Our company just started offering long-term disability insurance, fully covered by us, so employees don’t pay in. The provider said if we decide to stop offering it, anyone on long-term disability would lose their benefits. Are we at risk of liability if we stop coverage? Thinking about having employees sign something that says benefits could change. Anyone else done this?
Sounds tricky. Does your provider’s policy make it clear that benefits stop if you cancel? Could be worth double-checking.
Phoenix said:
Sounds tricky. Does your provider’s policy make it clear that benefits stop if you cancel? Could be worth double-checking.
Right? A signed statement from employees might help cover things, especially if they know changes could happen.
@Han
True, we just want to be upfront about everything. I’ll bring this up in our next meeting.
It’s weird they’d lose benefits if they’re already on disability. You’d think the policy would cover them regardless.
Clove said:
It’s weird they’d lose benefits if they’re already on disability. You’d think the policy would cover them regardless.
Yeah, you’d think so! But if it’s in the policy that benefits stop, a signed form might be a good backup.
@kora
Totally, that way no one’s surprised if changes do come up.
Probably best to get employees to sign something acknowledging that benefits aren’t permanent. Just keeps things clear.
Kingsley said:
Probably best to get employees to sign something acknowledging that benefits aren’t permanent. Just keeps things clear.
Yep, that way everyone’s aware that the plan could change and isn’t guaranteed forever.
@Mason
Exactly. A little transparency goes a long way.
Good idea to check with a lawyer on this too. They can help make sure any waiver or statement is worded correctly.
Gale said:
Good idea to check with a lawyer on this too. They can help make sure any waiver or statement is worded correctly.
For sure, we have an attorney meeting scheduled, so I’ll definitely bring this up!
Nice of your company to offer this benefit. A signed statement just makes sure there’s no confusion if things change.
Sun said:
Nice of your company to offer this benefit. A signed statement just makes sure there’s no confusion if things change.
Exactly, just want to be as clear as possible so there aren’t issues later.