Short Term Disability Insurance
Short-term disability is an income replacement benefit that provides a percentage of pre-disability earnings on a weekly basis when employees are out of work on a disability claim. It typically covers off-the-job accidents and illnesses that workers' compensation would not cover.
Plan Summaries
Highlights
Maternity covered as any other illness
Partial disability benefit included
FMLA Continuation
Why Buy Disability Insurance?
Example – For Illustrative Purposes Only
Short Term Disability Example
Annual Earnings
$50,000
Weekly Gross salary ($50,000/52)
$961.54
Weekly Benefit ($961.54 x 60% Benefit)
$576.92
Short Term Disability Example:
Steve is eligible for Short Term Disability benefits. In order to figure out how much his benefit would be he would take his annual salary of $50,000 and divide it by 52 weeks to give him his weekly salary of $961.54. His plan pays 60% of his weekly earnings. He would then multiply his weekly salary by .60 to get his weekly benefit of $576.92.
File a Claim
How to file a claim
Frequently Asked Questions
Why is Short Term Disability insurance so important?
Having short term disability protection can help you cover your essential living expenses and help safeguard your savings, since it replaces a portion of your income during the initial weeks of a disability. This can include pregnancy, surgery or serious illness.
What’s the difference between Short Term and Long Term Disability?
Short-term disability (STD) insurance plans generally protect your income for up to three or more commonly six months. Some plans can run even longer than that. Short-term plans typically cover between 60 and 70 percent of your pay, depending on the policy.
Long-term disability (LTD) insurance protects your income if you need to miss work for longer than three to six months. It usually covers 40 to 70 percent of your income. It costs more than short-term disability insurance because it’s a policy that will protect you for a significantly longer time. The time your coverage pays benefits will range depending on your policy. It can be for a specific period — ranging from two to five or ten years — or until your Social Security retirement age. The waiting period for most LTD policies is three or six months — so you’ll need a plan to cover costs before the payments begin (usually this time is covered by your STD plan or your savings.)
How does Short Term Disability payments work?
Depending upon of coverage your plan offers, payment of benefit will be made directly to you and not to your employer, the hospital, doctor, or insurance company.
Is maternity considered like any other illness?
Yes, maternity is covered like any other illness.