Colonial Life launches new voluntary group short-term disability insurance plan
Plan offers income protection to employees who become disabled from sickness or an accident
COLUMBIA, S.C. (Sept. 17, 2013) — Colonial Life has introduced a new voluntary group short-term disability insurance plan that allows employers to offer valuable income protection to employees who become disabled from sickness or an accident.
“Few American workers are financially prepared for the future,” says Steven Johnson, assistant vice president, product development, at Colonial Life. “In fact, 68 percent of adults have no savings at all earmarked for emergencies.i Our new voluntary group disability plan allows employers to offer an affordable insurance plan to their employees, helping to provide a financial safety net many workers desperately need.”
Colonial Life’s new voluntary group short-term disability plan offers several benefits and features that appeal to brokers and their clients:
- Guaranteed coverage for companies with 100 or more employees. During the initial enrollment, employees qualify for a maximum monthly benefit of $4,000 (up to 60 percent of their income) without answering any health questions, if at least 15 percent of employees participate. Newly hired employees also qualify for the same coverage.
- Higher benefit amounts. Individuals can protect up to 60 percent of their income and receive up to $7,500 in monthly disability benefits.
- Coverage available for more people. Coverage is available for individuals up to age 74, which allows more working Americans to qualify.
- Employer-optional benefits offer expanded coverage.
- Optional benefit for psychiatric and psychological conditions. Employers can choose to include an optional benefit that pays for disabilities due to psychiatric or psychological conditions.
- Optional benefit that waives the elimination period for a hospital stay. Employers can choose to include an optional benefit that begins paying the first day a disabled employee is hospitalized or the first day after the elimination period (when the employee selects an elimination period of 30 or fewer days).
- Consistency for multistate companies. Employers with locations in multiple states can offer the same rates and benefits to all employees.
- No coordination of coverage. Benefits are paid directly to employees, regardless of any other coverage they have, including workers’ compensation and government disability benefits.
- Portability. Individuals can continue their coverage up to age 75 if they leave their current place of employment, change jobs or retire, as long as premiums are paid on time.
For more information about Colonial Life’s new voluntary group short-term disability insurance plan, call 803.678.6599 or visit www.ColonialLife.com. Pre-existing exclusions and limitations will apply. Benefits vary by state and may not be available in all states.
i U.S. Federal Reserve Board, Survey of Consumer Finances, 2010.
About Colonial Life
Colonial Life & Accident Insurance Company is a market leader in providing financial protection benefits through the workplace, including disability, life, accident, dental, cancer, critical illness and hospital confinement indemnity insurance. The company’s benefit services and education, innovative enrollment technology and personal service support more than 80,000 businesses and organizations, representing more than 3 million of America’s workers and their families. For more information visit www.coloniallife.com or connect with the company at www.facebook.com/coloniallifebenefits, www.twitter.com/coloniallife and www.linkedin.com/company/colonial-life.