LIMRA Finds 51 Million Workers Face Disability Gaps as Health Costs Top Financial Threats
Updated
Updated · Insurance News Net · Jun 11
LIMRA Finds 51 Million Workers Face Disability Gaps as Health Costs Top Financial Threats
3 articles · Updated · Insurance News Net · Jun 11
Summary
LIMRA’s Retirement Income Institute found consumers rank healthcare costs, long-term care needs and caregiving responsibilities above market volatility, inflation and recession as threats to long-term financial security.
The report argues health shocks can inflict lasting retirement damage because income interruptions halt contributions, force asset drawdowns and break compounding during peak earning years.
A three-year disability at age 35 can leave a dual-income household with a retirement shortfall in the millions, even if the worker later returns to work.
At least 51 million working adults rely only on Social Security disability coverage, while many employer plans also miss bonuses, commissions, tax effects or long enough benefit periods.
LIMRA says advisors should frame disability insurance around retirement outcomes and wealth preservation, not just short-term paycheck replacement.