5 Myths About Disability Insurance — And the Truth That Could Protect Your Paycheck

What You Don’t Know Can Hurt You Financially

Disability insurance is one of the most misunderstood (and underused) types of protection available to working Americans. At TCG Insurance Solutions, we’ve seen too many people in Olathe and the surrounding Kansas City area believe myths that leave them vulnerable when an illness or injury interrupts their income.

The truth is, 1 in 4 workers will become disabled before retirement according to the Social Security Administration and Council for Disability Income Awareness. Yet, most people assume it could never happen to them — until it does.

Let’s clear up the confusion with the top 5 myths about disability insurance.

Myth #1: “It only covers freak accidents.”

Truth: The majority of disability claims have nothing to do with accidents.

Over 90% of disability claims are due to illnesses, not injuries. That includes heart disease, back disorders, cancer, and complications from pregnancy. These are everyday health issues that don’t make the headlines but have a big impact on your ability to work.

If your body says “stop,” your bills won’t. Disability insurance steps in to keep the lights on.

Myth #2: “I have emergency savings — I’ll be fine.”

Truth: Emergency savings often don’t go far enough.

While 3–6 months of savings is ideal, nearly 60% of Americans couldn’t cover an unexpected $1,000 expense, let alone several months of lost income.

Disability insurance bridges that income gap and helps you avoid draining your savings, maxing out credit cards, or falling behind on bills. It protects your financial momentum while you recover.

Myth #3: “I’m young and healthy. I don’t need it.”

Truth: That’s the best time to get covered — before something happens.

The younger and healthier you are, the lower your premiums. Waiting until you’re sick or injured means you might be uninsurable or face higher costs.

And let’s be real — even a 30-year-old can face unexpected surgery, a car accident, or a health crisis. Disability doesn’t discriminate.

Myth #4: “My employer will take care of me.”

Truth: Most employer-provided disability coverage is limited.

Only 45% of private-sector workers have short-term disability coverage, and even fewer have long-term protection. Even if you’re lucky enough to have it, employer plans often:

Replace only 40–60% of your income
Are taxable when paid out
May not cover bonus income or commissions

Supplemental individual policies ensure you get the full protection you need — regardless of job changes.

Myth #5: “It’s too expensive.”

Truth: Most plans cost less than your monthly cell phone bill.

This is probably the biggest of the 5 myths about disability insurance. Disability insurance is surprisingly affordable, especially when tailored to your income, job type, and benefit period. A personalized quote can show you how coverage fits into your budget — and compare it to the cost of not having any at all.

Why This Matters — A Real Story from Paul Carrigan

In 2019, I (Paul Carrigan, owner of TCG Insurance Solutions) went in for a routine stress test. I never expected it to lead to emergency open-heart surgery. But two days later, I was undergoing an eight-hour quadruple bypass — and facing a three-month recovery.

Thanks to disability insurance, my family didn’t have to worry about money while I focused on healing. That experience is why I advocate so strongly for income protection.

I get it, no one likes to think it can happen to them, one saying that comes to mind is ” When your neighbor loses his job, it’s a recession, but when you lose your job, it’s a depression”. Protecting your ability to earn a living if you rely on your job and supporting your family. I know first hand how important this coverage is and how it can help you. Feel free to Contact Me with any questions you may have. If you need to quote like right now, you my Breeze link: https://www.meetbreeze.com/agent/paul-carrigan

I hope you have a better understanding about the 5 myths about disability insurance and actively look into on how to best protect yourself and your family with disability insurance.

5 Myths About Disability Insurance