Disability Insurance

Short and long-term disability is often offered to employees. It’s not uncommon for employers to make short and long-term disability insurance available as a benefit to workers. Some employees assume disability is automatically available when they need it. The truth is it may or may not be available. It’s important to find this out before you need it.

Employees should understand the specifics of their short-term and long-term disability plans. Not all disability policies are the same. Read the policy at your workplace to understand the specific benefits and your rights and responsibilities. The policies are often managed by a third party company that makes decisions regarding approval or denial of claims. The place to find out such information is with the human resources department at your job.

The Purpose

The purpose of short and long-term disability is to provide income for an injured worker. Disability supplies part of an employee’s earnings when he or she cannot work because of illness or injury. Six months is usually the duration for short-term coverage. Long-term policies can provide benefits for one year or maybe longer. In most cases, short-term benefits must be exhausted before long-term benefits apply.

A disability policy pays a percentage of an employee’s salary. This percent varies, but it’s usually 66 percent of the salary. If an employee has been at the workplace for two or more years, then disability might pay them more than 66 percent of their salary. It’s important to get an understanding of what disability entails before applying.

It’s not guaranteed that you’ll be able to get disability. Your claim has to be approved before you can receive benefits. That’s why it’s important to read the fine print, and understand the specifics of the policy.