Long-Term Disability Insurance is Paycheck Insurance

3 in 10 Workers Entering the Work Force Today Will Become Disabled Before Retiring1 Are You Willing to Gamble with Those Odds?

Most people remember to insure their car, their health and their life. However, almost everything you own is based on your ability to earn an income. Disability Insurance is not an “extra”. It is a “must”.

When your employer offers Voluntary Long-Term Disability Insurance, you can protect your wages by taking advantage of affordable group rates. When you enroll in this coverage, you will be paid a percentage of your salary if you become totally disabled and are unable to work.

Nobody wants to think about a tragic long-term disability. If it happened to you, how would you replace your paycheck? Disability benefits can help pay your mortgage, college tuition, health insurance payments or more.

Disability is not only caused by freak accidents. It is often caused by conditions such as arthritis, cancer, pregnancy, heart disease…2

		In the U.S., a disabling injury occurs every one second, a fatal injury occurs every four minutes 3.
		You are 3 times more likely to need Disability Insurance than you are to need Life Insurance 4.
		Disability causes nearly 50% of all mortgage foreclosures; 2% are caused by death 5.

What about Social Security and Other Insurance Plans?

		Less than half - 39% - of the 2.1 million workers who applied for Social Security Disability Insurance benefits in 2005 were approved 6. The average monthly payment is barely above the poverty line at $1,004 7.
		Workers’ compensation provides benefits ONLY if a disability is a result of an on-the-job accident, injury or occupational disease. Close to 90% of disabling accidents and illnesses are not work related 8.
		Medical Insurance covers medical services and prescriptions; it does not replace income if you cannot work.
		Unemployment Compensation is for those who are physically and mentally able to work.

Are There Any Medical Questions or Tests Needed to Qualify for Disability Insurance?

With individual insurance, the insurance company wants to make sure you are healthy because they are writing an individual policy just for you. They often require medical questions, blood tests or a visit with a nurse or physician. With group insurance, the insurance company’s risk is lower because it is based on the claims history of the entire group, rather than your personal health history. Therefore, the insurance company is often able to offer a period of time where you can purchase Voluntary Disability Insurance without medical questions or tests. Certain conditions may apply.

No Insurance Payments During a Disability

While you are disabled, you don’t want to worry about paying for your coverage. The Waiver of Premium feature waives your Disability Insurance payment. This begins as soon as you start receiving disability benefits and continues while you are disabled.

The Disability Income Is Tax-Free

If you pay for Disability Insurance with after-tax dollars, your disability benefits will not be subject to income tax. Please see your tax adviser for specific advice.

What is an “Elimination Period”?

An Elimination Period is the time between when your disability begins, and the time you are eligible to receive benefits. No benefits are paid during the Elimination Period.

How Is This Plan Different than My Short-Term Disability Insurance or Sick-Leave?

Short-Term Disability Insurance and sick-leave plans pay for a specified period of time – typically 6-25 weeks. With Long-Term Disability Insurance, you will receive benefits for 24 months if you are unable to work in your current position and you will receive benefits all the way to age 65 or later (depending upon the age at when you became disabled) if you are unable to work in any occupation.

What about Maternity Coverage?

If you become pregnant while covered, Disability Insurance will protect you if you experience unexpected complications that prevent you from doing your job. Pregnancy, child-birth and related medical conditions are usually covered the same as any illness.

Don’t Gamble With Your Paycheck. Enroll Today!

This is not the insurance contract. It is a brief description of Long-Term Disability Insurance.

Other Employee Education:

Voluntary Short-Term Disability Insurance

Voluntary and Supplemental Life Insurance

Dental Insurance

Vision Insurance

EAP: Employee Assistance Program

Provider Pathway

1 Social Security Administration, Fact Sheet January 31, 2007

2 Council for Disability Awareness, disabilitycanhappen.org

3 National Safety Council, Injury Facts 2008 Ed.

4 Health Insurance Association of America, 2000; from JHA Disability Fact Book, 2001 Edition.

5 Health Affairs, The Policy Journal of the Health Sphere, 2 February 2005

6 Social Security Administration, Office of Disability and Income Security Programs

7 Social Security Administration, Fact Sheet 2008

8 National Safety Council, Injury Facts 2008 Ed.

back to top

Find Your Regional Office:

Select Your State Arizona Arkansas Connecticut Florida Georgia Illinois - Northern Illinois - Southern Indiana Iowa Kansas Kentucky Maine Maryland Michigan Minnesota Missouri Nebraska Nevada New Hampshire New Jersey North Dakota Ohio Oklahoma Oregon Pennsylvania South Dakota Tennessee Vermont Virginia Washington West Virginia Wisconsin Other