Page 12 - University of the South-2022-Benefit Guide REVISED 3.30.22 FSA WAIT PERIOD

LIFE & DISABILITY COVERAGE

What would your family do if your income was lost due to death or disability?
Life and disability coverages are important for your financial security.

Life and Accidental Death & Dismemberment Short-Term Disability Coverage
Insurance (AD&D) Full-time staff members accumulate 22 days of short-term
disability leave for each full year’s service to the University up to
Term life insurance, equal to an employee’s annual salary a maximum of 110 days. Staff members who are employed less
rounded to the next higher thousand and limited to $100,000 than full-time or who have academic year appointments accrue
coverage is provided by the University to eligible employees on short-term disability leave in proportion to the time worked.
the first day of the month following the date of hire. Coverage is
reduced to 65% of the benefit amount at age 65, and 50% of the Short-term disability leave covers up to 100% of a staff member’s
benefit amount at age 70. The reduced amount will be adjusted to base salary, up to the amount of leave accrued.
the next higher multiple of $1,000 if the figure is not already a
multiple of $1,000. Life insurance coverage is reduced to $5,000 A staff member becomes eligible for short-term disability leave
at retirement. A description of the term life insurance plan is benefits after 22 working days of total disability under a qualified
available in the Office of Human Resources. physician’s care and with a written statement from the physician
certifying disability. Should the staff member remain disabled
AD&D insurance provides payment to you in the event you are after six months, the disabled staff member should apply for long-
involved in an accident that results in a covered loss that causes a term disability. Staff members on short-term disability leave for a
permanent impairment, or payment to your beneficiary in the full pay period do not accrue sick leave, vacation, or short-term
event you are involved in a covered accident resulting in your disability leave, and are not paid for holidays. Employees who
death. AD&D coverage is provided as a secondary component are granted short-term disability leave may not work for another
with the previously mentioned life insurance coverage in an employer or otherwise engage in activities inconsistent with the
amount equal to the life insurance benefit. employee’s representation that he or she is unable to work due to
disability. Any questions about this short-term disability leave
Voluntary Life and AD&D Insurance Coverage policy should be directed to the director of Human Resources.

In addition to the University paid insurance, you have the Long-Term Disability Coverage
opportunity to purchase additional life insurance for yourself,
spouse and dependent children through payroll deductions. Long-term disability insurance provides disability income to
Employees must enroll in order to elect coverage for their eligible employees after a disabling illness or injury of six-months’
spouse or children. duration.
Premiums are paid entirely by the University, and an employee
ACCOUNT TYPE BENEFIT must work at least 30 hours per week and meet other
requirements to be eligible for coverage. Coverage is effective
• Increments of $10,000 the first day of the month following the date of hire. A description
Employee • Guaranteed Issue: $200,000 of the long-term disability insurance plan is available from the
• Maximum Benefit of $500,000, not Office of Human Resources.
to exceed 5x salary
After an employee has been unable to work as a result of an
• Increments of $5,000 illness or injury for a year’s duration, the employee normally will
• Guaranteed Issue: $50,000 be considered terminated.
Spouse • Maximum Benefit: $250,000
• Cannot exceed 50% of
employee’s life amount COVERAGE AND BENEFITS
• $10,000 Benefit LONG-TERM DISABILITY
Child(ren) • $500 maximum benefit for Covers 60% of your base annual earnings, to a $7,000
children less than 6 months old maximum Benefits begin after 180 days of disability or illness
and continues to the earlier of recovery or the later of your
This chart applies to newly eligible employees only. Social Security Normal Retirement Age or the maximum
Benefit Period listed in your certificate.

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