Why Employers Offer Group Disability Insurance In White Plains And Yonkers, NY

Posted by cafaroinsny on November 29th, 2020

Life is unpredictable, and no one can understand it better than individuals who face hurdles while cruising through life. Statistics reveal the possibility of at least 20% of American citizens being plagued with ill health or debilitating mobility issues by the time they reach 65. It helps to remain prepared for such an eventuality by investing in health or disability insurance. Buying it individually might not be feasible for individuals with limited means of income. Thankfully, several business owners are willing to provide group disability insurance in White Plains and Yonkers, NY, to benefit them greatly and earn their loyalty in return.

Almost everyone remains well aware of Medicare and other forms of health or life insurance cover today. Few are informed about group disability schemes provided by various insurance carriers across the nation. It is the business owner's onus to help employees when they cannot work due to illness or severe disability. Group disability covers such instances with the said worker receiving partial payment until the resumption of duties. The availability of such an insurance cover can help protect the family of disabled workers from financial problems, allowing them to live as before.

A majority of small business owners find this employee benefit highly effective while trying to compete with other enterprises in the same trade. Providing disability insurance cover to employees is something that all forms of companies can choose. It may be given as a part of a comprehensive benefits package. There is no compulsion to provide this insurance coverage, yet a few States, including New York, mandate temporary disability benefits for employees.

Coverage

The Group disability insurance cover offered by an employer provides around 50%-60% of the salary that the concerned employee earned before being disabled. The amount is usually not enough to cover all medical expenses. The plans are well formulated by the insurance companies that take all sources of compensation into account. Suppose a disabled employee receives money for covering the costs from SSDI and workers' compensation for being injured on the job. In that case, the insurance coverage will be significantly reduced to limit the total amount received by the disabled individual.

Types of Disability Insurance

There are two distinct types of group disability plans available in the market place. The terms are based on the length of the disability. They include:-

Short Term Plan- This will support the employee who is unable to work for a specific period. It usually covers:-

· Sudden injury resulting in temporary disability

· Pregnancy or childbirth

· Serious health condition

· Recovery from surgery

 Long Term Plan- This kind of coverage kicks in after the short term period ends. There is usually a waiting period of 90-180 days in the interim. Mental illness, cancer, and severe cardiac ailments, along with accidental injuries, are covered by this plan.

The employer may also provide business health insurance in Hauppauge and Melville, NY, along with other types of group insurance to the employees as benefits.