Issue: Long Term Disability coverage usually pays 60-80% of wage income and only until an individual turns 65. There is no protection at 65 and LTD does not account for the fact that the individual has lost the ability to accumulate wealth over their working life. Generally, it is the highly compensated employees, the most important to attract and retain, that are most significantly affected by this gap.

Comprehensive Disability Protection covers the following items that the employee or employer would have made had the disability not occurred.

• 401k contributions
• profit sharing
• incentive pay
• deferred compensation contributions
• stock options
• group life insurance premiums

ABD represents UNUM as the carrier for this plan. The administration for the plan is through our partner Corporate Compensation Plans, which is fully web-enabled on every aspect of program enrollment and administration. Their client list includes:

• Fidelity Investments
• Dean Witter
• J P Morgan
• Dell Computer

These companies have experienced a 50-75% participation rate. Typically, they have a link in their intranet which clicks through to the proprietary Corporate Compensation Plans site.

Other Program Aspects:

• The program consists of individual policies that are guaranteed issue, assuming there are 100 eligible employees.
• An individual who is 40 years old with $25,000 per year of coverage, pays about $36 a month. Those premiums are level throughout the term of the policy and usually paid by the employee.
• The maximum limit can easily reach $50,000 a year and under certain conditions, can be as high as $100,000 a year or more.
• It cannot be cancelled by the carrier, except for nonpayment.
• The plan is portable or not, depending on the goals of the company.

In order to prepare a complete proposal, please forward a census showing birth date, gender, state, total income (including incentive income).

For more information please: Contact Us