Short Term Disability

Short term disability is a policy of protecting the income of the employees against any disability caused due to injury, mental disorder, physical disease or pregnancy. These disabilities are more common as compared to the long term disabilities. This disability policy provides a disabled person a weekly portion of the salary like 50 or 60 percent for rest of the weeks. The chances of working for short term due to disability are higher than the chances working for the long term. In that case, the person can avail the facility of short term disability policy. This disability policy is costly for the employers in the case of actual expenses and lost productivity.

Provisions of Short Term Disability

The short term disability policy provides the disabled employees to take the sick leave or statutory disability benefit programs. The employees can take leave due to disability for as many days as required and get some portion of salary for the rest of the days. These benefits are given by the employers according to the company’s policy and provisions as stated in the memorandum of the company.

Features or Benefits of Short Term Disability

• Choice of non-occupational or 24-hour coverage
• Maximum benefit duration up to 52 weeks
• Up to 70 percent of salary replacement for employer-paid plans
• Performance Guarantee for groups with at least 1000 insured employees
• Maximum benefit amount up to $ 5000 per week
• Reports Online claim reports service available at no additional cost
• Benefit waiting periods starting at zero days for accidents and three days for pregnancies and illness

Additional Cost Options

• Daily Hospital Benefit
• First Day Hospital Benefit
• FICA Payment and W-2 Preparation

Claims Administration Options

The Standard offers three administration options for the businesses that insecure their short term disability plans. This facility is given to 250 employees by the employer groups which can avail this service.

Advice to pay – The claims are managed by the Standard and the benefits are calculated by the employer themselves. The employer advises the plan sponsor how much is paid and for how long to the disabled employee.

Administrative Services Only – The management and calculation is done by the Standard and after that they issues checks for all the claims.

Select Claim – Employers choose themselves that which claims they require and which they wish to handle themselves.

Voluntary Short Term Disability

This policy is formulated to meet the needs of the different employer groups. Product materials and personalized enrollment are provided by the Standard that helps the employers in the communication and calculates the voluntary coverage which is given to the disabled employees.