The purchasing power of income from a long-term disability policy is protected by:
A) the Patient Protection and Affordable Care Act (ACA).
B) the cost-of-living adjustment (COLA) provision.
C) Medicare benefits.
D) Social Security income.
E) the health reimbursement account (HRA).

Question

Quizplus · Accepted Answer

The cost-of-living adjustment (COLA) provision ensures that the income from a long-term disability policy keeps pace with inflation, thus protecting its purchasing power over time. None of the other options mentioned provide this type of protection.

The Purchasing Power of Income from a Long-Term Disability Policy