TRANSCRIPT:

Hi Greg Vojtanek here of Fade In Financial. Today I want to talk to you about Disability Insurance and the unique challenges that are faced by screenwriters and directors when it comes to this type of coverage.

Now first of all, disability doesn’t necessarily mean losing a limb or becoming paralyzed. Actually, the most common form of disability is a lengthy hospital stay or illness. Now Disability Insurance would cover lost wages during the time that you are disabled.

One very important thing to remember, if you are shopping around for Disability Insurance, is to get what’s called Own Occupation, which means it would be covered for your occupation only and not any occupation that exists.

Why this is uniquely challenging for screenwriters and directors is because the wages are variable. So let me give you an example. If you’re about to start in a Writers’ Room, or you’re about to start working on a feature, and then you become ill and you no longer can take that job. You could be losing out on the guaranteed minimums, as well as any rewrites that you would be paid for, as well as any other script fees or episodes you may have written. Not only that, but you’re missing out on the potential residuals that could be paying you for decades to come.

Make sure one, as I said, it’s Own Occupation. But two, talk with somebody who knows the Entertainment Industry. For example, I spoke with an Insurance Broker in the Midwest who said, and this is a quote, “That is an uninsurable occupation. Good luck.” Then I spoke with somebody here in Los Angeles, and they said, “Of course it’s insurable. We do this all the time.”

So those are some very important things to consider. It’s certainly not everything. But I do hope you found this helpful. Thanks for watching.