Disability insurance is an amazing benefit that covers employees and other eligible parties when they experience unforeseeable injuries and illness. Employers usually offer some form of disability insurance when a new employee enters the establishment. The benefit may activate 30, 60 or 90 days after the employee has been with the company, depending on what plan the employer has.

The disability policy has a monthly premium that the employer usually removes from the employee’s check before that person gets paid. The employees usually get a generous discount on the insurance policies because they are a part of a corporate plan.

The way an employee disability policy works is as follows: If the employee gets sick or suffers and injury, he or she will have to open a claim and visit a medical specialist. That medical specialist will then write a report and diagnose the employee with something. The specialist will decide how long the person needs to stay out of work and any restrictions that he or she should have once the work tasks resume. The employee must then send all of the appropriate documentation to the insurance company so that they can process the claim. Once the insurance company approves the claim, it pays the benefits. Benefits are usually between 60 and 70 percent of an employee’s regular pay, although some policies offer higher payments in the beginning of the claim period.

Disability policies cover a variety of ailments such as physical injuries, diseases and mental and emotional problems. There are two types of disability coverage that usually come from the employer: short-term and long-term. Short-term disability is the most common type, and it covers the insured party for up to about six months. Some policies may last up to a year. Long-term disability is a type that covers longer periods of incapacitation.

The major benefit of carrying disability coverage is having the protection that one needs in case of an unforeseen situation. A worker never knows when something is going to hit. Therefore, it’s just plain smart to have a plan in place for when something does arise.