How To Use Short Term Disability For Maternity Leave Coverage
If short-term disability insurance is available to you during your maternity or parental leave, taking advantage of the benefits could be especially useful as they often provide financial support in addition to time off work to care for a newborn and get acclimated into your new family life.
Here are five simple steps you can take to use short term disability insurance for maternity leave coverage:
Talk to your human resources representative. The very first step of planning your maternity leave and using short-term disability insurance is notifying your human resources manager and your direct supervisor.
Scheduling an appointment with a human resources representative at your office and discussing your options and eligibility for short-term disability insurance is a great way of starting a discussion with your employer regarding your maternity leave.
Check your employer benefits package. If youre planning on using short-term disability insurance, either through your employer or your state, to cover your maternity leave, its essential to review your insurance package and thoroughly understand all of your benefits.
Typically, short-term disability insurance differs slightly from state to state and from employer to employer. Its essential to research the elimination period, benefit period, and benefit amount that correlates with the short-term disability plan youre eligible for.
Interaction With Ei Sickness Benefits
You cant receive EI sickness benefits and short-term disability at the same time. In fact, if you do receive both, you will need to pay some back.
For example, imagine you got EI sickness payments for 2 weeks. Then, you get approved for short-term disability, and they will pay you for those same 2 weeks. This creates an overlap. If theres an overlap, then youll need to pay back the EI program.
After youre approved for short-term disability, youll receive a back payment. Then, you can refund EI using that money.
How Much Does Aflac Pay For Labor And Delivery
$50 per day Aflac will pay $50 per day for days 2 through 31 of the period of hospital confinement, when a covered person requires hospital confinement for a covered sickness or injury and a room charge is incurred. * The maximum benefit period for any one period of hospital confinement is 31 days. No lifetime maximum.
Read Also: How To Calculate Disability Retirement Pay
How Often Will You Receive Payments
This is another area that can vary. Fortunately, your payment questions should be answered clearly within your plan documents.
Be aware that if your employer works with an insurer to offer short-term disability benefits, then payments will usually be administered through the insurance company. That means they might arrive on a schedule different from the payroll timing youre used to .
Meaghan Tiernan, a senior copywriter for a marketing agency in San Francisco, used her short-term disability for maternity leave. She was given a debit card that her short-term disability payments were added to.
I think it was one lump sum every two weeks on an regular basis, she explains. They even include weekends, so it was typically every 14 days that I was paid. Then youd have to transfer the funds from that debit card to your bank account if that was your preference.
How Much Time Off Do You Get With Short
While I might sound like a broken record, a concern like, How long is short-term disability? is another aspect that can vary depending on your own plan.
By definition, its short-term, but it can range in duration. Ive seen be as short as 30 days and as long as one year, Bartolic says, pointing to the maximum covered benefit periods hes seen in his own practice. It depends on the overall structure of the disability benefits through the employer.
Your time off also depends on your specific health problem. The medical field has guidelines as to how long recovery should take, explains Bartolic. That provides a roadmap for your employer or plan provider to establish a reasonable amount of time for you to be out of work.
What if things are really serious and youre not looking at a few weeks or even months away from the jobbut much longer? That would fall under a long-term disability benefit, if your employer offers such a thing.
As the names imply, short-term disability is used to cover injuries or illnesses that persist for a shorter amount of time . In contrast, long-term disability comes into play for any issues that will take you out of work for longer than that.
You May Like: How Much Is Ssdi In California
How Much Does Short
Every plan differs, but be aware that many plans cover less than your full salary while you are using short-term disability coverage. For example, many short-term disability plans that cover pregnancy and the postpartum period only cover 2/3 of your regular salary and may last only 6-8 weeks , far less than the 3 months you might typically hear is awarded for full parental leave for full-time employees at other companies.Be sure to understand what related health conditions may be covered, if any. For example, pregnancy-induced hypertension or post-partum depression can sometimes be a debilitating medical issue that your employer may need to provide a reasonable accomodation for, even if it is not covered by your insurance policy, per se.
How We Chose The Best Short
To determine the best short-term disability income insurance, we looked at all of the companies offering individual policies. While many insurers offer short-term coverage, its typically through the workplace in the form of group policies these policies are often forfeited if you leave that job, and the terms of coverage can vary greatly depending on your employer and what they are willing to provide/cover.
When comparing insurance companies for this list, we looked at the availability of individual policies, coverage limits, and benefit periods offered. We also compared consumer reviews, financial strength ratings, and the ease of obtaining coverage.
Also Check: How Much Does Disability Pay In California
How To Apply For Short Term Disability Insurance Coverage
Many employers offer short term disability insurance coverage to employees as a group plan. Many companies even pay the full premium for their employees. A handful of states require employers to provide this coverage.
If you cannot get short term disability through an employer or other group membership, you can buy an individual policy. This can be done through an insurance agent or directly from an insurance company that offers this type of coverage.
