Managing the financial aspects of recovery after surgery
What is Temporary Disability Insurance?
Temporary Disability Insurance (TDI) offered by an employer is a voluntary cash plan that pays a percentage of your full-time salary for a specified period after the first week you are unable to work. Typically, TDI coverage can last from three to six months, but benefits may vary depending on the insurance plan. Also, TDI pays a specific percentage of your salary, which means you will not receive 100% of your salary during recovery.
How to Obtain Temporary Disability for Surgery
Early Registration: It can be difficult to anticipate an injury or condition that may require surgery, so consider enrolling in a temporary disability plan before contemplating surgery. If you are already employed, consult with the HR department and find out about the possibility of enrolling. If the opportunity to join has passed, you may want to consider a private insurance company. If you are starting a new job, be sure to inquire about joining the temporary disability plan. If it is not offered, private coverage may be your only option.
After Confirming Your Coverage: Once your temporary disability coverage is confirmed and surgery is scheduled, notify your employer as soon as possible. This allows them to arrange client coverage during your planned absence. Provide the HR department with a note from your doctor indicating the estimated period you will need for recovery. Work with your manager to ensure that your leave has a smooth transition, as well as to arrange any post-surgery accommodations you may need. Check if your employer expects you to perform any work from home during recovery. During the surgery, ask a close friend or family member to inform the HR department of your condition. This will let them know if there is anything else they need to do (in case of complications arising from the surgery). The benefits administrator in HR should be able to advise you on when your paid leave ends and when the temporary disability period begins. They should also be able to tell you when the coverage period ends. HR staff may not be able to tell you exactly how much each check will be, but your disability benefits provider might be able to.
Managing Your Finances during Recovery: If you are informed at any time that you need to be out for an extended period due to health issues or doctor recommendations, be sure to notify your employer immediately. Your TDI benefits may not start right away. Some plans may not pay income until a specific time period has passed – called the elimination period. The elimination period can range from one week to two weeks. Additionally, you will only receive a portion of your income before surgery. For example, you may receive 40% to 60% of your salary during the recovery period. Therefore, it is important to plan your finances to ensure you have enough monthly income to cover your living expenses. Your spouse or partner may be eligible for financial assistance under the Family and Medical Leave Act (FMLA). This can help alleviate the financial burden if a family member leaves work to care for you during your recovery, so be sure to inform their employer about your surgery as well. If you need to rely on savings to cover expenses during this time, you can inform any creditors and utility companies and request a reduction or suspension of monthly payments for a few months. The most important aspect of this experience is to focus on your health and recovery so that you can return to work. Temporary disability payments will cease once you resume work, but they can be a good source of income and provide peace of mind during your recovery period.
Disability
Temporary vs Long-Term Disability
Short-term disability insurance (SDI) provides income during recovery from surgery or a temporary disability. However, SDI only pays a specified percentage of your income before the disability. Additionally, there is an expiration date for the benefit period, which usually does not exceed six months. However, employees should refer to their plan benefit package since payment and coverage duration can vary.
In contrast, long-term disability insurance typically provides financial assistance for a longer period due to a catastrophic illness or injury. Coverage can last for several years or the rest of your life, depending on the disability and the insurance policy. Also, long-term disability insurance does not begin until a specific waiting period, such as 90 days, has passed.
However, your temporary disability policy may cover the gap until your long-term disability benefits begin. Long-term disability insurance usually comes with higher premiums than SDI.
Frequently Asked Questions (FAQs)
Is surgery considered a disability? Yes. Surgery is considered a disability, and workers may qualify for temporary disability benefits if a medical professional determines that the worker can no longer perform their job.
What is the shortest duration for temporary disability? Coverage for short-term disability (SDI) can usually last between three to six months, but benefits can vary depending on the insurance policy.
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Source: https://www.thebalancemoney.com/how-to-get-short-term-disability-if-you-have-surgery-1177851
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