What Does Valued Basis Mean?
Valued basis refers to a type of disability insurance benefit in which a person who is injured and can't work has their wages reimbursed based on the exact amount they were earning.
Valued Basis
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Insuranceopedia Explains Valued Basis
Valued basis disability insurance benefits can be extremely important for people who become disabled since it allows them to retain a similar income even though they can no longer work. Without a valued basis disability insurance benefit, people who become disabled may lose a significant portion of their usual earnings. For example, a man who made $50,000 a year before becoming disabled would get a yearly benefit of $50,000 under a valued basis benefit.
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