Disability Insurance, an Important Safety Net
Help protect your income with Disability Insurance, CTA has endorsed a plan and makes it easy for you to sign-up.
Many people experience a disability at some point in their career, what would happen if you were unable to work due to illness, injury, pregnancy or childbirth?
Disability Insurance can help. It pays a benefit directly to you if you are unable to work due to an illness, injury, pregnancy or childbirth. You can also use it to cover expenses that medical insurance doesn’t cover like groceries, rent/mortgage, utilities, student loans, car payment or other everyday bills.
CTA has endorsed a plan for educators, here’s how it works
First, there is what’s called a Benefit Waiting Period, this is 7 regular days of required attendance. There are no benefits paid during this period unless you are a registered, in-bed patient at a hospital* at which point you may receive a $35 per calendar day benefit (60-day maximum per disability). Members typically use Sick Leave during this time.
After 7 days
While using your sick leave, the Standard pays $25 per regular day of required attendance on top of fully paid sick leave.
During Substitute Differential or Similar Pay following sick leave
You’ll receive up to 80%** of your regular daily salary, minus the amount the district pays you and any other sources of deductible income*** you may have. The minimum benefit during this period is up to 25% of your regular daily salary (so long as your total income doesn’t exceed 100% of your regular daily pay) or $30, whichever is greater.
After Substitute Differential or Similar Pay End
You’ll receive up to 80%** of your regular daily salary, less any sources of deductible income***, while you continue to be disabled. The minimum benefit during this period is $30/day.
After the Second Benefit Year
Participants with fewer than 5 years of service with CalSTRS or CalPERS may receive up to 50% of their regular monthly contract salary, reduced by deductible income.*** Minimum benefit of $500 per calendar month for which disability benefits are payable.
Other key features
- Covers disabilities that occur on or off the job.
- Covers extra duty pay such as coaching and tutoring for the first two benefit years.
- Pays $35 per day in addition to any other benefit payable when you are a registered, in-bed patient at a hospital (60-day maximum per disability) with no benefit waiting period.
- No premiums are required while disability benefits are payable.
What are the risks if I don’t have disability insurance?
The single greatest risk at stake is your ability to work and earn an income. Without your earning potential, it may be difficult not only to pay for your daily expenses, but larger expenses such as your credit cards, car, and home.
You may not qualify to receive Social Security if you become disabled, and it takes a long time for the benefits to start. To learn more about Social Security benefits, visit www.ssa.gov.
Additional Benefits at No Extra Cost
With CTA-endorsed Disability Insurance, you may qualify for additional benefits on top of any other disability benefits:
- Student Loan Benefit: Active CTA members approved for a disability claim with an active Student Loan may be eligible for an additional benefit of up to $400/month (maximum of $2,400, not to exceed the balance of the student loan) to approved claimants with an active student loan.
- Cancer Benefit: Active CTA members approved for a disability claim due to cancer may be eligible for an additional benefit of up to $400/month (maximum of $2,400) for an approved disability claim due to cancer.****
- NEW Summer Benefit: $500 per week (maximum of $4,500) during the months of June and July for eligible members who become or continue to be Disabled with a Disability date on or after September 1, 2022.*****
Opportunities to Apply:
The plan is offered through Standard Insurance. You can apply for disability coverage at any time. Generally, coverage requires proof of good health and is subject to approval by The Standard. However, there are special enrollment opportunities available, including if you:
Apply during the first 270 days of new employment or transferring employment to a new district.
Apply within 60 days of a family status change – this includes birth, adoption, marriage, domestic partnership, divorce or other qualifying events.
Visit www.CTAMemberBenefits.org/TheStandard to learn more and apply.
*For the first two benefit years only. Note, the definition of hospital does not include nursing homes, convalescent homes or extended care facilities.
**For disabilities occurring prior to September 1, 2022, you will receive up to 75% of your regular daily contract salary, less any sources of deductible income, while you continue to be disabled. For disabilities occurring on or after September 1, 2022, you will receive up to 80% of your regular daily contract salary, less any sources of deductible income, while you continue to be disabled.
***Examples of Deductible Income (see your Certificate Of Insurance for a full listing and exceptions): Substitute Differential Pay, Personal Leave Pay, Severance Pay, Salary Continuation, Workers’ Compensation, Work Earnings, Social Security, State Disability, PERS/STRS Benefits.
****Effective September 1, 2022. For disabilities occurring prior to September 1, 2022, Cancer Benefit is up to $200/month (maximum of $1,000).
*****Summer Benefit is offered by CTA to eligible members who meet the Definition of Disability with a Disability date on or after 9/1/2022 who meet additional specific criteria. Summer Benefit is only payable during the calendar months of June and July, for up to two Benefit Years for each instance of qualifying Disability. Summer Benefit is not provided under the Voluntary Disability insurance policy. CTA provides this benefit at no extra cost and The Standard acts only as the claims administrator of this benefit.
For costs and details of coverage, including exclusions, benefit waiting periods, any reductions or limitations and the terms under which the policy may be continued in force, please contact Standard Insurance Company's dedicated CTA Customer Service Department at 800.522.0406, from 7:00 a.m. to 6:00 p.m. Pacific Standard Time.