Short-term Disability Insurance

Short-term Disability (STD) insurance protects your employees from a temporary loss of income caused by an illness or injury. STD insurance also shields the employer from having to pay an employee's wages while the employee is disabled. Instead, this money can be redirected toward paying overtime or temporary workers. Short-term Disability benefits are paid to an employee who, as a result of a non-occupational injury or illness becomes disabled and is unable to perform their job. The benefit will continue for the duration of the employee's period of disability subject to the plan design.

Defintion: Short term disability – typical benefit is for 12 weeks and has a 7-day elimination period. Generally, the insured must be totally disabled during the elimination period (80% loss of income). After the elimination period, the individual must be unable to perform at least 1 essential duty of their occupation and have at least a 20% loss of earnings.

CBIA offers members the option of purchasing STD coverage for all of your employees. Providing your employees with a full-range of insurance benefits helps you retain the employees you already have and is an added benefit when you're recruiting new employees.

Contact your insurance broker for more information, or call CBIA's Ken Comeau at 860-244-1900 if you don't have a broker.