Long-Term Disability Insurance: Overview


This document provides general information on long-term disability benefits, including eligibility requirements, who administers claims, the cost of coverage, and taxation issues.

Definition of a Total Long-Term Disability

A total long-term disability is defined as a condition resulting from disease or injury that, as certified by a physician, causes a person to be unable to perform the material duties of their own occupation during the first 24 months of disability, or the material duties of any occupation for which he or she is reasonably suited by education, training or experience thereafter.

Types of Benefits

Long-term disability coverage provides partial income replacement benefits and rehabilitation services for an approved long-term disability. More detailed information is provided in "Benefits Provided Under Long-Term Disability Insurance."


Full-time Research Foundation (RF) employees are eligible for long-term disability coverage after one year of full-time service. Employees must be actively at work in order for coverage to become effective (Note: being on vacation or on jury duty is considered "actively at work" for eligibility purposes). If the employee is not actively at work on that date, he or she will become eligible on the day after being actively at work for one full day in an eligible class.

An eligible employee can receive income replacement benefits on the first day following six consecutive months of an approved long-term disability. Refer to "When Long-Term Disability Coverage Begins and Ends" for more information.

Claims Administrator

The RF contracts with First Reliance Standard Life Insurance Company (First Reliance) to administer long-term disability claims.

Taxation of Income Replacement Benefits

Income replacement benefits are taxable as income under state and federal law. First Reliance sends a "Wage and Tax Statement" (Form W-2) at the end of the year to employees who receive income replacement benefits.

Certificate of Insurance

First Reliance will provide operating locations with a supply of the Certificate of Insurance, which provides details about the RF's Group Long-Term Disability Insurance Plan. The certificate can be provided to full-time employees upon request. The Group Long Term Disability Insurance Certificate is located on the RF Web site.

Continuation of Benefits

Refer to "Coverage Continuation When Disabled" for information on benefits coverage continuation when an employee is disabled and for life insurance continuation limits based upon an employee's age at the time of disability.

Change History



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