Allison-Brock, Inc. is proud to have served unions with disability benefit plans since 1987

       

 

Long-Term Disability Coverage
Explanation

Long-term Disability Benefit Plan (LTD):

  • The LTD plan is designed to provide monthly income benefits for a lengthy disability.

  • The monthly LTD benefit is usually designed to begin when short-term disability benefits end.

  • This means that most LTD plan designs will have a 26 week or a 52 week Elimination Period (E.P) ...

  • The Elimination Period for the LTD benefit plan begins on the first day of disability and no long-term disability benefits will be paid during the Elimination Period.

  • The monthly LTD benefit amount is determined by the union in the plan design.

  • Most union LTD plans insure for 60% of 70% of a member's base monthly income.

  • The Maximum Benefit Period for long-term disability benefit plans can differ.  The union may design the group plan to have a 2 year or a 5 year maximum benefit period. Another option is to have the disability income pay To Age 65.

What is the Elimination Period? (Example Only)
The period for which a benefit is payable will commence following any accumulated sick leave or salary continuation period and the Elimination Period shown in the example shown below:

180 calendar days for Injury
180 calendar days for Sickness

Note:  Benefits begin on the first day following completion of the Elimination Period.
- Benefits are not paid for days considered "Elimination Period" (in this example, the first 180 days of disability)
- Benefits are not paid retroactive to the 1st day of disability.

   

 

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Allison-Brock, Inc.
P.O. 8727
Roanoke, VA 24014
1-877-347-7687 Toll-Free

 

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