TEACHERS AID
WHAT YOU NEED TO KNOW ABOUT YOUR LONG-TERM DISABILITY COVERAGE Long-term disability (LTD) insurance, which protects your earning ability if you are unable to work because of injury or illness, is one of the most valuable group benefits you have. Your OECTA group benefits plan is customized to provide the disability coverage you need, as cost-effectively as possible. As a member, you are automatically enrolled in the OECTA provincial LTD plan. Like most insurance, your LTD coverage is likely not something you think about until it is needed. However, there are a few things you need to be aware of: You have the option to discontinue your coverage while on a leave of absence
While on leave of absence, you have two options: • Maintain your LTD coverage by continuing to pay your premiums. • Discontinue your LTD coverage by ceasing your premium payments. When you return to work your coverage will be reinstalled and you will be subject to a pre-existing condition clause.
If you find yourself in scenario (i) or (ii), there is no reason to continue to pay into the LTD plan, as you are no longer eligible to receive LTD benefits. The onus is on YOU to communicate the termination of your payments to OTIP through your local unit office. If you did not realize your payments have continued after your eligibility has ceased, contact your local unit office immediately. MAINTAINING YOUR COVERAGE
If you choose to maintain your LTD coverage and you become disabled while on leave, you are eligible to apply for LTD benefits. There will be no break in your coverage and you will not be subject to a pre-existing condition clause upon your return to work.
DISCONTINUING YOUR COVERAGE
If you become disabled while on leave, you will not be eligible for LTD benefits. Upon your return to work, your coverage will be reinstated and you will be subject to a pre-existing condition clause if you become disabled within 12 months from the date of reinstatement. What is a pre-existing condition? This is a disability arising from illness or injury for which you obtained medical care during the 90-day period before you become re-insured.
When your LTD coverage terminates
There are three scenarios in which your LTD coverage can or should be terminated.
i. If you are eligible for a 60 per cent unreduced service pension – or will be within the later of either: the next 110 working days, or the expiration of your sick leave credits – you are NO LONGER eligible for LTD coverage and you should terminate your premium payments. Note: to qualify for a 60 per cent unreduced pension, you must meet the above criteria with 30 years of credited service and have your “85 factor” (age + qualifying service = 85). ii. If you have reached the end of the month in which you turned 65, or you will reach the end of the month in which you will turn 65 within the latter of either: the next 110 working days, or the expiration of your sick leave credits, you are NO LONGER eligible for LTD coverage and should terminate your premium payments.
iii. If your retirement date is within the next 110 working days, and you have notified both the Ontario Teachers’ Pension Plan and your school board, you MAY terminate your LTD coverage at this time (and cancel your premium payments). You can also choose to continue your LTD coverage until the date of your retirement, in which case you will be eligible to make a claim if you become disabled prior to this date.
28 CATHOLIC TEACHER | JUNE 2020
Highlights of your LTD Plan Coverage/ Changes effective March 1, 2018
• Participation is mandatory for all members hired after September 1, 2013 • The waiting period to receive LTD benefits is the later of 110 working days or expiration of sick leave • Your benefit level is 50 per cent of gross monthly earnings • Your benefit is not taxable • Your benefit will receive a cost of living increase based on the Consumer Price Index to a maximum of 2 per cent starting in January after two years on LTD • Your LTD includes access to OTIP’s CAREpath and Feeling Better Now programs • If your date of disability is prior to March 1, 2018 these changes do not apply to you For more information on your LTD benefits and forms, visit the Benefits and Leave Provisions section in the Members’ Area at catholicteachers.ca
