HEALTH/BENEFITS
Why Offering DI Can Transform An Employee Benefit Package COVID-19 led employers and their workers to have new priorities in their workplace benefits packages. By Scott Towers
E
mployers began rethinking their benefits packages after COVID-19 and related illnesses left many Americans too sick to work and loss of income became a reality for many workers. The pandemic threatened the financial security of these individuals and their families, leaving them uncertain how they would be able to afford the cost of living and medical expenses. Both employers and their workers realized just how valuable disability benefits are for protecting financial wellness. In fact, a recent Harvard Business Review survey found 98% of employers plan to expand or offer new benefits, including disability benefits, based on the priorities of their employees. Although the Integrated Benefits Institute reported employers and insurance carriers have paid nearly $11 billion in disability benefits related to COVID-19, employee access to disability insurance remains low. The U.S. Bureau of Labor Statistics reported that as of March 2020, only 40% of American workers had access to short-term disability through their employer and only 35% had access to long-term disability. In addition, the availability of these benefits greatly varied by wage group. Considering that about 33 million Americans are COVID-19 survivors, and more than one in four have developed some form of long-haul COVID-19, disability claims are expected to skyrocket in the coming months and years. Benefits brokers can help employers implement a comprehensive disability insurance plan and proactively relay the value of enrolling to all their workers. 46
Offering quality disability benefits helps employers better support workers’ overall well-being by protecting them against lost income if they become disabled due to long-term implications of COVID-19 or another illness or injury. It also can help employers attract and retain talent.
Expectations For Comprehensive Disability Benefits
As health and wellness became a focal point for many people following the events of 2020-21, workers now have higher expectations for their workplace benefits packages to better support their overall well-being. Randstand reported this year that nearly one in five workers changed jobs during the pandemic, and 30% of those who switched jobs did so for better benefits. These employees need to be aware of the preexisting condition limitation of disability benefits, which usually precludes coverage of disabilities resulting from preexisting illnesses that started anywhere from three to 24 months before the disability began. As more individuals continue to navigate the long-term impact of COVID-19 on the future of their health, both physical and mental, having access to disability benefits can give workers peace of mind by providing a source of income replacement to help cover living expenses and health care costs if they become unable to work due to a qualifying disability. Employers can also help control health care costs and make their disability benefits go the extra mile for workers by choosing a disability plan that integrates benefits with their medical plan. This improves the disability experience for workers by connecting them to care in simpler, more effective and more affordable ways. In addition to accelerating the disability claims process, an integrated plan gets benefit payouts to workers more quickly for qualifying disabilities. Integrated disability benefits ensure
InsuranceNewsNet Magazine » November 2021
workers receive more personalized guidance and comprehensive care by allowing meaningful connections with both disability claims managers and health coaches. The close collaboration between case managers and care management teams ensures a worker who experiences a qualifying disabling illness or injury receives the right care, at the right time, and that all benefit programs included in the plans are connected for a truly transformative impact. This collaborative expertise offers a faster, more reliable way to identify and manage chronic conditions that could lead to a qualifying disability, especially as it relates to the COVID-19 long-haulers or those with chronic conditions that were made more serious by COVID-19. The care coordination offered through integrated disability benefits can help workers proactively monitor and manage their chronic health conditions at all stages and moments of their unique personal health journey, enabling them to resume their regular daily life sooner and go back to work as safely and quickly as possible.
Supporting Total Person Care
Beyond protecting workers’ financial security, comprehensive group disability insurance can also support their behavioral and mental health through valueadded benefits that can be used without a claim, including counseling services, financial consultations and legal services. These value-added benefits can make a huge difference for employees, especially considering the Kaiser Family Foundation reported 47% of adults are experiencing mental health issues as a result of the pandemic. As part of these additional benefits, employees can connect with licensed mental health counselors via phone or video chat or in person to help them cope with the long-term mental health impact of the pandemic and any ongoing stressors in their work or
