Long Term Disability (LTD) insurance is provided to employees who participate in the State Universities Retirement System (SURS). Additionally, employees who participate in SURS and who are eligible to receive state health benefits may also apply for supplemental University LTD insurance through The Prudential Insurance Company of America (Prudential).
SURS Disability Benefit
If you participate in one of the SURS plans (Traditional, Portable, or SMP), you may be eligible for a disability benefit if you become unable to perform the duties of your position. Disability benefits are available:
- After two (2) years of SURS service credit, if you are sick or injured.
- With no minimum SURS service credit, if due to an accident.
Your dependents are not eligible for coverage.
Premiums for the SURS disability benefit are paid entirely by the state.
When disability benefits are approved by SURS, the benefit will begin after a 60 day waiting period, if all sick leave has been used. You will receive the greater of the following, until certain limits are reached:
- 50% of your basic compensation on the day you became disabled, or
- 50% of your average earnings for the 24 months prior to the date you became disabled.
Please see the SURS Disability Benefit page for a detailed explanation of SURS disability benefits, or call SURS.
University LTD Insurance
Enroll or Terminate University LTD Coverage
Note: Enrollment is guaranteed only within your first 60 days of active employment or during an open enrollment period. Requests for coverage at any other time is not guaranteed and you will be required to complete a Statement of Health for Prudential to review.
To participate in University LTD Insurance through Prudential, you must be a SURS participant, and have a full-time appointment of at least 50% or a temporary appointment of 50% or more for at least nine months.
Note: You must be actively at work on the effective date of your coverage. Otherwise, your coverage becomes effective the day you return to work at your normal schedule.
The premiums for the University LTD plan are calculated using your age and salary, and you pay the full cost of this plan through payroll deduction. For rates and estimated premiums, see the plan brochure or use the LTD Premium Calculator (requires login). All changes of premium due to age and/or salary level will occur annually in December. The premium includes 93% for the cost of the plan, 5% for Prudential’s administrative costs, and 2% for the University’s administrative costs.
Please see the Prudential Voluntary Supplemental LTD Plan Brochure or Prudential Long Term Disability Insurance Certificate for detailed information.
The University LTD insurance plan through Prudential is a supplement to the SURS disability benefit. Enrolling in the University LTD insurance plan will provide coverage during your first two years, as well as enhanced coverage beyond the SURS benefit alone (after two years) if you become unable to work due to sickness or injury.
Eligible employees are guaranteed coverage in the plan if you enroll within the first 60 days of active employment. After the first 60 days of active employment, you may apply for coverage by providing evidence of good health satisfactory to Prudential. Monthly premiums are based on your age. See the brochure or the certificate for premium and monthly benefit amount information.
Coverage effective date:
- If you enroll within 60 days of active employment, working at least 18.75 hours per week, coverage is effective the first day of the month following the date you apply for coverage.
- If you enroll after the first 60 days of active employment, working at least 18.75 hours per week, evidence of good health is required and coverage begins the first day of the month following the date Prudential approves your application.
A preexisting condition limitation is applicable for the first two years of coverage. See the LTD insurance certificate for details.
Your LTD benefit becomes payable after you have been approved for coverage and continuously disabled through the elimination period, which is the greater of 90 days or the exhaustion of accumulated sick leave following accidental injury, sickness, or pregnancy. Prudential will treat your disability as continuous if your disability stops for 30 days or less during the elimination period. The days that you are not disabled will not count toward your elimination period.
Benefits are offset by any other benefits received, including those from SURS. Your maximum monthly benefit is 66 2/3% of monthly base pre-disability earnings, up to a maximum monthly benefit of $12,000. Benefits may be adjusted based on the following:
- When you are receiving a SURS disability benefit, this plan will pay 16 2/3% so that your total benefit remains 66 2/3%.
- This plan will pay an additional 10% (up to $1,000) monthly if your disability is caused by a covered critical illness.
- This plan will pay an additional 20% (up to the $12,000 maximum) monthly if you experience a catastrophic disability – the loss of ability to perform two activities of daily living or have severe cognitive impairment that requires substantial supervision.
If you are on a temporary layoff or leave of absence, and if you pay your premium, then you can remain covered to the end of 12 months following the month in which your temporary layoff or leave of absence began.
Details about the University LTD plan may be found in the Prudential Voluntary Supplemental LTD Plan Brochure or Prudential Long Term Disability Insurance Certificate.
Frequently Asked Questions
SURS Disability Benefit
University Supplemental LTD Insurance (Prudential)