When it comes to replacing disability insurance, it is important to weigh the pros and cons in each individual situation.

The cons of replacing an individual disability policy:

• Replacing a disability insurance policy requires new medical underwriting. If you have had an adverse change in health, your new policy might have exclusions or a rating which would make it less favorable than your existing policy.
• Cost. If you purchased your policy a long time ago and locked in your premium rates, chances are that your new policy will be more expensive.
• Policy provisions. The new policy may have more restrictions such as a 24 month mental nervous limitation or other drawbacks. Read your contract carefully.

Here are some examples when it may make sense to replace your current policy:

• Cost. If the new policy is substantially less expensive or if you are now eligible for discounts, it may make sense for you to consider replacing your old policy. This is especially true for women. If you are a woman and purchased your policy with gender distinct rates and you are now eligible for a unisex discounted policy, you may be able to save as much as 55% on your premiums.
• Better benefits. If your previous policy is more restrictive and the new policy is superior, you may want to consider replacing your policy.

If you have had a career change and are now in a more favorable occupational class, you may not need to replace your policy but can submit a policy change application which can reduce the premium.

If you have improved your health and your existing policy is rated or has an exclusion, you may be able to apply for reconsideration or to adjust the existing policy for more favorable rates.

Sometimes you do not need to cancel or replace your existing policy, but you can add more benefits with a new policy.

For more information about individual disability insurance or to request an online quote comparison, contact Set for Life Insurance today!