When it comes to unexpected illness or injury, the most common thing people say is, "It’ll never happen to me." For many people, health changes and unforeseen accidents may seem like remote possibilities, that "disability" is something that won’t happen to them. However, accidents do happen, and people’s health can change suddenly. Black ice in the grocery store parking lot could mean a broken hip. If an annual physical exam turns up abnormal results that lead to a diagnosis that prevents you from working, how will you and your family manage if you don’t have a paycheck? It’s important to realize that if you become disabled, your ability to earn an income stops. While you may have sick time to fill the gap in the short term, what happens after two months, or six months or two years?
Disability insurance is a crucial part of planning against life’s unexpected curveballs — fundamentally, it is an income protection plan. While educators may rely on sick days and a sick bank to get them through an unexpected illness or injury, what happens when sick days run out? And a sick bank isn’t a surefire solution either, as there’s no guarantee as to how those days will be administered. If you become disabled, disability insurance can provide income replacement to help you and your family get through. This year, MTA Benefits is hosting a special, all-member open enrollment period. Typically, enrollment in the MTA Disability Plan is limited to members in certain districts, but this year all members can enroll on a guarantee-issue basis, regardless of their district. Open enrollment is March 24 to May 22.
Depending on where you are in your career, different types of disability insurance may be better suited to your needs.
Short-Term Disability
The MTA Disability Plan is designed to replace income that’s lost due to unexpected illness or injury for up to six months. The plan offers a choice of a 14-day or a 30-day elimination period. The 14-day elimination period offers expanded maternity benefits.
While the administration of days from the sick bank can be subject to forces outside of one’s control, educators can accrue a significant amount of sick time over the course of their career. If an educator can cover any disruption to their paycheck for six months, they may be able to for-ego short-term disability.
Long-Term Disability
While some members may determine they do not need short-term disability insurance, long-term disability insurance remains critically important for all members and is an essential part of any smart financial plan. If you rely on your income to pay your bills, you need long-term disability insurance.
When sick days run out and you’re out of work for the long haul, long-term disability can pay benefits from six months up to age 65. Coverage is affordable and premiums are even lower than short-term disability.
What’s Unique About the MTA Disability Plan
While some locals may offer their own disability plans, the MTA Disability Plan is a crucial MTA member benefit. It is distinct in that it is guarantee issue, and members cannot be denied coverage. Additionally, the enhanced maternity benefit pays in addition to any eligible parental leave for a birthing parent.
If you have any questions, talk to a counselor during the special open enrollment period to get help determining what’s right for you.
Learn more at myenrollmentschedule.com/mta.
