Disability Insurance Texas

Disability insurance in Texas is available from private carriers, since Texas is one of 45 states that do not have state-sponsored programs for their disabled workers. The state does regulate the disability insurance industry, as do the other states. A disability insurance provider in Texas compares your risk factors to other people in similar situations.

Any insurance company uses the risk factors of age, occupation, and health conditions to determine if you are a good risk to insure. If, for instance, you recently had cancer, you might not be able to get a policy, or, if you did, you would pay higher premiums for less coverage. Under Texas law, it is the obligation of the insurer to show that you are a higher risk, so ask for evidence if you are denied coverage.

Pre-Existing Conditions

As with any insurance, the company is entitled to full disclosure of any pre-existing conditions you have. With disability insurance, full disclosure is especially important because your benefits might be drastically reduced otherwise. Naturally, pre-existing conditions might be cause for denying coverage, but, again, ask for written documentation.

Waiting periods are a part of disability insurance policies, that is, the period of time before you are eligible for benefits. With group coverage, a pre-existing condition wait period can be up to a year! Employer group health policies cannot have exclusion riders, which means, they cannot exclude you from coverage because of a pre-existing condition. Any employee should always check the coverage available from an employer before signing up for more expensive individual coverage.