Recent tragedy shows need for disability plan

Paul Turner of Liberty Insurance of Farmington (Courtesy photo)

When beloved former road commission Larry Torno was stricken with an untreatable form of cancer earlier this year, many Lebanon residents openly fumed when the town refused to pay the contributory portion of his monthly insurance premium, but a longtime insurance agency owner says that's typical when employees can no longer perform their duties and says it underscores the need for individuals everywhere to consider obtaining a long-term disability plan.

"Whenever you can no longer work at a company, they (the owners) have to offer to continue your insurance, but they stop paying their contributory portion of the premium," said Paul Turner, owner of Liberty Insurance in Farmington.

Torno, a lifelong Lebanon resident, tragically succumbed to the disease in February.

Meanwhile, Milton Town Administrator Liz Dionne agreed that insurance would not be dropped, but the premium would become the responsibility of the individual. She said if a town worker - be they elected, appointed or hired - was unable to work, the town would discontinue paying the 80 percent health insurance contribution they offer all employees, but they would not cancel the insurance.

In Lebanon's case, the situation was worsened as some dubious Facebook pages that purport to be news outlets implied that selectmen had canceled Torno's insurance, when in fact, they hadn't, saying "He is still road commissioner. He should still have town insurance ... Shameful Selectmen!"

In fact, selectmen canceled the contributory portion, not the insurance.

Turner said he understands how the emotions of the moment can spiral such issues out of control, but said, more importantly, people should consider having some type of long-term disability protection.

In fact, Turner said, people are seven times more likely to become disabled during their working lives than die.

"I have self-employed people who I insure their homes and their trucks and they'll buy life insurance but they won't buy disability," Turner said. "It's very underpurchased."

A typical long-term disability policy will normally kick in after 30 days and provide up to 60 percent of an individual's gross pay.

The length can vary from two years to five years to all the way to age 65, Turner noted.
The premium, or cost, is based on the occupation, the person's overall health and their age. A 40-year-old truck driver with a two year plan and a 30-day wait would pay around $60 bucks a month. Of course, the premium would vary with the salary and the percentage of the gross pay the person would want to cover.