Long-Term Disability
Scope
All financial and administrative policies involving community members across campus, including volunteers are within the scope of this policy. If there is a variance between departmental expectations and the common approach described through college policy, the college will look to the campus community, including volunteers to support the spirit and the objectives of college policy. Unless specifically mentioned in a college policy, the college’s Board of Trustees are governed by their Bylaws.
Policy
This policy applies to eligible Colorado College faculty and staff who participate in the college's Long-Term Disability (LTD) insurance plan.
Colorado College provides Long-Term Disability (LTD) insurance to eligible employees through the college's group disability insurance plan. The LTD plan is intended to provide partial income replacement when an eligible employee experiences a qualifying disability that prevents them from performing the essential duties of their position.
Participation in the LTD plan is mandatory for eligible employees who satisfy the plan's eligibility waiting period. Employees pay the full cost of LTD coverage through payroll deductions.
Benefits are governed by the terms, conditions, exclusions, and limitations contained in the applicable insurance certificate and plan documents. In the event of any inconsistency between this policy and the insurance contract, the insurance contract shall control. Human Resources can provide information regarding current plan provisions and eligibility requirements.
Eligibility
Employees who are regularly scheduled to work at least 20 hours per week become eligible to participate in the LTD plan upon satisfying the plan's eligibility waiting period. Under the current plan, the eligibility waiting period is 12 months. Participation in the LTD plan is required for eligible employees, and premiums are paid entirely by the employee through payroll deduction.
Coverage begins in accordance with the terms of the insurance contract and applicable enrollment procedures. Eligibility and coverage are subject to the provisions of the LTD insurance certificate and plan documents.
LTD Benefits
Eligible employees who are approved for LTD benefits by the insurance carrier may receive a monthly disability benefit as provided under the applicable insurance certificate.
Under the benefit current plan, the monthly LTD benefit equals 60% of covered monthly earnings, subject to a maximum monthly benefit of $10,250 and applicable offsets, exclusions, and limitations. Benefits are payable only after approval by the insurance carrier and completion of the required elimination period. The insurance carrier determines eligibility for benefits, benefit amounts, and benefit duration in accordance with the terms of the plan.
The current plan also includes cost-of-living adjustments, survivor benefits, retro disability benefits, and waiver of premium provisions as described in the insurance certificate.
Waiting Period
LTD benefits become payable after completion of the plan's elimination period and approval by the insurance carrier.
Under the current plan, the elimination period is 180 days of disability. LTD benefits do not begin until the elimination period has been satisfied and all required claim documentation has been provided.
Employees may be eligible for other paid or unpaid leave benefits during the elimination period, including accrued leave, Colorado FAMLI benefits, or other approved leave programs. Human Resources will assist employees in coordinating available benefits where applicable.
Academic-Year Appointments
Employees on academic-year appointments may have work schedules that differ from employees who work a twelve-month schedule. Human Resources will coordinate the application of available leave benefits and determine how those benefits interact with the LTD elimination period based on the employee's appointment and work schedule.
Coordination with Other Benefits
Employees may qualify for benefits under Colorado's Family and Medical Leave Insurance (FAMLI) program and the college's LTD plan at different times during an extended absence. Benefits received under Colorado FAMLI, Social Security Disability Insurance, Workers' Compensation, retirement or disability plans, paid leave programs, or other sources may affect LTD benefit calculations as provided in the insurance contract.
Employees should consult Human Resources regarding the coordination of available leave and disability benefits.
Employment Status and Benefits During LTD
Approval of Long-Term Disability (LTD) benefits by the insurance carrier constitutes the end of active employment with Colorado College. An employee's employment will be terminated effective the date LTD benefits become payable under the plan. The insurance carrier is solely responsible for determining eligibility for LTD benefits. Employees who are at least age 65 by July 1st (beginning of the plan year) may opt out of the LTD benefit at Open Enrollment. If an employee opts out of LTD, they will not be able to re-enroll at a later date. Conversion to Long-term disability requires an application to The Standard Insurance Company. The Standard determines disability for purposes of the LTD plan.
Upon termination of employment, eligibility for college-sponsored employee benefits will end in accordance with the terms of the applicable benefit plans and policies.
Employees approved for LTD benefits may be eligible for COBRA continuation coverage, retiree benefits, conversion rights, portability options, or other continuation provisions, depending on the benefit plan and individual circumstances. Human Resources will provide information regarding available benefit continuation options.
Employees who subsequently recover from a disability and wish to return to employment with Colorado College must apply for available positions through the college's normal recruitment and hiring process. Reemployment is not guaranteed.
Claims Administration
Employees who anticipate needing LTD benefits coverage should contact Human Resources as soon as possible.
Claims for LTD benefits must be submitted with the insurance carrier's required forms and supporting documentation. The insurance carrier is solely responsible for determining disability, interpreting plan provisions, approving or denying claims, and administering LTD benefits. Human Resources is available to assist employees throughout the claims process.
Procedures
- Notify Human Resources (hr@coloradocollege.edu) as soon as a medical condition may result in an extended absence from work
- Work with Human Resources to evaluate available leave options and benefit programs.
- Complete and submit all required LTD claim forms and supporting documentation to the insurance carrier.
- Provide any documentation requested by the insurance carrier during claim review or continuing disability evaluations.
- Maintain communication with Human Resources regarding leave status, return-to-work planning, and benefit continuation.
Definitions
Active Employment
The status of an employee who is actively performing the duties of their position and meeting the eligibility requirements of the college's Long-Term Disability (LTD) insurance plan, as defined by the insurance carrier.
Covered Monthly Earnings
The portion of an employee's earnings used by the insurance carrier to calculate LTD benefits, as defined in the applicable insurance certificate and plan documents.
Disability
A medically documented illness, injury, pregnancy, or physical or mental condition that meets the definition of disability under the applicable LTD insurance certificate. The insurance carrier determines whether an employee satisfies the plan's definition of disability.
Eligibility Waiting Period
The period of employment that an employee must complete before becoming eligible to participate in the college's LTD insurance plan.
Elimination Period
The period of continuous disability that must be completed before LTD benefits become payable, provided all other plan requirements have been met.
Long-Term Disability (LTD)
An insurance benefit intended to provide partial income replacement to eligible employees who experience a qualifying disability that prevents them from performing the essential duties of their occupation, subject to the terms of the insurance contract.
Offsets
Reductions to LTD benefits resulting from income received from other eligible sources, such as Social Security Disability Insurance (SSDI), Workers' Compensation, Colorado Family and Medical Leave Insurance (FAMLI), retirement or disability benefits, or other income as specified in the insurance certificate.
Plan Documents
The official insurance policy, certificate of coverage, summary of benefits, amendments, riders, and other governing documents issued by the insurance carrier that establish eligibility, benefits, exclusions, limitations, and claims procedures. In the event of any conflict between this policy and the plan documents, the plan documents control.
Qualifying Disability
A disability that meets all eligibility requirements and definitions established under the applicable LTD insurance contract and is approved by the insurance carrier.