Part of our guide: Disability Income Insurance: Solutions, Tools and Guides →
Multi-life disability discounts usually require full-time W-2 employees under a sponsoring employer. That leaves out independent contractors. An affinity business discount changes that.
Key takeaways
- Traditional multi-life discounts generally require W-2 employees of a sponsoring employer.
- An affinity business discount at one carrier lets groups of three or more employees and/or 1099 contractors qualify without employer sponsorship.
- Accountants, agents, IT professionals, real estate agents, and consultants are strong prospects.
Three or more people applying together — employees, 1099 contractors, or both — may qualify for a discount with no employer sponsorship.
Who’s eligible
Under one carrier’s business affinity discount guidelines, groups of three or more individuals applying at the same time may qualify if they are:
- Employees and/or 1099 contractors working with a common employer or business, or
- Members of a local professional employer organization (PEO)
Applicants generally need to be issue ages 18–70 and in occupation class 3A or better. Terms vary by carrier and state.
Prospects to target
- Accounting firms
- Independent insurance agents within an agency
- IT professionals
- Real estate agents in a brokerage
- Consulting groups
Why it matters
Contractors typically have no employer disability coverage at all, so the need is real and the discount makes coverage more affordable. For more ways to find DI prospects in your book, see the easiest disability sale.
Frequently asked questions
Can 1099 contractors get a disability insurance discount?
Some carriers offer affinity discounts for groups of three or more that include 1099 contractors, without employer sponsorship.
How many people are needed for a DI group discount?
Often three or more applying at the same time, depending on the carrier.
Do independent contractors need disability insurance?
Usually more than employees, since they typically have no employer-provided disability coverage.
Reviewed by Tim Fuller on 2026-09-25
Tim Fuller
President, SRS Inc.
Tim leads SRS Inc., a full-service IMO (Independent Marketing Organization) and BGA (Brokerage General Agency), connecting independent financial professionals with life, annuity, disability income, and long-term care solutions from 60+ carrier partners.
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