Most people know that Social Security will approve a disability claim for acquired disabilities, e.g. those acquired as an adult, and congenital disability which occur at birth. SSD and SSDI are publicly funded. For SSD, Adults worked and paid into Social Security before becoming disabled. For SSDI, the person need not have worked, and the amount received is often less than SSD.
However, in some industries, private insurers protect when disability occurs. The disability is evaluated through that insurer (not SSA), and is paid through them, not through the Social Security Administration.
Disability has nothing to do with your life insurance. These are two different things.
IF you paid the premiums with before income tax funds for this private disability insurance the amounts that you receive is NOT taxable income to you.
No there is no state disability in Arkansas. You will need to buy a private policy.
Individual disability insurance benefits are not taxable, because the premiums are paid with after-tax money. The employer paid disability insurance policies have taxable benefits due to the fact that premiums are paid by the employer with pre-tax money.
Taxation of disability benefits from a private disability insurance policy are based on whether the premiums are being expensed or not. Assuming that the premiums are not expensed and you are paying with after-tax dollars, your benefits will not be taxable.
This depends on what you mean by not "serious". A disability is a disability. Check the disability laws for the state you reside in to find out what the requirements are in order for one to collect disability insurance. If your disability prevents you from working or performing normally, then it is still serious.
NJ has state mandated short term disability insurance for workers of private companies. Public employees are exempt from the mandate, but can buy coverage should the group choose the option.
form_title=Purchase Disability Insurance form_header=If you're suffering from a disability, insurance can help pay for bills and other needs. Have you received disability insurance in the past?= () Yes () No Does your employer offer disability insurance?= () Yes () No How quickly, and for how long, do you need disability insurance?=_
Five states have mandatory short term disability insurance: CA, HI, NJ, NY, and RI. The other 45 do not have state plans, but you can purchase a private policy through your employer.
form_title=Disability Insurance form_header=Disability insurance will protect your income when you are unable to. Get a policy that will provide security for financial future. Do you currently have any disabilities?= () Yes () No Do you currently have any type of disability insurance?= () Yes () No Who would you like to add as a beneficiary?=_
Minnesota does not have state mandated short term disability. But private coverage is readily available for pregnancy and maternity leave.
One can get a comparison of disability insurance rates on websites like Insurance Data, Disability can Happen, RBC Insurance, Termlife Insurance or SB Information.