Group plans are guaranteed issue, meaning you automatically qualify for coverage without going through underwriting. Short term policies sold on an individual basis are sometimes guaranteed issue as well.
However, most short term policies sold directly to an individual will require the applicant to answer health-related questions. These questions will ask whether you are currently or in the past have been treated for any number of pre-existing conditions. If so, you may be disqualified for getting coverage or have your benefits limited.
Sign Up The Year Before You Get Pregnant If Possible
If you are trying to get pregnant, you might consider signing up at the enrollment period prior to the year you want to get pregnant.
If your employers plan looks back for any claim filed in the first 12 months after the effective date and you satisfy that 12 month time period in the year prior, then your pregnancy wont be considered pre-existing.
If this is a planned pregnancy, that might help you out to remember to do that.
You May Like: Is A Food Allergy Considered A Disability
Best Overall: Mutual Of Omaha
Taking the top spot for best overall short-term disability insurance coverage is Mutual of Omaha. This insurer provides up to 24 months of benefits , with some policies offering coverage from the very first day of your eligible disability. Monthly benefits are available up to $5,000, and policies can be issued through age 61.
Benefit periods range from three to 24 months
Maximum monthly benefit of $5,000
Elimination periods between zero and 90 days
Generous built-in policy benefits
Losses resulting from mental or nervous disorders are excluded
Partial disability benefits only available for up to six months, regardless of overall policy length
Policies must be purchased through an agent
Mutual of Omaha has been around since 1909, when it first started offering health and accident insurance coverage. The company has an A+ financial strength rating from AM Best. It offers insurance coverage across the country, though not all policies are available in all states.
Short-term disability coverage through Mutual of Omaha is some of the most comprehensive and benefit-rich around, which is why we chose them as the overall best provider. Coverage maxes out at $5,000 per month, with benefit periods ranging anywhere from three months to as long as 24 months. Elimination periods are available in more typical lengths , but the company also offers immediate coverage with 0/7-day and 0/14-day options.
Does Aflac Pay For Emergency Room Visits
Aflac will pay $100 when a covered person receives treatment for a covered sickness or accidental injury in a hospital emergency room, including triage, and a charge is incurred. The Hospital Emergency Room Benefit and the Hospital Short-Stay Benefit are not payable on the same day. No lifetime maximum.
Read Also: Is Being Partially Blind A Disability
Understanding Short Term Disability Insurance Rules And Regulations
Using short-term disability insurance can sometimes be complex and confusing, so to help you navigate the benefits package, weve rounded up all the rules and regulations you need to understand in order to successfully use the insurance program.
Many of the most common regulations included in the majority of short-term disability coverage options deal with eligibility. Typically in order to qualify for short-term disability insurance for maternity leave, a new biological mother must have worked at their place of employment for one to six months prior to giving birth to a child.
Once a new mother is deemed eligible for short-term disability insurance, they must go through an elimination period, or a waiting time, in which they will not receive any benefit payments. Elimination period information is usually specified in each short-term disability plan and tends to last a few weeks to a month.
In addition to their elimination period, most employers also require staff to use up all of their paid sick leave before receiving any short-term disability payments.
While short-term disability insurance is most commonly provided by employers especially those that also offer childcare benefits to their employees there are also several other ways of enrolling in the benefits plan.
Your Paycheck Helps You Maintain Your Current Way Of Life If You Find Yourself Unable To Work Aflac Short
Ask your employer about Aflac Short-Term Disability insurance. This product is available through worksite payroll deduction only.
No Medical Questions
Guaranteedissue is available for select products, which means no underwriting questions. May not be available in all states
1 Chances of Disability. Me, Disabled?, Council for Disability Awareness. Accessed August 6, 2020. .
2 In Arkansas, Rider A57653. In Idaho, Rider A57653ID. In Oklahoma, Rider A57653. In Oregon, Rider A57653OR. In Texas, Rider A57653. In Virginia Rider A57653VA. Rider may not be available in all states. Limitations and exclusions may apply. Benefits are determined by state and plan level selected. Contact your agent for details.
3 The above example is based on a scenario for Aflac ShortTerm Disability that includes the following benefit conditions: ages 1849, employed fulltime at the time disability began, $2,000 monthly disability benefit amount, $40,000 annual salary, elimination period 0/7 days, 3 month benefit period, benefits based on policy premiums being paid with aftertax dollars. Benefit periods, elimination periods, monthly disability benefit amounts may vary by state, benefit option, and level of coverage selected. Review your statespecific brochure below for a How It Works scenario customized for your state.
SHORT-TERM DISABILITY – A57600 SERIES
Limitations and Exclusions for residents of Arizona:
Recommended Reading: How Much Does Disability Pay In California
How Does Short Term Disability Insurance Work For Pregnancy
If you cant work due to injury or illness, short-term disability insurance pays a weekly benefit that replaces a portion of your lost income typically between 50% and 70% if you receive coverage through your employer. The amount of the benefit, the length of time you receive benefits , and whether or not a pregnancy is covered will depend on the specific terms of your policy. If you have STD coverage through work, talk to your human resources manager about what benefits are available and the correct way to submit a claim.
