Group Short- and Long-Term Disability

Disability insurance protects both the financial stability of your company, and a disabled employee’s personal income.

Disability benefits features

“Group” disability insurance covers a number of people who are linked in some way, such as through an employer, a trade association, or a school. The policy pays benefits to replace earnings lost due to an accident or sickness. Premiums may be paid by the individual, the organization, or both.

Generally, the cost of group disability coverage is less expensive than the cost of individual coverage. Group policies typically pay for a limited period of time, and with the maximum income benefit rarely greater than 50 or 60 percent of earnings.

Group policies can vary widely. For example, some policies cover both non-occupational and occupational illness and injury, while others do not. A policy may cover short-term disabilities, long-term disabilities, or both. Additional factors to keep in mind are:

  • eligibility requirements
  • how long the wait is before benefits begin (“elimination” period)
  • the dollar amount that will be paid (benefit level)
  • for how long benefits will be paid (benefit period)

Why offer Disability Insurance?

Self-motivated individuals frequently play a crucial role in the success of a business. This is particularly true of a small business in which one or two talented people possess highly specialized skills or knowledge that other employees do not. If such a “key” person were to suffer a long-term disability, not only would the individual face substantial financial risk, but the very survival of the company could be in jeopardy.

Sole proprietorship’s and partnerships are generally the most vulnerable. But, corporations, particularly those built around one or two individuals, are also at significant risk. However the business is organized, when you consider the likelihood that you or one of your key employees may become disabled, there is a clear need to protect both personal income and the financial well-being of the company.

Why Viti?

Our mission is to help clarify for you your best options as a business, now and for the future. We empower you to make strong, unbiased, educated choices. Contact us for a proposal or a free analysis of your current disability offering.