Aflac offers enhanced short-term disability insurance policy

Aflac Incorporated, a provider of voluntary and guaranteed-renewable insurance, is offering an enhanced short-term disability insurance policy in California. According to the company, the new supplemental insurance policy offers a guaranteed-issue option and increased benefits.

The new benefits features of the updated Aflac short-term disability plan in California include: Increased Maximum Benefit, Lowered Minimum Income Requirement, Lowered Minimum Hours Requirement, and Waiver of Premium Benefit.

The maximum monthly benefit has been raised to $6,000. The minimum income requirement has been reduced to $9,000 a year. The minimum hours requirement has been reduced from 30 hours to 19 hours a week. After 90 days of being disabled, the premium is waived until the benefit period expires, the company said.

Aflac's short-term disability product is designed to cover out-of-pocket expenses resulting from an illness or accident which typically are not covered under major medical insurance.

For example, if an employee is out of work because of coronary heart disease, he or she could face $75,000 in total expenses. The employee would be responsible for paying out-of-pocket expenses and everyday living costs not covered by major medical insurance. The Aflac short-term disability policy provides income replacement and partial disability benefits, the company added.

"Without a safety net in place, families could be hit with significant out-of-pocket costs due to an unexpected injury or illness," said John Harmeling, senior vice president of Worksite Marketing at Aflac.

Mr. Harmeling continued, "From mortgage and car payments to groceries and travel, these costs could mean severe financial hardship for unprepared employees and their families. The Aflac short-term disability plan can help protect employees and provide peace of mind, and doesn't add to employers' benefits costs."