Long-term disability insurance

What is employer-paid LTD insurance?

LTD insurance protects a portion of your salary if you are unable to work due to serious injury or illness. When you enroll in LTD coverage, it pays you a percentage of your monthly earnings if you become disabled.

If eligible, you will automatically be enrolled in employer-paid LTD insurance, even if you waive medical coverage. You do not need to provide evidence of insurability (proof of good health).

The SEBB Program's school employee benefits include employer-paid LTD insurance at no cost to you.

Employer-paid LTD insurance

Employer-paid LTD provides:

• Benefit: 60 percent of the first $667 of your predisability earnings, reduced by any deductible income (like Social Security disability).
• Minimum: $100/month or 10 percent of the LTD benefit before deductible income, whichever is greater.
• Maximum: $400/month

Benefits start after the benefit-waiting period, which is the longer of:

• 90 days;
• The entire period of sick leave (excluding shared leave) for which the employee is eligible;
• The "fractionated period" of paid time off (PTO) for which the employee is eligible, if your employer has a PTO plan, as those terms are defined in the policy;
• The entire period of other non-vacation salaried continuation leave for which the employee is eligible; or
• The end of Washington Paid Family and Medical Leave for which the employee is receiving benefits.

Benefits continue during disability up to the maximum benefit period. The maximum benefit period is determined by your age when disability begins.

What is employee-paid LTD insurance?

If you are eligible for employer-paid LTD, the SEBB Program will automatically enroll you in a plan that covers 60 percent of your insured income (your monthly insured earnings  before you become disabled, up to $16,667). You do not need evidence of insurability.

At any time, you can reduce to a lower-cost 50-percent coverage level or decline the coverage. If you later decide to enroll in or increase coverage, you will have to provide evidence of insurability and be approved by the insurer. An increase in coverage takes effect the day the evidence of insurability is approved.

What are predisability earnings?

Predisability earnings means your base monthly rate of earnings and any additional time, responsibility and incentive (TRI Pay) from your employer, including:

1. Contributions you make through a salary reduction agreement with your employer to:
   1. An Internal Revenue Code (IRC) Section 401(k), 403(b), 408(k), 408(p), or 457 deferred compensation arrangement; or
   2. An executive nonqualified deferred compensation arrangement.
2. Amounts contributed to your fringe benefits according to a salary reduction agreement under an  IRC Section 125 plan.

60-percent plan

The 60 percent coverage level provides: 

• Benefit: 60 percent of the first $16,667 of your predisability earnings, reduced by any deductible income
• Minimum: $100/month or 10 percent of the LTD benefit before deductible income, whichever is greater
• Maximum: $10,000/month

Benefits start after the benefit-waiting period, which is the longer of:

• 90 days;
• The entire period of sick leave (excluding shared leave) for which the employee is eligible;
• The "fractionated period" of paid time off (PTO) for which the employee is eligible, if your employer has a PTO plan, as those terms are defined in the policy;
• The entire period of other non-vacation salaried continuation leave for which the employee is eligible; or
• The end of Washington Paid Family and Medical Leave for which the employee is receiving benefits.

Benefits continue during disability up to the maximum benefit period. The maximum benefit period is determined by your age when disability begins.

50-percent plan

The 50 percent coverage level provides: 

• Benefit: 50 percent of the first $16,667 of your predisability earnings, reduced by any deductible income
• Minimum: $100/month or 10 percent of the LTD benefit before deductible income, whichever is greater
• Maximum: $8,333/month

Benefits start after the benefit-waiting period, which is the longer of:

• 90 days;
• The entire period of sick leave (excluding shared leave) for which the employee is eligible;
• The "fractionated period" of paid time off (PTO) for which the employee is eligible, if your employer has a PTO plan, as those terms are defined in the policy;
• The entire period of other non-vacation salaried continuation leave for which the employee is eligible; or
• The end of Washington Paid Family and Medical Leave for which the employee is receiving benefits.

Benefits continue during disability up to the maximum benefit period. The maximum benefit period is determined by your age when disability begins.

How do I reduce or decline employee-paid LTD?

At any time, you can reduce to a lower-cost 50-percent coverage level or decline the employee-paid coverage using SEBB My Account or by submitting the Long-Term Disability Insurance Enrollment/Change form to your payroll or benefits office. If you later decide to enroll in or increase coverage, you will have to provide evidence of insurability and be approved by the insurer.

How much does employee-paid LTD insurance cost?

View LTD insurance rates. To find your premium, use the premium calculator on Standard's website.

Employee-paid LTD rates

These rates are based on the employee's age on January 1 of each year, except new employees. New employees' rates are based on age as of enrollment date for the first calendar year of coverage. 

