Texas short-term disability benefits provide working families peace of mind for growing families in the Lone Star State. TX state programs cover longer interruptions only. Most employers do not provide paid leave.
Where do you turn to protect family finances? Find some answers below.
Find out how short-term disability insurance in Texas works for maternity leave, and other medical events that may prevent you from working.
- Calculating benefit amounts
- How to apply
- Texas disability laws
Applying for Short-Term Disability
Applying for short-term disability benefits requires that you complete a claim form. Both your doctor and employer will need to provide information and sign the form. The doctor certifies the medical reason you are unable to work. Your employer certifies that you are no longer working and earning an income. Return the claim form to the company that sold your policy.
Applying for coverage requires you to complete a policy application form. When applying for a policy, you elect a monthly benefit amount based upon your gross earnings, and an elimination period. Most women elect the shortest elimination period offered: either one or two weeks. The monthly benefit amount is either ⅔ of your gross income or $5,000 whichever is less. The cash payments can be tax-free, so you may be restoring close to 100% of your gross income after factoring in your elimination period.
TX Short-Term Disability Benefits
Texas does not have a state-based program in place. Individual short-term disability policies in TX can protect your income in case of future accidents and illnesses that may cause you to miss work. Many growing families rely on two incomes to cover housing costs, transportation, food, clothing, and other living expenses.
Many couples stretch their finances when everyone is healthy. These costs often escalate when a family member needs medical care: extra doctor bills, copayments, deductibles, child care, and more. When one income goes away, the family can really struggle. Growing families add to this financial pressure when they begin having children.
An injury or sickness can cause weeks or months of lost income. Are you prepared financially to weather the storm? Do you have months of savings tucked away for such an emergency? Many growing families do not.
Calculating Benefit Amounts
Most people do not need a short-term disability calculator in Texas to determine benefits amounts. The math is very simple. The maximum monthly benefit amount is two thirds of your monthly income or $6,500 whichever is less. The monthly benefit amount is determined at time of application for a policy.
Payments begin after satisfying an elimination period, which range from zero days for accidents to ninety days for accidents and illnesses. The elimination period is also determined at time of policy application.
Payments continue for as long as you remain continuously disabled up to the policy benefit duration. The benefit duration can be as short as three month, or as long as twenty-four months. The benefit duration is also determined at time of application.
Get a short-term disability quote to see how monthly premiums vary based upon your choice of monthly benefit amount, elimination period, and payment duration. Rates also vary by industry of employer.
Short-Term Disability for Maternity Leave
Short-term disability for maternity leave is an ideal purchase for any working woman in Texas planning to start a family – or add a new family member. When your coverage begins before conception, a policy may replace a portion of your earnings while on your leave to recover from normal childbirth. Cash payments are made directly to you for a normal pregnancy, labor, and delivery.
A vaginal birth pays a six-week benefit, and a cesarean delivery pays for eight weeks. A policy with a one-week elimination period would net out five and seven weeks of net payments, respectively. These payments are often several multiples of what you might pay in premiums in advance of your delivery.
Start Prior to Conception
Get your policy started several months before you think you might conceive. There is a nine-month exclusion for normal childbirth. Not every pregnancy goes full term. It is possible for a normal delivery to fall inside the exclusion period, even if the policy starts after conception.
If you deliver inside the exclusion period, benefits may be paid if you can document when conception occurred, and that your pregnancy was abnormal in some way: was delivered prematurely.
Policies covering normal childbirth provide income replacement for a planned event. While a great deal for families, the companies marketing the policies only make them available as a short-term disability employee benefit. Premiums are employee funded making it easy for employers to accommodate.
Pregnancy Bed Rest
Texas short-term disability insurance also covers complications of pregnancy that may require bed rest. Many women work in occupations where being pregnant makes it difficult to perform the primary duties of their full-time occupation. A medical reason needs to be certified by a doctor.
Coverage must begin prior to conception to be covered for pregnancy related complications. Pregnancy is considered a preexisting condition.
One-quarter of women encounter some type of medical complication during pregnancy. Postpartum disorders may delay your return to work beyond the standard time frame for normal childbirth. Both scenarios translate into unplanned time away from work, and unbudgeted lost income. In both events, your policy may continue making cash payments directly to you.
Texas Short-Term Disability Laws
Texas does not have state short-term disability insurance. Employers are not required to offer a plan, and employees are not automatically enrolled in any program.
If you are unable to work because of a permanent medical condition, you should contact the TX Office of Disability Determination Services. Payments are made for permanent disabling conditions only. Pregnancy is almost never a fit, as your condition is considered temporary. Social Security program rules assume that working families have access to other resources to provide support during periods of temporary disruptions in wages.
Worker’s compensation is another mandated program. It covers medical treatments and redresses income losses for on the job accidents and illnesses only. It does not address your exposure to any injury or sickness that occurs while away from work.
Health Insurance While Disabled
Access to affordable health insurance is critical during any period of disability. You need to be under the care of a licensed physician. Paying the premiums may be very difficult with a limited income. There are three related regulations that may affect your access to affordable care.
Texas family leave laws provide employees with rights to continue their health insurance on the same basis as when they were employed. However, not every resident has this protection. Some may lose their coverage.
A loss of coverage is a qualifying health event. You may be able to purchase individual health insurance in Texas, and qualify for premium and cost sharing subsidies. The subsidies are calculated by income. Income is always lower when disabled.
The Texas IVF mandate requires insurers to offer a program covering this expensive artificial reproductive technique. These policies are often more expensive. Switching plans is a smart cost-saving measure.
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