Our company recently added long-term disability insurance for employees, fully company-paid, so they don’t contribute. Now we’re wondering if we’d be liable if we decided to stop offering it in the future. The provider mentioned that employees on long-term disability would lose benefits if we discontinued coverage. Is it a good idea to have employees sign something that says benefits can change and might stop if we end the plan?
Interesting question! It sounds like your provider’s saying they won’t pay out if you cancel the coverage. Not sure if it’s common.
Keenan said:
Interesting question! It sounds like your provider’s saying they won’t pay out if you cancel the coverage. Not sure if it’s common.
Yeah, that’s what it sounds like. Probably a good move to get employees to sign something just in case.
@Baylor
Exactly! Just trying to make sure we cover all our bases if we ever decide to make a change.
You’d think a long-term policy would protect employees even if coverage stops. Kinda strange that they’d lose benefits!
Scout said:
You’d think a long-term policy would protect employees even if coverage stops. Kinda strange that they’d lose benefits!
That’s what I was thinking too. I guess it depends on the policy terms? Might be a good idea to clarify it with the provider.
@Tatum
Yep, definitely worth getting clear info from the provider so everyone’s on the same page.
I’d say having a signed statement is smart. It’s just a way to let employees know things could change if needed.
Cory said:
I’d say having a signed statement is smart. It’s just a way to let employees know things could change if needed.
Yeah, better safe than sorry. At least they’ll know upfront that benefits aren’t set in stone.
@Drew
Exactly. No surprises if they know that changes could happen down the line.
Can’t hurt to consult an attorney too. They could help word the statement so there’s no room for confusion.
Bran said:
Can’t hurt to consult an attorney too. They could help word the statement so there’s no room for confusion.
That’s a good idea! We do have a meeting lined up, so I’ll bring that up. Thanks!
It’s great that your company’s offering LTD, but if you do make changes, transparency is key. A signed form helps everyone understand what to expect.
River said:
It’s great that your company’s offering LTD, but if you do make changes, transparency is key. A signed form helps everyone understand what to expect.
Definitely agree. Just want to make sure everyone’s aware of potential changes. Thanks for the input!