Question

Your coworker thinks disability insurance is an unnecessary business expense. Louise would rather make a higher wage instead of having disability insurance coverage from her employer. In the space below, write a paragraph that explains whether or not you agree with Louise and your reasons.

Answer 1

Life is full of uncertainties , and everyone tends to underestimate uncertainties. Thus, disability insurance is right and most important initiative of government to cushion against the untoward incident in future. Disability insurance safeguards the income of workers if they meet with any accident even outside the firm.

Why higher wage is not good idea?

If wage rate is raised, workers will not save his money and would unnecessarily raise their consumption levels. US statistics suggests that one in twenty workers is likely to suffer short to long term disability. Hence, disability insurance should be made compulsory and workers can act and work in environment free from uncertainties. it will increase productivity of worker significantly.