For many people, disability is the forgotten hazard — despite its being far more likely at most ages before retirement than death. Although the chances of becoming disabled are greater for someone with a history of health problems, age, occupation, and lifestyle also impact the likelihood of disability.

If the disability statistics for any individual are sobering, the same statistics when applied to a group of individuals are even more so. As the size of any group increases, the likelihood of a long-term disability among members of the group also increases — as the group size becomes larger, the chance of a disability approaches 100%.

After considering the alternative income sources during disability — savings, borrowing, or spousal employment — the only obvious answer is disability income insurance.

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Review Questions
The cost of disability coverage
The quality of disability coverage
Both a and b
Neither a nor b