With a specific short term disability insurance plan tailored to your needs, you can receive a certain percentage of your income while you are unable to work. This amount is typically between 45 to 60 percent of your base salary.
2. TABLE OF CONTENTS
Disability Insurance
Insurance for the Injured and the
Sick 3
Different Styles of Disability
Insurance 10
3. Disability Insurance
Insurance for the Injured and the Sick
Accidents happen at any given
time. Injury due to an accident often re-
sults in costly emergency room bills and
hospital stays. Some people become in-
jured and temporarily disabled. Thus,
they are unable to work for a certain
period of time. More often than not,
employers offer disability insurance
benefits for full-time employees to help
cover the costs of those unexpected and
highly expensive medical bills. Without
this insurance, out-of-pocket costs for
emergency room visits can be
alarmingly high.
4. With a specific
short term disability insurance
plan tailored to your needs, you can
receive a certain percentage of your
income while you are unable to work.
This amount is typically between 45 to
60 percent of your base salary. This
kind of disability insurance is
available for 3 to 6 months, and it is
usually effective immediately following
5. an injury. There is a maximum amount
of money you are allowed to receive
from this insurance plan, and there is
also a maximum length of time you can
be covered. If you think that you need to
receive benefits past six months, find
out from your employer what is avail-
able for a longer period of time.
In the event that you become
injured, applying for short term
disability insurance would be
beneficial. Although it is only a partial
amount of your earned income, it is
better than exhausting funds from a
6. savings or checking account to pay for
expenses during the time you are not
working and earning your full salary.
Also, it allows you to still receive some
money while you are temporarily out of
work.
If you are unable to work for a
certain amount of time due to illness,
you are also eligible to apply for short
term disability insurance. Unlike being
injured, however, if you are sick, there
may be a waiting period between the
time you apply and the time the benefits
are in effect. Also, before you can begin
7. to receive benefits, employers might re-
quire you to use all of your accumulated
sick days and any other time off that
you might have earned. Before apply-
ing, speak to a representative from your
human resources office to find out ex-
actly what is required by your employer.
This could help you avoid any issues
that could prolong the process and de-
lay the start date of which you can begin
8. to receive benefits. If you choose not
to go through your employer, you may
apply as an individual. If you are self-
employed, you are also eligible to apply
for short term disability insurance. By
applying for this insurance, you can
continue to earn money while in recov-
ery from an injury or sickness.
In the event that either occurs,
the last thing you should have to stress
over is your job and how being out of
work will affect yourself or your family
financially. It is beneficial to be
knowledgeable in the kinds of insurance
9. benefits you may be eligible to receive
even though you are not physically able
to go to work.
10. Disability Insurance
Different Styles of Disability Insurance
Disability insurance is an
important form of insurance, not only
to employees but also to employers. If
an employee is out of work on disability,
other problems such as finding a
replacement or finding ways to continue
productivity can occur. For this reason,
employers will want to research the
different types of insurance that they
are able to purchase.
Depending on the size of the
company, you may want to consider
different types of insurance which
will be able to cover not only your
11. employees but also yourself if some-
thing should happen.
Key Person Insurance is useful to
employers when the person who gets
put on disability is one of the most
important people in the company. An
example of this is the person who is in
12. charge of maintaining day to day opera-
tions on the floor.
This sort of insurance will allow
for the training of a new employee to
replace the one who was put on
disability. If the disabled employee is
scheduled to come back after a proce-
dure or rehab, you can put the new
employee on short term disability
insurance in order to continue with
proper employee insurance coverage
while they fill this temporary position.
Taking this step will ensure that an
employer is able to continue their daily
13. functions of the company without
added risk.
Business Overhead Expense
Insurance for protecting the employer.
If the employer should become disabled
and unable to work, this insurance will
help pick up some of the business
expenses he or she may have during this
time. This includes rent, utilities, and
even employee salaries during the
period in which the employer may be
out of work. This is to make sure that
the company continues to produce even
though the employer is unable to work.
14. Keeping this type of insurance
policy is a great idea for any sized
company, as it ensures operations
continue to run smoothly.
In the instance where an employer
is unable to handle day to day tasks, this
type of coverage may play a large role in
keeping the company afloat.
15. Employer-Supplied Insurance is
when the employer pays a part of the
money into the worker's disability fund.
Most commonly this is known as
Worker's Compensation which is paid
out to the employee who was working
and got injured on the job. However,
most people end up getting hurt off the
job, in which case worker's comp will
not cover the disability. This form of
disability insurance will help your
employees when they are unable to
physically work. Offering adequate
insurance to employees also fosters a
16. loyal environment. In this day and age,
employees are apt to stick by an
employer who shows their willingness
to care for employees in a time of need.
So no matter what form of
insurance, even short term disability
insurance, you can be assured that
your employees will be taken care of.
You can even make sure your company
is insured if you are unable to work.
After all, a company does not stop just
because of an injury or illness. By
getting the right type of insurance for
your company, you will not have to
17. to worry about spending too much
money and not having the proper
coverage when it comes time to use it.
18. benefits you may be eligible to receive even
though you are not physically able to go to
work.
