What is Disability Insurance?
Laws vary by state, but Disability Insurance is usually required for any company with employees on payroll. Like Workers Comp, Disability Insurance is for the benefit of the employee rather than the employer. That isn’t to say it’s completely useless to the employer, however.
Why do I need it?
First of all, you generally have to have it. The first benefit to the company is not getting fined by the state. Having good disability coverage (and ancillary benefits) can also provide a draw for new employees. Offering your prospects solid benefit packages incentivizes accepting positions with your company, and attracting smart and talented workers is crucial for a growing startup.
What coverage is available?
Statutory minimum disability pays about $170/week to an injured employee. It’ll get you by in the eyes of the law, but let’s be honest…that’s definitely a low number for most, let alone employees based in NYC! With Founder Shield Disability Insurance, you have the option to secure up to 5x statutory minimum coverage for your employees. That means your employees can receive up to $850/week when unable to work. This can be a huge asset to your employees and provide crucial assistance in times of need.
Founder Shield offers not only disability benefits, but also a full suite of ancillary benefits for your employees. Employers can pay just $9/month per employee for base level benefits, which includes hospital cash (for when the employee is stuck in the hospital), term-life, and accidental death and dismemberment coverage. Employees can then upgrade to even more robust plans (for $29 and/or $49/ month per employee), each of which include dental and vision coverage. Of course these advanced packages can be offered directly by employers too.
It’s important to note that these ancillary benefit packages are not meant to replace standard medical employee benefits packages, but they definitely provide some great extra perks for your employees and their families. With disability insurance and ancillary benefits in place, you’ll have a happy workforce. A happy workforce is a productive workforce!
How do I protect my company and myself?
Want to read more on the subject? Check out our blog posts on Disability Insurance and Ancillary Benefits.