Age	60-percent coverage	50-percent coverage
29 and under	0.0011	0.0007
30 to 34	0.0015	0.0009
35 to 39	0.0023	0.0014
40 to 44	0.0032	0.0019
45 to 49	0.0044	0.0026
50 to 54	0.0060	0.0036
55 to 59	0.0072	0.0044
60 to 64	0.0075	0.0045
65 and older	0.0076	0.0046

Examples of employee-paid premiums

Your exact premium depends on your age, your monthly predisability earnings, and the coverage level you choose. Here are some examples.

Note: You may need to scroll to the right to see all of the examples.

60-percent coverage level

Examples of monthly predisability earnings	Age 29 and under	Age 30 to 34	Age 35 to 39	Age 40 to 44	Age 45 to 49	Age 50 to 54	Age 55 to 59	Age 60 to 64	Age 65 and older
$3,000	$3.30	$4.50	$6.90	$9.60	$13.20	$18.00	$21.60	$22.50	$22.80
$4,000	$4.40	$6.00	$9.20	$12.80	$17.60	$24.00	$28.00	$30.00	$30.40
$5,000	$5.50	$7.50	$11.50	$16.00	$22.00	$30.00	$36.00	$37.50	$38.00
$6,000	$6.60	$9.00	$13.80	$19.20	$26.40	$36.00	$43.20	$45.00	$45.60
$7,000	$7.70	$10.50	$16.10	$22.40	$30.80	$42.00	$50.40	$52.50	$53.20
$8,000	$8.80	$12.00	$18.40	$25.60	$35.20	$48.00	$57.60	$60.00	$60.80
$9,000	$9.90	$13.50	$20.70	$28.80	$39.60	$54.00	$64.80	$67.50	$68.40
$10,000	$11.00	$15.00	$23.00	$32.00	$44.00	$60.00	$72.00	$75.00	$76.00
$11,000 to $16,667	$12.10–$18.33	$16.50–$25.00	$25.30–$38.33	$35.20–$53.33	$48.40–$73.33	$66.00–$100.00	$79.20–$120.00	$82.50–$125.00	$83.60–126.67

50-percent coverage level

Examples of monthly predisability earnings	Age 29 and under	Age 30 to 34	Age 35 to 39	Age 40 to 44	Age 45 to 49	Age 50 to 59	Age 55 to 59	Age 60 to 64	Age 65 and older
$3,000	$2.10	$2.70	$4.20	$5.70	$7.80	$10.80	$13.20	$13.50	$13.80
$4,000	$2.80	$3.60	$5.60	$7.60	$10.40	$14.40	$17.60	$18.00	$18.40
$5,000	$3.50	$4.50	$7.00	$9.50	$13.00	$18.00	$22.00	$22.50	$23.00
$6,000	$4.20	$5.40	$8.40	$11.40	$15.60	$21.60	$26.40	$27.00	$27.60
$7,000	$4.90	$6.30	$9.80	$13.30	$18.20	$25.20	$30.80	$31.50	$32.20
$8,000	$5.60	$7.20	$11.20	$15.20	$20.80	$28.80	$35.20	$36.00	$36.80
$9,000	$6.30	$8.10	$12.60	$17.10	$23.40	$32.40	$39.60	$40.50	$41.40
$10,000	$7.00	$9.00	$14.00	$19.00	$26.00	$36.00	$44.00	$45.00	$46.00
$11,000 to $16,667	$7.70–$11.67	$9.90–$15.00	$15.40–$23.33	$20.90–$31.67	$28.60–$43.33	$39.60–$60.00	$48.40–$73.33	$49.50–$75.00	$50.60–$76.67

Terms and conditions apply

LTD insurance has limitations, including a 12-month preexisting condition exclusion. Please read your certificate of coverage carefully to understand this benefit.

What is the definition of a disability?

Disability is defined as being unable to perform with reasonable continuity the duties of your own occupation as a result of sickness, injury, or pregnancy during the benefit waiting period and the first 24 months for which LTD benefits are payable. During this period, you are considered partially disabled if you are working but unable to earn more than 80 percent of your indexed predisability earnings.

After the first 24 months, disability as a result of sickness, injury, or pregnancy means being unable to perform with reasonable continuity the material duties of any gainful occupation for which you are reasonably able through education, training, or experience. During this period, you are considered partially disabled if you are working but unable to earn more than 60 percent of your indexed predisability earnings in that occupation and in all other occupations for which you are reasonably suited.

What is the maximum benefit period?

For both employer-paid LTD and employee-paid LTD coverage, the "maximum benefit period" means the benefit duration, which is based on your age when the disability begins.

*SSNRA is Social Security Normal Retirement Age, your normal retirement age under the Federal Social Security Act as amended.