Can You Collect Disability Insurance From Your Job And Another Insurance Company

[Godofredo]

Because I am also paying for a disability insurance from state farm I am paying for both will I be able to collect on both?

[Loyal]

First of all, your job is providing, in most cases, short term disability, usually 4 weeks to six months. Your disability policy from State Farm is most likely long term disability.If they are both short term policies, they well coordinate benefits. For example, if work is providing 40% of income, State Farm will provide 10%.(The benefit for short term is usually 50% of income.)If they are both long term disability, use the State Farm policy and not the work policy. They will again coordinate benefits, but with a disability policy you pay premiums on, the benefit is not taxable to you as income. If you draw from the one at work(if the one at work is long term,) since your employer pays the premiums, the benefit is taxable to you as income.I would contact your HR department and your State Farm agent and discuss the provisions of both policies to determine how much is paid and how the policies coordinate.   WEALTHADVISOR 27 months ago