MTA Benefits spoke with Thomas Colbert, founder and president of Vista Financial Group, about disability benefits available to MTA members. Open enrollment for the insurance program ends on May 17.
Q. How long have you been working with MTA Benefits on this program?
A. We started working with MTA Benefits in 2000 on the current disability insurance program and designed it in a way that is specific to the needs of MTA members. The plan has paid more than $39 million in benefits to members since 2001.
Q. Why is this plan so important for members?
A. Disability insurance is particularly important for MTA members. In Massachusetts, educators are not eligible for Social Security disability benefits, so they have no long-term financial foundation underneath them in the event they suffer a prolonged illness or injury that keeps them from working. It is something everyone needs to account for in their own financial plan. What would happen if you did not have income coming in for a long period of time? Disability insurance is designed to protect you against that.
Q. What makes this disability insurance plan special?
A. There are a few factors of the MTA program that are truly unique. Benefits are paid in addition to accumulated sick days or sick bank payments. We do advise members that even though they could collect on both, it probably makes sense to not use up all of their sick days because they’ll want to save some in case illness or injury occurs again.
The other distinctive feature about the plan is that we have an open enrollment period every year, and coverage is guaranteed during that period. That’s important because if somebody didn’t elect to enroll at their first opportunity and was subsequently diagnosed with a medical problem, they could still get coverage.
Q. Could you give an example of when the MTA disability plan helped a member?
A. Recently, I received a call from a member who had been having some problems and was diagnosed with multiple sclerosis. Under normal circumstances that person would not be able to buy disability insurance, but I explained to them that they could get coverage in the next open enrollment period. Then, if their condition becomes a problem in the future, they’d be covered by the plan.
Q. Can disability insurance help somebody who’s planning a family?
A. Absolutely. That’s one of the most common reasons members enroll in the short-term disability plan. They’ll receive a few weeks’ worth of income while they’re out on maternity leave.
Q. MTA members can accumulate sick days and participate in sick banks, which will pay income when they can’t work. Why should someone elect to participate in the disability plan as well?
A. That’s true, but sick days and sick banks were never designed to be a long-term solution. They’re really just a bridge that will help someone for a short period of time, and not all members have a lot of accumulated sick days. Everyone should have long-term disability insurance, because there’s nothing that’s going to pay you after the first few months of being out of work. If you need your income to pay your bills, then you really do need to have long-term disability insurance to protect that income.
Q. Isn’t disability insurance expensive? Is the MTA plan more affordable?
A. Disability insurance is expensive in the individual marketplace because of the higher likelihood that one could become disabled and need to collect on the plan. Rates in the MTA program are negotiated based on the total size of the membership of the MTA. This group program offers heavily discounted rates. It’s very affordable, and the ability to layer in short- and/or long-term disability coverage allows the applicant to control the cost based on their individual circumstances.
Q. What are the eligibility requirements?
A. There are two requirements. The individual who is covered needs to be an MTA member, and either their school district needs to have opted to participate in the MTA program or they must be a new member of the MTA since July 1, 2023. Not every school district in the state offers this plan, and we are continually trying to introduce it to new districts. If a district doesn’t currently participate, the local president should contact MTA Benefits and we can work with them to make the plan available. We’ve also introduced an option to have premiums taken from members’ checking accounts instead of from their payroll deductions, which has made it easier to introduce the plan in several districts.
Q. How do you enroll?
A. It’s really simple. Every year during the enrollment period, members can meet with a benefits counselor in school during on-site enrollment. We also have a call center; members can schedule an appointment with a benefits counselor over the phone and sign up.
For more information, members can visit myenrollmentschedule.com/mta, or call 866.998.2915 to schedule an appointment with a counselor.
