Voluntary disability insurance provides benefits over and above basic health
insurance, offering eligible employees income protection insurance in the
form of benefits that partially replace income lost as a result of a disabling
non-occupational accident or illness. When such an event takes away the
ability to bring home a paycheck, voluntary disability insurance coverage can
help fill the gap as payments may be used for any purpose.
Plan options may include:
- Combination benefits covering accidents, sickness or both
- Coverages including off-the-job coverage, 24-hour coverage or both
- Optional riders covering categories such as emergency accidents, outpatient sickness, hospital indemnity and COBRA
- Elimination periods, which are the number of continuous days (beginning with the first day of total disability) before any monthly benefit amount is payable
- Portability, allowing the employee to take their company benefit and continue it on their own.
Benefit periods for which monthly income benefits are payable after the elimination period ends (such periods often include choices of 90 days, six months, one year, two years or three years)