VOLUNTARY LONG TERM DISABILITY
National Aviation Academy offers you the option to purchase long term disability (LTD) insurance. LTD is insurance for your paycheck should you become disabled due to an off the job injury or illness for a period of time. You may elect 1 of the 2 LTD plan options to shown below.
WHEN WOULD THE BENEFIT START?
Base & High Plan Options: Benefits would begin on the 90 th day from injury or illness.
HOW MUCH WOULD THE BENEFIT PAY?
Base & High Plan Options: The benefit would pay 60% of your monthly pre-disability earnings to a maximum of $3,000.00 per month.
HOW LONG WILL THE BENEFIT PAY?
Base LTD Plan Option: If you become disabled prior to age 68, benefits are payable for 2 years. At age 68, benefits are payable to age 70. At age 69 (and older), benefits are payable for one year.
High LTD Plan Option: If you become disabled prior to age 62, benefits are payable to age 65, your Social Security Normal Retirement Age or 3.5 years, whichever is longest.
PRE-EXISITING CONDITIONS ARE EXCLUDED. If you had a pre-existing condition within the 3 months prior to coverage becoming effective, you would not be eligible to claim for any disability resulting from that condition if the disability occurs within 12 months of the start of coverage.
VOLUNTARY LONG TERM DISABILITY COST
Rates are based on your age. Find your age band in the chart below and the rate for the plan option desired. Use the calculation table to calculate your cost for coverage per paycheck (semi monthly).
Rates per $100 of monthly payroll
Calculation Table
Age bands
High LTD
Base LTD
Steps
Annual salary / 12 = Monthly payroll
0-24
$0.08
$0.13
1
$
25-29
$0.12
$0.16
2
Take amount in Step 1 / $100
$
30-34
$0.14
$0.20
35-39
$0.17
$0.28
Take the amount calculated in Step 2 and multiply it by your rate
3
$
40-44
$0.25
$0.43
The amount in Step 3 divided by 2 will provide you with your cost for coverage per paycheck.
4
$
45-49
$0.35
$0.72
50-54
$0.50
$1.03
55-59
$0.60
$1.17
60+
$0.60
$0.80
12
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