Short Term Disability
Replaces 66 2/3% of weekly earnings rounded to the next $10 to a maximum of:$1,000
The benefit amount is considered taxable if the employer pays any portion of the WI premium and non- taxable if the employee pays the entire WI premium.
Benefit Period: This benefit is payable from the first day of disability as a result of an accident/hospitalization or after 7 days of disability as a result of sickness, and is payable for a maximum of 17 weeks.
Definition Of Disability: Employees are disabled when, as a result of accident or sickness, they are unable to perform the whole of the duties of their regular occupation. Employees must be under the regular and personal care of a physician to be eligible for coverage.
No benefits are payable for partial disabilities
Long Term Disability
Benefit: Monthly Income replacement from the 121st day of a disability for up to 2 years.
Plans with 100% employee-paid premiums pay non-taxable monthly benefits equal to 67% of the first $2,000 of monthly earnings, and 50% of any balance. Plans with any employer-paid premium pay taxable monthly benefits based on 66 2/3% of monthly earnings.
All benefits are rounded to the next $50 to a maximum of $5,000 . No Evidence Maximum: $2,500.
Definition Of Disability: Employees are considered to be totally disabled if they are unable, as a result of illness or injury, to perform the whole duties of their regular occupation.
No benefits are payable for partial disabilities.
Pre-Existing Condition: Benefits are not payable for any disability which begins within the employee’s first 12 months of coverage, if that disability is due to a pre-existing condition. That is, any condition for which the employee was treated or attended by a physician or was prescribed drugs that were taken during the 3 month period immediately prior to the effective date of coverage.
Offsets: LTD benefits are reduced (offset) by any amount payable to the employee because of the disability from Workers’ Compensation, the Canada Pension Plan, the Quebec Pension Plan and any other similar legislated program.
The benefits you receive as a result of your disability should be in proportion to your normal earnings. As such, benefits are limited to 85% of your gross monthly earnings if your monthly income under this benefit is to be included in determining your income tax, or 85% of your take-home pay if your monthly income under this benefit is to be excluded in determining your income tax.
