1.How well does your LTD benefit level (percentage of income and monthly maximum) provide meaningful long-term income replacement?
Market benchmark: 60% of pre-disability earnings up to $6,000–$10,000/month. Higher-earning employees often need supplemental coverage.
2.How favorable is your LTD definition of disability — own-occupation vs. any-occupation — and how long does the own-occupation period last?
Own-occupation definition is more favorable to employees. Many plans switch to any-occupation after 24 months.
3.How well does your LTD elimination period (typically 90 or 180 days) align with your STD benefit duration?
A gap between STD duration and LTD elimination period leaves employees without income. The two should be coordinated.
4.How well do you communicate LTD benefit offsets (Social Security, workers' compensation, state disability) to employees?
LTD benefits are typically offset by other income sources. Employees often overestimate their net LTD benefit.
5.How well does your LTD plan address portability and conversion rights for departing employees?
Portability allows employees to continue coverage after leaving. Conversion allows conversion to individual coverage without evidence of insurability.
This tool provides educational decision support only. Results are not legal, tax, actuarial, or insurance advice. Validate all outputs against current plan documents, applicable law, and qualified professional guidance. Scoring version 1.0 · Reference year 2026.
