Group Disability Insurance for Your Company

Do you know what your chances of becoming disabled are? What impact would that have on your employees and their families. Group Disability Insurance protects the one thing that most people need the most when they cannot work: Their Income.

Most people think that medical insurance is the most important. At Johnson Benefit Group, we believe that your disability insurance is more important, ensuring that you have the income to pay your medical premiums. Medical bills don't necessarily cause bankruptcy when a disability occurs, it's the inability to pay the medical premiums to cover the expenses that ends up being the culprit.

We understand the need for a disability plan, and for over 20 years we have worked with some of the largest companies in the U.S. With a high level of expertise in the disability market, we can help companies understand the nuances of the disability underwriting, contracting, reserves and service to make sure that your company is getting the benefits you are paying for.

If you are banking on Social Security to be your disability policy, think again. The Annual Performance Plan FY 2011 is available to download at the bottom of this page. Please take a moment to review the approval rates and durations once a denial has been determined. It will certainly be an eye opener.

Chances of a Disability Lasting 90 Days or More Prior to Age 65

Number of Employees in Group

Advantages of a group disability policy

Employer Advantages Employee Advantages
  • Tax deductible business expense
  • Helps attract and retain quality employees
  • Relieves moral obligation to pay disabled employees
  • Less expensive than self-insuring the risk
  • Insurance company manages the claim
  • Frees up funds to pay a replacement employee
  • Increased employee moral
  • Surprisingly affordable
  • Continuation of income when sick or hurt
  • Continuation of income during childbirth
  • Employee can continue to meet financial obligations
  • Security and peace of mind
  • No evidence of good health required (most cases)

How are employees treated when they become disabled:

  • How much will you pay your employee
  • Do you have a written leave and payment policy in place
  • Will it be PTO, Short term or Long term disability
  • Do you have a return to work policy
  • How long will you pay your employee
  • When will you have to hire a replacement
  • How long will you pay both?

Have a solid disability policy and remove many of the problems companies can face in the wake of an employee becoming disabled.

What would be the impact on your company:

  • Sales
  • Profits
  • Overhead
  • Credit lines
  • Loan repayment capability
  • Partnership buy-out plans
  • Retirement plans

Has your company evaluated the following regarding your disability program:

  • Benefit Objectives
  • Financial Analysis
  • Plan Design Evaluation
  • Recommendations
  • Implementation
  • Communication
  • Administration
  • Service
  • Ongoing Plan & Financial Management
  • Contracts & Renewals
  • Evaluate program design, and funding and measuring capabilities
  • Formalize return to work policies/procedures
  • Measure impact of recommendations
  • Analyze reserving and carrier financial summaries for appropriateness

Streamline Administration for Employers and Employees

  • Evaluate existing procedures to see if improvements can be made
  • Improve quality of service to both employer and employees
  • Ensure consistent reporting & claim adjudication
  • Implement ADA/FMLA compliance if needed, and implement procedural improvements

Improve Productivity through Integration

  • Identify vendors with integrated models
  • Decrease administration complexity through technology
  • Implement early intervention protocols to lessen durations
  • Evaluate outsourcing options
  • Integrate program with other non-standard disability programs (e.g.: Medical, Sick Leave, Wellness, Worker's Comp, etc.)

Leverage New Technology and Electronic Resources

  • Ensure technology best practices are utilized for information and benefits delivery
  • Promote and facilitate employee self-service whenever possible
  • Implement information exchange and access between client and insurance companies

Links & Downloads
Protecting Your Income
Disability Statistics Council
Social Security Report