State of South Carolina PEBA

Supplemental Long Term Disability Insurance

Eligible active employees may elect more coverage for additional protection. The Supplemental Long Term Disability (SLTD) benefit provides competitive group rates; survivor's benefits for eligible dependents; coverage for injury, physical disease, mental disorder or pregnancy; return-to-work incentive; SLTD conversion insurance; cost-of-living adjustment; and lifetime security benefit. Below is an overview of the coverage:

• A minimum $100 monthly benefit and a maximum $8,000 monthly benefit.
• A 90-day or 180-day benefit waiting period. This is the length of time you must be disabled before benefits are payable.
• Monthly benefit of 65 percent of your predisability earnings, reduced by deductible income.

You can enroll in SLTD insurance coverage through PEBA during your initial enrollment (within 31 days) or throughout the year with medical evidence. Contact your benefits administrator for more information on how to enroll. Your premium is determined by your age as of the preceding January 1 and your benefit waiting period.

To determine how much SLTD coverage you may need, please use the Needs Estimator. Before enrolling, review the Supplemental Long Term Disability Insurance Booklet and Supplemental Long Term Disability Certificate for answers to commonly asked questions, costs, exclusions, limitations and reductions.

Forms and Resources

• Medical History Statement
• Request for Long Term Disability Conversion Materials
• Long Term Disability Claim Packet
• Frequently Asked Questions about LTD coverage provided by The Standard

You can learn more about Supplemental Long Term Disability insurance in this flyer. You can also learn more about Supplemental Long Term Disability insurance in this booklet.

Employer Frequently Asked Questions

When should I encourage a disabled employee to file a claim for long term disability benefits?

Typically, The Standard advises that an long term disability claim be filed during the first month of absence, but no later than halfway through the employee's benefit waiting period as defined in your group policy. If the employee can be accommodated in some capacity, but might need some assistance, please contact The Standard for possible rehabilitation assistance at 800.628.9696.
 

How can I file a claim?

• To file a claim by telephone, contact The Standard's Claim Intake Service Center at 800.628.9696.
• To file a claim online, use this link to begin the claim process. Instructions will be provided through the entire claim submission process.
• To file a paper claim, the Long Term Disability Claim Packet is available on this website.
   

How frequently are long term disability benefits paid after a claim has been approved?

Long term disability benefits are paid at the end of the calendar month, which is determined by the employee's date of disability and benefit waiting period. For example, if the disability date is March 5 and the benefit waiting period is 90 days, the benefit waiting period would be served as of June 2. Benefits would become payable on June 3, the first benefit check would be paid by July 1, and the continuing benefit checks would be sent to the employee by the first of each month.
 

What should I do when an employee with a pending or active long term disability claim returns to work or dies?

If an employee who has a current long term disability claim with The Standard returns to work in any capacity or dies, immediately notify The Standard at 800.628.9696. Additional information will be requested as needed to determine whether further benefits may be payable under the terms of your group policy.
 

How may I obtain information regarding claims submitted for my employer group?

The Standard offers the following reports and services to keep you informed about the status and payment of long term disability benefits under your group policy:

• Monthly Group Benefits Activity Report: Automatically sent to you at the end of each month, this provides a summary of benefit payments and/or activity during the month.
• Integrated Voice Response (IVR): The Standard's toll-free customer service line is available to you and your employees 24 hours a day, seven days a week. The IVR system offers basic claims information, corresponding to the employee's Social Security number and date of birth.
   

Are long term disability benefits subject to taxes?

If you pay all or a portion of the premiums for your employees' long term disability benefits, the amount of benefits attributable to the employer's premium contribution is subject to tax. The Standard will submit long term disability W-2s at year-end showing the taxable amount according to IRS regulations. If you change your premium contribution arrangements, your group policy must be amended to reflect the change. Advise insured employees to consult their tax advisors for more specific information.
 

Are disability benefits taxable if employees pay for the coverage through a 125 or cafeteria plan?

If employee premium contributions are paid for with pre-tax dollars, the disability benefits are taxable. If premiums are paid with post-tax dollars, the portion of the benefits attributable to employee contributions is not taxable.