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FAQs on Short Term Disability

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Short term disability insurance is an affordable way to protect your income when you are unable to work due to illness or injury. Percentage-wise, people with disabilities comprise approximately 13.1 percent of the U.S. population. When a recent MetLife survey asked participants "what employer-offered benefits or programs would best support them or a loved one if they or a family member are unable to work due to a serious illness or injury” during the COVID-19 pandemic, disability insurance took first place.

Despite its importance, a lot of confusion remains surrounding short term disability insurance. Below are the answers to some of the most frequently asked questions we receive.

Q: Why is having short term disability insurance so important?

A: Having short term disability protection can help you cover your essential living expenses and help safeguard your savings, since it replaces a portion of your income during the initial weeks of a disability, generally between 13 and 26 weeks.


Q: What are the essential living expenses that I should be most concerned about?

A: Consider any expenses you may incur in the running of your household, including car payments, mortgage payments, groceries, childcare, tuition, etc., that would still need to be covered in the event of a disability.


Q: How do disability payments work?

A: Depending upon the amount of coverage you choose, payment will be made directly to you — not your employer, hospital, doctor or insurance company.


Q: How much does short term disability insurance cost?

A: Disability Insurance is more affordable than you may think. For example, a healthy male age 35 may get a $1,000 monthly benefit for an initial premium of about $25 a month. Actual rates will vary based on factors including the applicant’s age, health, occupation and state of residence as well as the amount of coverage, maximum benefit period, waiting period and carrier issuing the coverage.


Q: What if I choose not to have short term disability insurance?

A: Enrolling in a plan is not mandatory, but it is a good idea and an affordable way to help protect your income. Without short term disability, you may need to use your savings or tap into other assets to cover your essential living expenses while you are recovering from an accident or illness.

Q: When can I enroll?

A: It is best to enroll during your open enrollment period when medical exams may not be required and health questions may not be asked. Plus, the sooner you enroll, the sooner you will enjoy the added financial protection that disability coverage provides.



Through the power of a PEO, we band our customers together so your team gets access to great health insurance, including short term disability plans, at affordable rates and you lean on us to stay compliant.

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