According to the Commissioner’s Disability Table, 80 percent of U.S. workers would exhaust their savings within two months if they lost the ability to earn an income. With disability income insurance, you and your family can still maintain your lifestyle until you’re back at work.
Disability income insurance might be right for you if:
- A few weeks of missed work would make it hard to keep up with bills, such as mortgage/rent, car payments, utilities and
credit card payments. - You have other policies, but all expenses won’t be covered.
- You get hurt while not at work. According to 2011 Council for Disability Awareness, less than 5 percent of disabling accidents and illnesses are work related. The other 95 percent are not, meaning workers’ compensation doesn’t cover them.
Here’s how to get started:
- You choose to participate.
- Your premiums are conveniently deducted from your paycheck.
- You own the policy.
You choose to participate
The Payroll Deduction Disability Income insurance program is voluntary, which means you choose whether or not to purchase coverage. You choose the amount of your disability benefits to meet your needs, subject to income.
Your premiums are conveniently deducted from your paycheck
You pay your premiums through the convenience of payroll deduction, so there’s no more worrying about writing checks or mailing payments.
You own the policy
Our Disability Income insurance policy provides individual coverage, and you are the owner of your policy. Your policy is portable. If you leave your employer or retire, you may continue coverage by paying the premiums directly to the carrier at the same premium with no change in coverage.
Consider these facts:
- Studies show that a 20-year-old worker has a 3-in-10 chance of becoming disabled before reaching retirement age. (Social Security Administration, 2012)
- At age 30, long-term disability is four times more likely than death. (The National Underwriter 2012 Field Guide )
- In the U.S., a disabling injury occurs every 1 second; a fatal injury occurs every 4 minutes. (National Safety Council, Injury
Facts 2010 Ed.)
Features
Affordable insurance protection
Coverage is available to employees ages 18 through 69. Premiums are based on your age as of the policy date and the requested amount of coverage.
No medical exams required
You can apply for coverage by completing a simple application, and no medical exams are required. Your coverage becomes effective on the date you sign the application, provided you are accepted under the carrier’s underwriting guidelines.
Guaranteed renewable coverage
Your policy is secure; the carrier cannot cancel it. Your policy is guaranteed renewable through age 69 with the same benefits as long as you pay your premiums in a timely manner. Premiums may be increased, but only if they are increased for an entire class of policyholders. Your benefits are not reduced by social insurance benefits.
Optional benefit rider
On-the-job accident rider
- Eligibility – available to company employees ages 18 through 69
- Modifies the base policy to provide 100 percent of the monthly benefit if you suffer a disability resulting from an on-the-job accident prior to your 70 th birthday while the rider is in effect
- Pays 50 percent of the monthly benefit if you are receiving worker’s compensation or state disability income benefits
What we don’t cover
Preexisting conditions
You are not covered for a medical condition or symptoms of a medical condition for which you have done any of the following at any time during the 12-month period just before the effective date of your insurance:
- Consulted a health care practitioner
- Received medical treatment or services
- Taken insulin or prescribed drugs or medications
Definitions
Total disability, first 12 months
You are considered totally disabled during the first 12 months of disability following the elimination period if you are unable, as a result of your medical condition, to perform the substantial and material duties of your own occupation; you are under the regular care of a health care practitioner; and you are not working.
Total disability after 12 months
You are considered totally disabled after receiving benefits for 12 months if you are unable, as a result of your medical condition, to perform the substantial and material duties of any reasonable occupation; you are under the regular care of a health care practitioner; and you are not working.
Partial disability
You are considered partially disabled if you are working in your own occupation or a reasonable occupation and you are unable, as a result of a medical condition, to work at least 50 percent of the regular schedule per week that you worked prior to total disability, or 25 hours per week, whichever is less; you received at least 30 days of total disability benefits under this policy; and you are under the regular care of a health care practitioner.
Presumptive disability
You are considered totally disabled if, as a result of your medical condition, you suffer:
- Complete loss of speech
- Complete loss of hearing in both ears
- Complete loss of sight in both eyes
- Complete loss of the use of both hands; both feet; or one hand and one foot
You must be under the regular care of a health care practitioner. You receive benefits from the first day of disability.
Waiver of premium
Your premiums are waived after 90 days of continuous disability. If you qualify for this benefit, any premiums you paid during the 90-day period are refunded. This provision is included in your policy.
