Short- and Long-term Disability

This is an optional policy that may be modified to explain the plan(s) you offer. As with many benefits, we encourage you to provide only basic information in the policy itself and direct employees to refer to the plan document(s) or ask the business administrator for details.

Sample Policy:
Disability Benefits

Short-term and long-term disability benefits are provided to all eligible employees in accordance with the short-term disability plan and the long-term disability plan.

While (name of organization) offers short-term and long-term disability benefits, nothing in this policy obligates the organization to continue employment.

Short-Term Disability
Eligibility and Waiting Period

Full-time employees who have completed 90 days of continuous employment become eligible for short term disability benefits after 15 consecutive business days of absence due to disability, subject to the conditions of the short-term disability plan. All eligible employees, regardless of available sick and vacation time, will receive short-term disability benefits on the 16th business day of absence due to disability. Available paid time must be used to satisfy the waiting period before disability benefits begin. Please note: An employee receiving disability or workers’ compensation pay under federal or state law is ineligible for short-term disability benefits. During the waiting period, employees shall use available time off in the following order: sick time, vacation time, floating holidays, unpaid time.

Benefit Description
Benefits will be paid as described in the schedule of benefits for an eligible employee who becomes wholly and continuously disabled so as to be prevented from performing any duty pertaining to his or her employment. If you believe that you may be eligible for short-term disability benefits, consult (the business administrator) for more detailed information regarding the short-term disability plan.

Long-Term Disability
Eligibility and Waiting Period

Long-term disability benefits become effective after 180 days of absence due to disability. On the 180th day, any leave granted under the Family and Medical Leave Act (FMLA) or a short-term disability policy expires.

Benefit Description
Income protection insurance is provided for eligible employees who are permanently and totally disabled and unable to work. Specific terms and conditions for long-term disability benefits are governed by the long-term disability summary plan description. If you believe that you may be eligible for long-term disability benefits, consult (the business administrator) for more detailed information.

This is a sample handbook policy only. Your organization is responsible for compliance with all applicable laws. Accordingly, this document should not be used or adopted by your organization without first being reviewed and approved by a licensed attorney in your area. Brotherhood Mutual assumes no liability in preparation and distribution of this sample document.

Working Together © 2022 Brotherhood Mutual Insurance Company. All rights reserved. www.brotherhoodmutual.com/working-together. Updated 9/2021.