STD Insurance Essay

Some Canadian employers have a private group insurance plans in place to provide their employees with an income in the event of an injury or illness that leaves them unable to work. These insurance plans protect both the employer and the employee, because by having them in place the employers are protected from being left without an income during a time of inability to work, and the employer is protected by not being sued.
Disability insurance plans should not be confused with benefits overseen and mandated by the Workplace Safety Insurance Board (WSIB), which covers employees who are injured on the job.
Although you are protected for on the job injuries, also known as occupational injuries, through Worker’s Compensation, you are not protected …show more content…
This plan protects the worker, his or her family and everything he or she owns. With LTD an employee is protected from a disability resulting from an accident or illness typically at the point in time where STD stops, in other words LTD insurance usually picks up where STD policies leave off. LTD, STD and employer benefits are all independent from one another, they do not overlap. However, they are alike in the sense that both policies seek to protect employees’ earnings with the provision of a percentage of their wages before they become disabled, in order to assist them with their monetary obligations for a fixed period of time.

In summary, Standard Disability insurance plans, such as STD and LTD, are similar in the aspect that they both look to give workers a portion of their incomes prior to an injury or illness that has left them unable to work. The difference between the types of disability insurance available for workers is the duration and the amount of payments, because these factors are dictated by the severity and duration of a worker’s injury or