The Centers for Disease Control and Prevention reported that over 60 million people in America have disabilities. Disability insurance can ensure an employee receives income during times of accident or illness, but can also cover items like pregnancy.
Disabilities can strike unexpectedly, so the workforce must always be prepared for the unknown. Crabtree Benefits and hundreds of small businesses around the world can vouch that offering disability insurance plans as a benefit is an effective way to attract and retain talent. Disability plans can be a valuable addition to company benefits packages.
Group disability plans typically cover benefits of up to 60% of the policyholder’s pre-disability income. It can cover employees’ personal expenses.
Employees with serious disabilities due to accidents or illnesses—temporary or permanent—won’t be able to go back to work and earn an income. Employees’ ability to earn an income is one of their greatest and most stable financial assets, so they can’t solely live with benefits from a health insurance plan alone. They need a steady paycheck until the worst is over, and small businesses can lean on insurance providers and benefits consultants like Crabtree Benefits to provide them all they need with finding the proper disability plan.
There are several kinds of disability insurance plans. Depending on the insurance provider, these plans offer various coverage and benefits for different situations and types of disabilities. Each type of policy can have its own definition of “person with disability”. Here are the main types of disability insurance plans small businesses can qualify for:
As a long-term plan, the benefits of long-term disability insurance can last from two years, five years, or until retirement. The benefit can cover 60% of employees’ gross monthly income.
Short-term disability insurance plans can cover 60% of the employees’ gross monthly income for a short period—usually three to sic months.
The two main types of disability insurance plans are Long-Term Disability Insurance, Short-Term Disability Insurance.
Disability plans cover disabilities brought about by illness, accident, or pregnancy.