1 in 100 (1%) is the probability you’ll “need” your home insurance.
1 in 50 (2%) is the probability you’ll “need” your term life insurance.
1 in 25 (4%) is the probability you’ll “need” your auto insurance.
1 in 4 (25%) is the probability you’ll “need” your long-term disability policy (aka income protection insurance).
If you’re like most people you have the first 3, but not the ONLY one that has a statistically significant probability of happening.
Imagine playing Russian Roulette with 4 landmines.
One of them is active, the other 3 are duds, and you have to pick one to step on.
Would you want to purchase a hazmat suit before you step?
Would you even care what it costs or would you just buy the best one money could buy?
Like a hazmat suit, you need to purchase as much long-term disability as they’ll sell you… no matter what the cost.
(But thankfully, it’s usually only ~$100/mo.)
