Occupational disability insurance

Occupational disability refers to the inability to carry out one’s last occupation for a specific period or on a permanent basis. A person is considered to be occupationally disabled if they are unable to carry out their previous occupation to at least 50% of their capacity for a period of at least six months, or permanently. Occupational disability may result from illness, physical injury, an accident or the need for long-term care.

Being deemed unable to work in your current occupation does not necessarily mean you are unable to work at all. You are considered unable to work in your current occupation if you can no longer perform your last occupation to a sufficient extent (at least 50%).

However, you are only deemed unable to work if you can no longer carry out any occupational activity to a sufficient extent. Example: Max Muster is a tiler and has been for 20 years. Due to osteoarthritis of the knee, he can no longer carry out his previous occupation and is therefore unable to work.

However, Max Muster can still carry out other work-related activities, such as helping out in his company’s office. He is therefore not considered to be unable to earn a living. Furthermore, only self-employed people can apply for a disability pension.

The abstract right of referral enables the statutory occupational disability insurance scheme to require the insured person to take up alternative employment in the event of occupational disability. In such cases, no occupational disability pension is paid out. Allianz waives this abstract right of referral. The obligation to pay benefits begins as soon as occupational disability arises!

In the event of permanent incapacity for work and provided certain criteria are met, the statutory disability pension is paid. However, the insurance benefit is often too low to cover the loss of income. Private disability insurance offers additional financial protection in such cases, with less stringent conditions.

The amount of your occupational disability insurance is based on your net income. Ideally, your private occupational disability insurance and statutory benefits should together cover 80% of your previous net income. However, to ensure you have at least the necessary cover in the event of an emergency, your statutory and private occupational disability insurance should cover at least 50% of your net income.

Inability to work is one of the greatest financial risks. It is therefore a sensible option for anyone in employment. However, disability insurance is particularly worthwhile for the following professions: Doctors, mechanics, watchmakers, tennis players, physiotherapists (e.g. osteoarthritis), tilers, floor layers, professional footballers (e.g. knee osteoarthritis), bakers (e.g. baker’s asthma), nursing professions; Occupations involving the carrying of heavy loads, sedentary occupations (e.g. slipped discs), managers, directors, as well as the self-employed and working professionals in general (e.g. burnout), scaffolders, roofers, miners, pavers, butchers (e.g. accidents)