I find the contribution - although I still do not see the BU for myself as necessary - very good. Only one thing I see critical: the secured contributions. I don't know any doctor (I have many friends who have chosen medicine) who could manage with 2.5k net. Well, maybe the EU pension comes on top, but otherwise they would drop from ~6k to 2.5k on average. The fixed costs are usually much higher. Of course, there are also costs if you become incapacitated. With 1,300€ until the end of life (hopefully inflation compensation included) it is always tight. Of course, EU pension is even lower. But if you don't really earn that much anyway, then spending a substantial part for the possible (!) BU, I find hard. Sure, in the case that you get a larger insurance benefit than you have paid in, it's worth it. For times 6 months of money from the BU see with the end of 40 after 3 decades to pay in... difficult. I would find it interesting times to see what percentage of people would have been better off to invest the contributions 1:1 at ~8% p.a. until the case of disability and then withdraw.
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@KevinC These were just very simple examples. I used the value of 2,500€ because that is the limit of most insurers without an extended (health) examination. Apart from that, it is (in my opinion) not about securing a "life of luxury" through the occupational disability insurance, but about being able to lead a carefree, decent life. A higher coverage is still possible in principle. 1,300€ for students are for the time of study. There the maximum pensions are not too high possible. And with the end of the studies, of course, the pension should be adjusted according to the profession. The statistics in the last part of the message would be quite interesting - but probably difficult to determine. Especially since the 8% are then of course gross.
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@Pezi Statistics would be interesting here, too. When does one become statistically incapacitated - and for how long? If you have 100k at 25 (very sporty, I would rather put it at 30), you would be able to withdraw money for over 50 months - with 2k withdrawal. Very few people are disabled from 28 - 67. There are also, but would be statistically insufficient for me.
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@KevinC According to statistics from the German Pension Insurance Association, 25% of all reduced earning capacity pension recipients are under 45 years of age. Full reduced earning capacity pension is then full disability. https://www.versicherungsbote.de/id/4851730/Berufsunfaehigkeitsversicherung-Durchschnittsalter-Eintritt/ https://www.bu-portal24.de/berufsunfaehigkeit-ursachen.html
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@KevinC I think if you have a serious illness, you should try with all your strength to get healthy again and not have financial worries in the back of your mind... The pandemic was not long ago. What do you think how many people are not only in health, but now unfortunately also financially on the ropes? I'm not an insurance broker and everyone may do what he thinks is good - for me, a BU is a MUST insurance...
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@Pezi I also think it's legitimate if you decide that for yourself. I haven't had a single sick day since my first day on the job. Am now actually "sick" because a car overlooked me and he cut me up on the bike. Will now be able to return to work after 3 months. Have outstanding claims so far for sick pay, damages, lost wages, etc. Don't worry about it. I can pay my expenses until the end of next year without having to go to my deposit. That has a size that would also meanwhile carry my expenses well over a decade. I have a good salary and relatively low expenses. See for me there now times a BU for me not as meaningful. I have not said at any point that it can not be useful for a large part of the population. But "everyone" is too general for me. I have private liability insurance and car insurance, that's it.
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@Pezi I quote: "For me, occupational disability insurance is a must". I don't interpret that as referring exclusively to you as a person.
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@Staatsmann But how long is the BU duration? That would be important. With a maximum of 12 months, you'd think that self-provision would be more attractive in this case. Of course, if you blow the money instead, you've lost. I handle it in such a way that my savings rate / my deposit is my insurance for everything. Car broken? Out of work for a while? Possible expenses for a lawyer? Sure, the first time the risk is a little higher. My plan is for my job to become optional no later than 40. Don't necessarily want to stop working, but don't want to "have" to. For me, the risk is calculable. For a not insignificant portion of my generation, there is also an inheritance "to consider", which usually occurs no later than 50-60 and further reduces the risk in later working years. I consider it a case-by-case decision that should be greater than 50% yes to BU. I also know that my savings rate is not representative. Of course, a residual risk always remains despite everything.
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