Plan Toolkit

Long Term Disability Insurance

Long-term disability insurance pays participants a monthly benefit if they get sick or injured and can’t work for an extended period of time. When a disability affects an employee’s income, he or she can use this benefit to help pay the bills. Your employees have the opportunity to elect long-term disability insurance at affordable group rates through the GIC. This is valuable protection for your employees – and the people who depend on them – from the financial hardship a disability can bring.

Why would an employee need long term disability insurance?

Most people take their health and their ability to work for granted. But the reality is that disabilities can happen to anyone, anywhere, at any time. It could be a sudden illness, an accident or even a weekend sports injury, and one of your employees could be unable to work. For many, this means loss of income, family security and independence.

  • 28% of U.S. consumers live paycheck to paycheck, not many people have savings or other disposable income they can rely on.1
  • Three out of ten people between the ages of 35 and 65 will be disabled at some time during their career for three months or longer.2
  • Nearly two-thirds of disabling injuries occur off the job and aren’t covered by workers’ compensation.3

But can't employees rely on their health benefits if they become disabled?

Health insurance covers only a portion of an employee's medical bills and it doesn’t provide any income protection for someone who is unable to work and earn a living.

It costs less than you might think and has more value than you may be aware of.

If one of your employees is unable to work for 90 consecutive days due to illness or injury, this program can provide him or her with:

  • A tax-free benefit of 55% of your gross monthly salary, up to a maximum benefit of $10,000 per month.
  • A monthly benefit up to the age of 65 (if an employee becomes disabled on or after age 62; benefits may continue after age 65).
  • Benefits are reduced, but not eliminated, by other income sources, such as Social Security disability, workers’ compensation, sick leave pay, and retirement benefits. An employee who is unable to work due to a covered disability will receive a minimum benefit (the greater of 10% of his or her gross monthly benefit amount or $100).

Filing Claims for Long Term Disability (LTD)

When should I direct employees to file a LTD Claim?

Employees should contact Unum within 30 days of the date their disability begins.

What if an employee is still using sick leave?

Employees do not need to exhaust their sick leave to file a long-term disability claim. In fact they should be encouraged to file even if they are using sick time or a sick leave bank. Employees must report and file a claim within 180 of the date their disability begins. If an employee files a disability claim more than 180 days after their disability began, his or her claim may be denied for a late filing.

How do they initiate a LTD Claim?

To initiate a claim, employees should call 1-877-226-8620 and select option 1. Once they have initiated a claim by calling Unum, a Long Term Disability claim package will be mailed to their home address within one (1) business day. The claim package will include:

  • A cover letter with instructions;
  • a Claimant Statement (for the employee to fill out); and
  • an Attending Physician’s Statement (which must be completed by the employee's doctor)

All paperwork should be submitted to the address or fax number indicated on the claim form.

Links to some of our other websites

Additional guidance can be found on the GIC site including "How to File a Claim" and a FAQ

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