All plans have a choice of elimination or waiting periods so that they will dovetail with short term coverage you may offer.
There is also a choice of benefit periods ranging from one year to five years. Some plans offer choices of non-occupational only or 24 hour coverage, and some provide only partial benefits for occupational related disability and full benefits for non-occupational disability. Pre-existing conditions as defined in the policies are excluded from coverage.
Unlike most other voluntary products, this coverage is not portable. It is dependent upon the continued employment at your company. Coverage terminates at age 65 or when the employee leaves your company.
For the employer's best interest as well as that of the insurance company, it is important to design plans to provide a meaningful benefit while protecting against abuse. After all, if it is financially beneficial to become or remain "disabled" then one is influenced toward not returning to work. Therefore, employees are placed in classifications which limit benefits to appropriate levels. Companies with particularly hazardus occupations, with other disability income plans, or with high turnover may not be appropriate for these plans. Also, there may be minimum length of service requirements for employee eligibility, and there may be minimum participation levels required.
Coverage is usually provided on a guaranteed issue basis to all eligible employees.
It should be noted that disability income protection can also be provided through riders on the interest sensitive whole life policies. Coverage is generally less restrictive when offered in conjunction with the life policies.
Working together with employers we can design a voluntary disability plan which will provide a meaningful benefit to those workers who need such a plan.