What Are Voluntary / Supplemental Disability Insurance Benefits?

The distinction in this nomenclature is that these benefits are not provided by the employer as part of a compensation package.

The characteristics of employer-provided short-term disability benefits are:

1. You must have used up all of the leave (sick AND vacation) available;
2. Benefits are limited to 60% of your income at the time of disability; and
3. Benefits are taxable.
4. Benefits are generally not paid if you qualify for Workers’ Compensation.

So, why purchase supplemental disability insurance if your employer is providing a similar program as part of your package? The answer to this question is simple and straightforward:

• Employer-provided short-term disability coverage ends with employment termination
• You can obtain Short Term Disability coverage that will pay benefits, over-and-above any other income you receive
• You can design your own disability program, which includes:

• Length of time of being disabled before your benefits are payable, known as a WAITING PERIOD  (7 days, 14 days, 30 days)
• Amount of  benefit desired, payable monthly ($300 to $5,000) with an upper limit of 60% of income at time of disability
• Length of time disability benefits are payable (26, 52 or 104 weeks)
• Portability of program, which means you can take the same program with you wherever you are employed
• Benefits payable regardless of any other income (workers’ compensation; unemployment compensation, salary )
• Preexisting conditions included, after 12 months of having the policy.
• Rates remain constant
• TAX FREE BENEFITS—this advantage equals tax-free benefits roughly equaling an employee’s take-home pay even while out on disability.

YES! The above disability insurance program IS available to you.

Add another HUGE feature: A GUARANTEED-ACCEPTANCE DISABILITY INCOME PROGRAM, providing you are actively at work when you enroll.

So, now you ask…

• “How do I enroll in such a perfect voluntary short-term disability insurance program?”
• “What will all this cost me?”

We are ready to answer those questions!