Types of Disability Insurance
Other than LTD insurance, what other types of disability insurance benefits may be available to me?
In addition to long-term disability (LTD) insurance benefits, you may have other types of insurance that will pay you benefits because of your disability from Parkinson’s disease. Here are some common examples:
Short-term disability (STD)
STD insurance replaces all or a percentage of your income if you cannot work due to a covered disability. Some STD benefits are payable for a maximum period of 180 days (six months) or less. While STD coverage can be purchased individually, it is often provided as an employment benefit. STD insurance often bridges the income gap between your date of disability and the time when your LTD benefits start.
In addition to STD and LTD insurance, you may have other kinds of disability insurance, or have other insurance policies such as life insurance or health insurance that will provide you with a benefit if you become disabled. Here are some examples:
Life insurance waiver of premium
Some life insurance policies include a waiver of premium benefit. With this benefit, your life insurance coverage will continue without you paying a premium if you meet the definition of disability and other conditions for coverage in the policy.
Long-term care coverage pays some or all of the cost for personal care and board in the event that you are partially or totally unable to care for yourself. This coverage can be purchased individually or be provided as an employment benefit.
Health insurance continuation while disabled
Health insurance covers all or a portion of the cost of your medical treatment. Some employers provide continued health insurance to disabled employees so long as they are disabled. Most people will eventually lose employer sponsored group health insurance coverage if they become disabled. The Consolidated Omnibus Budget Reconciliation Act (COBRA) is a federal law that gives workers the right to continue to participate in their employer’s health plan, for a limited period of time, if you pay the premiums. If you are no longer eligible for health insurance coverage through your employer, or through group health insurance through a spouse’s employer, then you may need to explore purchasing your own health insurance coverage, applying for Medicare, or both.
APDA makes this information available solely for the purpose of general education. It is not intended as specific advice for your specific circumstance or as legal, insurance or medical advice. APDA encourages those who find this information useful to contact a legal advisor for answers to specific questions and assistance. The following information was graciously provided by the disability law firm of Chisholm Chisholm & Kilpatrick LTD, with support from Douglas L. DuMond of Simian Advisors LLC. APDA does not endorse any disability law firm or have a formal affiliation with CCK or Simian Advisors LLC.