Page 15 - PSA 2020-21 New Hire Guide
P. 15
Protection Strategies Incorporated
Voluntary Short Term Disability (STD) Long Term Disability (LTD)
Eligible employees have the option to buy short term For eligible employees, the company provides long
disability (STD) insurance to help provide inancial term disability (LTD) insurance to offer you inancial
security until you get back on your feet and return assistance in the event you are unable to work for an
to work. Premiums are 100% paid by the employee. extended period of time. The plan covers 60% of
The plan covers 60% of your pre-disability earnings your pre-disability earnings. The maximum beneit
for up to 13 weeks. There is a 7-day waiting period of base coverage is $10,000 monthly. Beneits begin
for illnesses, but coverage for an accident will begin after you have been disabled for 90 days. There is a
immediately. There is a 3/3/12-month pre-existing 3/6/12-month pre-existing condition exclusion. If
condition exclusion. If you were treated for a you were treated for a condition in the three months
condition in the three months prior to your effective prior to your effective date, you must complete six
date, you must complete three months without months without treatment for the condition to be
treatment for the condition to be covered, or wait a covered, or wait a total of 12 months from your
total of 12 months from your effective date for the effective date for the condition to be covered.
condition to be covered.
Beneit Percentage 60%
Beneit Percentage 60% Maximum Beneit $10,000
Maximum Weekly $1,500 Day Beneits Begin After you have been disabled for 90 days
Beneit
Minimum Weekly 10% of weekly earnings
Beneit
0 consecutive days and disability due
Day Beneits Begin to Accidental Injury; and 7 consecutive
days of disability due to sickness
Maximum Beneit Period: 13 weeks
How to Calculate STD Premium
Bob earns $52,000 annually. His weekly salary would be
$1,000.
X His weekly beneit amount is (0.06 x $1,000) = $600
X His monthly premium is ($600 x 0.385/10) =
$23.10
X His per pay period deduction is ($23.10/2) = $11.55
15
Voluntary Short Term Disability (STD) Long Term Disability (LTD)
Eligible employees have the option to buy short term For eligible employees, the company provides long
disability (STD) insurance to help provide inancial term disability (LTD) insurance to offer you inancial
security until you get back on your feet and return assistance in the event you are unable to work for an
to work. Premiums are 100% paid by the employee. extended period of time. The plan covers 60% of
The plan covers 60% of your pre-disability earnings your pre-disability earnings. The maximum beneit
for up to 13 weeks. There is a 7-day waiting period of base coverage is $10,000 monthly. Beneits begin
for illnesses, but coverage for an accident will begin after you have been disabled for 90 days. There is a
immediately. There is a 3/3/12-month pre-existing 3/6/12-month pre-existing condition exclusion. If
condition exclusion. If you were treated for a you were treated for a condition in the three months
condition in the three months prior to your effective prior to your effective date, you must complete six
date, you must complete three months without months without treatment for the condition to be
treatment for the condition to be covered, or wait a covered, or wait a total of 12 months from your
total of 12 months from your effective date for the effective date for the condition to be covered.
condition to be covered.
Beneit Percentage 60%
Beneit Percentage 60% Maximum Beneit $10,000
Maximum Weekly $1,500 Day Beneits Begin After you have been disabled for 90 days
Beneit
Minimum Weekly 10% of weekly earnings
Beneit
0 consecutive days and disability due
Day Beneits Begin to Accidental Injury; and 7 consecutive
days of disability due to sickness
Maximum Beneit Period: 13 weeks
How to Calculate STD Premium
Bob earns $52,000 annually. His weekly salary would be
$1,000.
X His weekly beneit amount is (0.06 x $1,000) = $600
X His monthly premium is ($600 x 0.385/10) =
$23.10
X His per pay period deduction is ($23.10/2) = $11.55
15
