If you are an employer, you would typically purchase group health insurance for your employees. You may not have considered purchasing group long term disability insurance, but it is another option to supplement a health insurance package. It is a great way to provide extra coverage if your valued employee cannot work and earn an income. Typically, this type of insurance is considered when an injury or illness prevents them from returning to work for a long period of time. It goes into effect after your employee has been out of work for a specified period — but generally a few months. Long term disability insurance goes into effect when short term benefits expire. It is difficult to know how long an employee will be out of work, so you want them to be covered for an extended amount of time. The potential need for long term disability grows with every passing year. Options range from choosing to pay all of the premiums or paying partial. It’s important to note that group long term disability insurance policy in Margate may not offer as much coverage as private long term disability insurance would, but this is a good supplement and an added perk for your employees. There are tax incentives for employer-sponsored long-term care benefit programs, and today’s groups can be as small as five employees or as large as 25,000. One positive aspect of buying into this type of insurance is that if all of your employees buy into it, the plan is a cost-effective option for you.
The Benefits of Group Long Disability Insurance
- Affordability. When a group of employees buys into this type of insurance, it can be more cost-effective for you and your employees as your employers can pick up part of the premium.
- Attracts talent you want to keep. The last thing you want is to lose a valued employee that’s been with you for years when an opportunity with a more attractive benefits package comes their way.
- Attractive policy terms. The amount of time an employee can receive LTD benefits varies, but it’s usually for the length of their illness and when you return to work.
- Large choice of customizable options. You can choose from a range of features to customize the coverage that’s right for you and your employees, including flexible options like maximum benefits, benefit payment periods, and more.
The Challenges of Group Long Term Disability Insurance
- Partial payment of salary. LTD insurance only pays a portion of your paycheck, but it can be used to supplement an employee’s private policy.
- Reduced payments. Group LTD payouts are reduced by related payments from workers’ compensation and Social Security disability payments.
- No portability. If your employee leaves the company for any reason, the policy and its accrued benefits do not go with them.
- Premiums are subject to increase yearly. Typically, this is true of all types of insurance and is generally not a large enough sum to deter an employer from offering it to their employees.
Ready to Get in Touch to Learn More?
At Lewis & Palmer Benefits, we want to help your business succeed. We employ trusted agents who possess the experience and talent to help your business grow. That means providing the right insurance and long-term disability coverage in Margate to meet your current and future employees’ needs. Remember, the right health instance and long terms disability plan can help you attract the best talent on the market. From our primary location in Margate, we stay current with all insurance trends. We can offer you the best group products, whether medical, dental, disability, life, or voluntary benefits. Why not choose a package that combines group disability insurance with life insurance? Each package is customized to offer the coverage you need at an affordable price. Why wait? Call (877) 574-3571, and one of our courteous agents will be happy to work with you to create your company’s ideal package.