Final answer:
Long-term disability insurance does not replace 100% of your income while you are unable to work.
Step-by-step explanation:
The statement is false. Long-term disability insurance typically does not replace 100% of your income while you are unable to return to work. Instead, it provides a portion of your pre-disability income. The amount of income replacement can vary depending on the policy, but it is typically around 60% of your pre-disability earnings.
For example, if you were earning $5,000 per month before becoming disabled, long-term disability insurance may provide you with approximately $3,000 per month as income replacement.
It is important to carefully review the terms and conditions of your specific long-term disability insurance policy to understand the level of income replacement it offers.