What is the primary purpose of Group Disability Insurance?

The primary purpose of Group Disability Insurance is to provide financial support in the form of weekly or monthly cash payments to individuals who are unable to work due to a disability. This type of insurance is designed to help replace a portion of the income lost during a period of inability to earn a wage, ensuring that policyholders can still meet their financial obligations while they recover and are unable to work.

This financial cushion is especially critical as it allows individuals to maintain a standard of living despite their loss of income due to their disability. Unlike options focused on medical expenses, retirement benefits, or long-term care services, Group Disability Insurance specifically targets income protection in the event of a short-term or long-term disability, which is essential in helping individuals navigate through tough times without facing financial ruin.