Income protection for Business Managers and Staff

of IBEW Locals

Facts that May Surprise You

The odds of disability are about twice that of death.
Prior to age 65, for periods of disability lasting 90+ days
National Association of Insurance Commissioners (NAIC) Individual Disability Table A (1985); Statistical Abstract of the United States
Families depend on income like oxygen for their livelihoods and personal dignity.   And for most people, their largest asset is their future earnings.

When a person is unfit to work for health reasons, no employer can continue to pay them indefinitely.  Financially, the Local needs to get them off the payroll but doing this is hard because compassion, employee relations, and legal risk all favor doing whatever the employee wants.  By transferring payroll obligations to an insurer, employees have choices without being a payroll cost.

Eligibility

25 Hours

Eligible classes include Business Representatives and Staff working 25+ hours per week.

 

Guaranteed Issue

As a true group offering, no medical underwriting or employee action is required. 

 

 

Portability

Life insurance may be converted to an individual policy.

Disability coverage is not portable, however an add-on program is available to provide that.

Benefits

66.6%

LTD benefit

$100,000

Life Insurance 

Own-Occupation

for the full Benefit Period

66.6% Benefit

Full Own-Occupation Definition of Disability

The Group Life & Disability program for IBEW Locals has a 66.6% benefit, among the highest available anywhere.  The benefit is subject to formulaic adjustments and offsets, typical of any LTD plan.  Benefits begin after 90 days and the maximum Benefit Period is Social Security Normal Retirement Age, with some extension for older age workers.

The definition of disability is “Own Occupation” for the full Benefit Period, meaning it doesn’t matter if a worker can do something else as long as they are disabled from their own occupation. 

 

That the definition of disability does not change part way through a claim is what makes the program unique.

$100,000 Life Insurance

A flat $100,000 of life insurance is provided to each member. An additional $100,000 is provided through the Accidental Death & Dismemberment (AD&D) benefit.

The Cost

The current monthly cost is .71% of payroll plus $38.60 per head.

 

Example


A worker earning $5,000 per month would cost:


$5,000 x .71% = $35.50
+ flat amount $38.60
Total monthly cost: $74.10

 

Premiums are a business expense and not included in employee taxable income.

At this point there is no stated minimum number of lives a Local must have in order to join.   

 

This is a true group offering.  As such, everyone within a respective Local (that works 25+ hours per week) must be covered for life and disability as a package.  If you prefer a more flexible approach (e.g., unbundled, voluntary, or employee paid) and are willing to forgo the IBEW special deal for underwriting and benefits, please inquire.

Each Local is billed separately and can control its own volume and edit billing online.

Insured By Principal

The program is provided by Principal, an insurer based in Des Moines, Iowa.
 

Principal’s financial ratings:
AM Best: A+
Standard & Poor’s: A+
Moody’s: A1
Fitch: AAComdex
Rank: 90

How to Get Started

Get Started

(below)

Get Started

To get started, please provide an employee census.  A census provides earnings volume and demographic information to cover the respective employees and bill the Local for the reported volume.

Disability Underwriters

1420 5th Avenue   Suite 2200

Seattle, WA     98101

(206) 673 2219