membership.

The money not used for claims, expenses and other charges is distributed back to the Plan’s participants as a Cash Refund. The refunds vary year to year, and while not guaranteed, Plan participants have received Cash Refunds from the AICPA Insurance Trust every year, without fail, for over three decades for each Disability Insurance Plan. This makes the cost of monthly coverage even more of a no-brainier. 

We could go on and on, but does anyone really need more than Three Big Reasons? Now it’s time to run the numbers and make sure you have the LTD coverage you need. Find out how much is right for your life.


1Social Security Administration, October 2017
Integrated Benefits Institute, Health and Productivity Benchmarking 2016 (released November 2017), Long-Term Disability, All Employers. Condition-specific results.

North Carolina Residents: THIS IS NOT A MEDICARE SUPPLEMENT PLAN. If you are eligible for Medicare, review the Guide to Health Insurance for People with Medicare, which is available from the company. 

This policy provides disability income insurance only. It does NOT provide basic hospital, basic medical, or major medical insurance as defined by the New York Department of Financial Services. 

This site may contain marketing language, on products issued by The Prudential Insurance Company of America, that have not yet been approved in all states.

The products issued by The Prudential Insurance Company of America may not be available in all states.

Group Insurance coverage is issued by The Prudential Insurance Company of America, Newark, NJ. Plan details, limitations, and exclusions are described in your certificate. Contract Series: 83500. CA COA# 1179, NAIC #68241.