Long Term Disability (LTD)
Overview
The LTD program provides benefits in the event of an illness or injury that prevents you from working. Payment of LTD benefits requires approval by Company Life Assurance Company of Location.
Company-Paid LTD Coverage – A base level of protection at no cost to you that provides 50% of your monthly base pay when combined with other disability-related benefits and income (up to the IRS maximum).
Employee-Paid Additional LTD Coverage – Added protection you can purchase that adds 16.7% to your 50% company-paid coverage. With this added coverage, you would receive 66.7% of your monthly base pay when combined with other disability-related benefits and income (up to the IRS maximum).
Things to know.
What’s the cost for optional buy-up coverage? You pay $1.44 per $1,000 of your base monthly pay on a pre-tax basis.
Eligibility depends on your employment status. For company-paid coverage, you are eligible if you have full-time or less-than-full-time employment status. For employee-paid coverage, you are eligible only if you are a full-time employee.
Tools and resources.
Looking for more detail? Access the HR Knowledge Base on the internal ABC Company network.