Disability insurance is a crucial part of employee benefits, providing financial protection for employees who become unable to work due to illness or injury. Employee Retention Benefits (ERB), an insurance provider with over 50 years of experience, specializes in offering customized solutions for businesses in San Bernardino, CA, including both short-term and long-term disability insurance plans.
What is Short-Term Disability Insurance?
Short-term disability insurance provides a portion of an employee’s salary for a short period, typically three to six months if they become temporarily disabled. It’s designed to cover immediate needs and usually begins once sick leave has been exhausted.
What is Long-Term Disability Insurance?
Long-term disability insurance picks up where short-term disability leaves off. Once the short-term benefits end, if an employee is still unable to work, long-term disability insurance begins to provide a portion of the employee’s salary. Depending on the policy, this coverage can last several years or even up to retirement.
Comparing Coverage Periods
The critical difference between short-term and long-term disability insurance lies in the coverage duration. Short-term disability is designed to cover immediate needs following an injury or illness. In contrast, long-term disability ensures prolonged financial stability when an employee faces an extended period of disability.
The ERB Advantage
ERB offers short-term and long-term disability insurance plans, allowing companies to provide comprehensive coverage to their employees. Our team of experts will work with you to understand your specific needs and create a tailored solution offering optimal employee protection.
How Does Disability Insurance Impact Employee Retention?
Employee retention is a crucial concern for businesses. A robust benefits package, including both short-term and long-term disability insurance, signals to employees their well-being matters to the company. This can enhance job satisfaction, foster loyalty, and ultimately boost employee retention rates.
Financial Considerations
Both short-term and long-term disability insurance plans involve cost considerations. Short-term disability insurance often has higher premiums due to the likelihood of a claim being made. However, long-term disability insurance, while usually less expensive in terms of premiums, can pay out benefits for an extended period, which can be costly for insurers. ERB offers flexible options to balance coverage and cost.
Starting Your Journey with ERB
Deciding between term and long-term disability insurance or even considering the possibility of offering both can seem like a challenge without a clear resolution.
Fear not— because with ERB by your side, you won’t have to face this decision.
Our dedicated team will walk you through each step of the process, ensuring you fully grasp the benefits and implications associated with each option.
We understand that your employees are your asset. This is why safeguarding their stability in the event of illness or injury is not just advantageous for them but vital for the overall health and well-being of your company. Get in touch with us today to start your insurance journey.
