Long Term Disability (LTD) Questions
What is Long Term Disability?
In the event that a Saint Louis University employee becomes ill or disabled, this long-term disability interrupts the employees earning ability and the economic impact can be severe. The group Long Term Disability insurance provided by Mutual of Omaha effective September 1, 2009, is designed to replace a substantial part of lost income in the event of total disability.
Benefits begin after three months of disability or the exhaustion of sick leave not to exceed six months. The plan pays 60% of salary up to $15,000 per month. Benefits will be reduced by payments received under Workers' Compensation and/or Social Security laws.
The University pays the entire cost of this coverage up to a base annual earnings of $36,000. A small payroll deduction is assessed for coverage on base earnings in excess of $36,000. This coverage is automatic, as a condition of employment, after one year of full-time service, or if a new employee is transferring from another group disability plan. (If transferring from another group disability plan, the new employee must complete and submit the Certification of Previous LTD Coverage within 31 days of their date of full-time employment with SLU.)
The coverage will continue to include all features of the current coverage including distinctive features such as possible benefits to disabled employees up to age 68 and continuation of retirement contributions to those employees who participate at this time.
What do I do first?
- Contact the HR Leave and Accommodations Consultant by mail, fax, or email attachment (3545 Lindell Blvd, St. Louis, MO 63103, 314-977-1785, or email@example.com), and request an application for Long Term Disability.
- Complete your portion of Mutual of Omaha LTD Application form (Section 1)
- Give your supervisor their section to complete (Section 3)
- Give your treating physician(s) their section to complete (Section 4)
- All parts should be returned to the HR Leave and Accommodations Consultant by mail, fax, or email attachment (3545 Lindell Blvd, St. Louis, MO 63103, 314-977-1785, or firstname.lastname@example.org). The HR Leave and Accommodations Consultant will complete Section 2 and sign Section 4.
What happens now?
- In order to qualify for LTD, there is a 90 day elimination period, in which you cannot be working. Intermittent leave and working from home can delay approval.
- Apply for Social Security Disability
- Your benefits will continue as long as you are on paid status, and premiums can continue to be deducted from your paycheck at the employee rate.
- Once you go into unpaid status, you have a 31 day grace period before you will need to pay premiums at the employee rate until your LTD is approved.
- If you are no longer in paid status, you may resign from your position. Resignation does not affect your application for LTD as long as the disability began while you were employed by the University. If your unpaid leave is anticipated to last more than 31 days, contact the benefits department at 314-977-2595 or email@example.com. You will be billed for your benefit premiums, and will need to begin paying premiums the first of the month following your resignation at the employee rate.
- It is our practice that while you are applying for, or appealing a denial, for Long Term Disability, SLU will charge you the employee premiums for your benefits. You can terminate your employment at any time without affecting your benefits, or LTD appeal since, the disability occurred before employment was terminated.
Once I have been approved for LTD, what happens?
- You will no longer pay LTD premiums. You will continue to pay premiums on any benefits you wish to keep at the employee rate to Sax Benefits Group.
- After 30 months, if you wish to keep your medical insurance, you will be charged the COBRA premium rates..