LTD provides income protection should you become disabled. After the 90-day elimination period requirement has been satisfied or after you have exhausted your sick leave (whichever is longer), if your disability claim is approved, you will be eligible to receive 60% of your covered salary. Benefits under this program will be decreased by the same amount as any disability benefits received from other sources. Your total disability pay, including other sources of income, cannot exceed 60% of your covered salary.
Note: The LTD program does not cover Long-Term Care services.
Long-Term Disability Benefits Summary
| Monthly Benefit |
60% of your monthly earnings up to a maximum benefit of $12,025 per month, subject to deductible sources of income or other disability earnings. |
| Elimination Period |
90 days from onset of disability, during which you are continuously disabled. |
| Maximum Period Payable |
Age at Disability
Less than age 60
Age 60 through 64
Age 65 through 69
Age 70 and over |
Maximum Period Payable
To age 65, but not less than 5 years
5 years
To age 70, but not less than 1 year
1 year |
| Definition of Disability |
Total Disability means that during the first 24 consecutive months of
benefit payments due to Sickness or Injury: 1) you are continuously unable to perform the
material and substantial duties of your regular occupation; and 2) your disability earnings, if any,
are less than 20% of your pre-disability indexed monthly earnings. After the LTD monthly
benefit has been paid for 24 consecutive months, total disability means that due to injury or
sickness: 1) you are continuously unable to engage in any gainful occupation; and 2) your
disability earnings, if any, are less than 20% of your pre-disability indexed monthly earnings.
Partial Disability means that during the elimination period and maximum benefit period, due to injury
or sickness, you are working in any gainful occupation and you are able to earn disability earnings of at
least 20% of your pre-disability indexed monthly earnings but are unable to earn more than 80% of your
pre-disability indexed monthly earnings.
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| Sick Leave |
You must exhaust all of your sick leave before benefits are payable. |
| Pre-Existing Condition |
A condition which:
1. was caused by, or results from, a sickness or injury for which you received medical treatment;
or advice was rendered, prescribed or recommended whether or not the sickness was diagnosed
at all, or was misdiagnosed, within 3 months prior to your effective date; and
2. results in a disability which begins in the first 12 months after your effective date. |
| Waiver of Premium |
Premiums are waived when LTD benefits begin.
|
| EOI |
If you enroll during the July 2009 Annual Enrollment period, no Evidence of Insurability (EOI) is required. During subsequent Annual Enrollment periods, all previously eligible employees must complete an Evidence of Insurability form |
| LTD Exclusions |
Disabilities resulting from war, suicide or felony, loss of a professional license, occupational license or certification, participation in a riot or while incarcerated. |
| Limitations |
24 months of benefits for mental nervous disorders or substance abuse. |
| Definition of Monthly Earnings |
Monthly Earnings will equal 1/12th of your last reported gross annual income from your Employer in effect on the day immediately prior to your date of disability.
Monthly Earnings includes
- Hazardous duty pay;
- Longevity pay;
- Employee contributions made through a salary reduction agreement with Your Employer to an IRC Section 401(k), 403(b), 501(c)(3), 457 deferred compensation plan, or any other qualified or non-qualified employee Retirement Plan or deferred compensation arrangement; and
- Amounts contributed to your fringe benefits according to a salary reduction arrangement under an IRC Section 125 plan.
Monthly Earnings does not include
- Commissions;
- Bonuses;
- Overtime pay;
- Your employer’s contribution on your behalf to a Retirement Plan or deferred compensation arrangement; or
- Any other extra compensation.
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