Beginning in 2021, employers may provide important financial protection to ministers and employees with two new disability plans. Here’s what employers need to know about these plans when selecting benefits for 2021.
When employers log on to Benefits Connect to complete their 2021 Employer Agreement, two new financial protection programs — the Temporary Disability Plan and the Long-Term Disability Plan — will be available. Here is some important information about these new options.
The Temporary Disability Plan provides employees with the financial protection of a partial income if they are unable to work because of illness or injury. Temporary disability benefits are generally available for up to 90 days from the date of the disability (after a 14-day waiting period).
The Temporary Disability Plan is automatically included in Pastor’s Participation and Minister’s Choice, and employers pay the full cost. Otherwise, the Temporary Disability Plan may be offered or provided to employees regularly scheduled to work 20 or more hours, and either the employer or the employee pays the full cost of coverage.
The Temporary Disability Plan will automatically be selected for those enrolled in Pastor’s Participation or Minister’s Choice in the 2021 Employer Agreement on Benefits Connect.
The Temporary Disability Plan will appear as an option in the Employer Agreement for employees who are otherwise regularly scheduled to work 20 or more hours weekly.
Any benefits an employee receives from the Temporary Disability Plan will be reduced by benefits received from another source, such as workers’ compensation benefits, sick pay, or state-mandated disability payments. The disability toolkit offers additional information and resources.
While both plans include coverage for disabilities lasting longer than 90 days, here are some key differences:
Employers may offer the Long-Term Disability Plan to employees who normally work at least 20 hours weekly and who are not enrolled in the Death and Disability Plan.
The Board of Pensions is here to help. If you have questions or need assistance, call us at 800-773-7752 (800-PRESPLAN) Monday through Friday, 8:30 a.m. to 7 p.m. ET.