1 , 2016
2 Guardian Group Short Term Disability FAQs, 2020
Group insurance products are underwritten and issued by The Guardian Life Insurance Company of America, New York, NY. Products are not available in all states. Policy limitations and exclusions apply. Optional riders and/or features may incur additional costs. Plan documents are the final arbiter of coverage. Disability policies provide disability income insurance only. This policy does not provide basic hospital, basic medical or major medical insurance as defined by the New York State Department of Financial Services.
Guardian, its subsidiaries, agents, and employees do not provide tax, legal, or accounting advice. Consult your tax, legal, or accounting professional regarding your individual situation.
Can I Resign While On Fmla
Generally, you may terminate an employee at the time he tenders his unqualified intent to resign. The FMLA entitles eligible employees of covered employers to take unpaid leave for certain family and medical reasons. That means you maybut are not required toimmediately move to terminate the employee.
Don’t Miss: Va Disability Change Direct Deposit
Is Mental Health Covered With Short
What if its not something physical that takes you away from the demands of your job? What if youre struggling with depression or some other mental health issue that makes it nearly impossible to fulfill your work responsibilities?
Mental health can be covered by many short-term disability plans . However, youre going to need to have proof that this is an issue youve been struggling with for some time.
You should be talking with a psychiatrist before your leave, says McDonald. There should be a really solid foundation of what the problems are.
How Do I Apply For Short Term Disability Benefits And Fmla Leave
Each process requires its own application. You must tell your employer that you are taking FMLA leave and ask for their forms and processes. For short-term disability, you either have to notify your employer if short-term disability is an employer-provided benefit, or your insurance carrier, if you have privately paid for short-term disability insurance.
Don’t Miss: How Much Does Disability Pay In California
Maternity Leave & Disability Insurance
Anything thatâs considered elective is not covered under disability insurance, so choosing to stay home either during or after your pregnancy does not qualify you for benefits from your disability policy. Complications during pregnancy or the days, weeks, and months after giving birth are a different story, however. If your doctor orders bed rest or if you have a complicated birth, you may qualify for benefits benefits after the elimination period.
Some short-term disability group plans provided by employers may list normal pregnancy as a disability in lieu of a defined maternity leave policy.
What Questions Should I Ask My Human Resources Manager At Work
Employers vary when it comes to maternity coverage. Contact your employers human resources department ideally well ahead of time so you dont lose eligibility if you miss a deadline to learn what you can expect and how best to prepare.
Ask specifically about the effect of pregnancy and maternity leave on your pay and about the type of notice youll need to give the employer in order to secure your job. Employers are evolving their coverage in this area, so it is important to understand the specifics of what your employer offers.
Its exciting that youre entering a wonderful new stage in your life. Understanding your finances and knowing how to help protect your income can make this time even better and reduce some of your stress.
If you have questions about your disability coverage
- Through your employer
Also Check: How To Increase Your Va Disability Rating
Seriously Do You Really Need To Understand Your Short
Heres the short answer: yes. While its not exactly a fun topic to think about, its important that you familiarize yourself with the details of your planso you dont have to get up to speed when you actually need the benefit.
However, wading through our own plan documents is a step that most of us skip. That informational booklet is immediately relegated to our desk drawer or filing cabinet.
Do you remember the first day you started your job? Its kind of a firestormyou cant focus well or often, says McDonald. So we dont spend a lot of time achieving clarity about the benefit in the beginning. We only acquire an understanding of it when we are in deep need of the benefit.
But particularly if you have an existing problem or condition, youre going to want to know the ins and outs of the benefit thats available to you.
Anybody who goes into a new job and has any kind of serious medical condition that could at some point in time render them unable to work, I think its a good idea to be able to see the actual short-term and long-term disability plan documents to see how they define disability and how they handle pre-existing conditions, adds Bartolic.
Ideally, youll never have to take advantage of your short-term disability benefits. But in the event that the unexpected happens, youll be glad that you took the time to understand whats offered to you. This explainer is a good place to start, but you also need to read through the details of your specific plan.
How To Financially Prepare To Use Short Term Disability Insurance
While short-term disability insurance does pay eligible employees a portion of their regular wage, it usually does not cover an employees entire salary or hourly rate.
Short-term disability rules vary from state to state and from employer to employer, but across the United States, STD most often covers between 40 and 80 percent of a persons pay during the entirety of their absence from the workplace.
Short-term disability insurance offers some of the best financial support to new mothers and families after the birth of a child, but because people using STD benefits do not receive their full regular pay, budgeting is still essential to maintaining financial stability.
In addition to careful financial budgeting, short-term disability can also require some planning in order to qualify for the best policy. For example, professionals who take out their own STD policy or elect to participate in optional plans provided by employers must usually buy or enroll in the coverage programs before becoming pregnant.
Recommended Reading: How To File For Disability In Michigan