(Adapted from and copied from material produced by blendable)
When setting up your group benefits, there are many things to think about. One of the options that I can speak with on your behalf is called Bendable.
Injuries and illness are part of life. This is why group benefits have a Short Term Disability insurance part. As with most insurance, you pay premiums even if it is never used.
Blendable as something called Wage Preserver
Let’s first talk about a typical STD plan:
For example, an organization has implemented an insured STD plan and pays monthly premiums of $50 for each of their 5 employees. Each employee is paid a salary of $50,000 per year, ⅔ of which is covered by their STD benefit.
➡️ 5 Employees x 12 Months x $50 Premiums = $3,000
➡️ $50,000 Salary / 52 Weeks * 66.67% Coverage = $641 Weekly Benefit
Let’s say an employee takes 2 weeks of disability leave. Their benefit would be $1,282. However, the organization had to pay $3,000 in premiums.
Our Wage Preserver is a fee-for-service claims program that pays a percentage of wages on behalf of the plan sponsor.
With Wage Preserver:
➡️ Claim Paid Out: $641 x 2= $1,282.
➡️ $1,282 x 18% Fee= $231
➡️ Total Cost = $1,513
Instead of paying $3,000 in premiums, the organization only paid $1,513; saving them $1,487!
What questions do you have?