- Pregnancy Disability Insurance Policies - photoglife at Morgue File
Private insurance companies and some states offer short term disability insurance for the loss of income during pregnancy and maternity leaves. Coverage for short term disability insurance has to be purchased or paid through employee’s payroll deductions. Pregnancy disability insurance policies generally cover loss of income due to complications during pregnancy, labor and post partum illnesses.
Pregnancy Disability Insurance Coverage
The main purpose for pregnancy disability insurance is to replace income during or after pregnancy, this is not the same as maternity leave. Pregnancy complications and conditions that impair a woman’s ability to work are covered. Disability insurance for maternity is purchased from an insurance company that sells health policies. Another method to get this coverage is through states and employers sponsored Short Term Disability Insurance in combination with private insurers. Some states provide this as an elective coverage.
Pregnancy disability insurance has to be purchased or paid in before a woman becomes pregnant. Once a woman is pregnant insurance companies won’t sell a policy to cover for pregnancy related disabilities. Each insurance company provides for different terms of coverage and pricing. It’s important to get multiple quotes and to compare them when buying disability insurance.
Who Needs Pregnancy Disability Insurance?
This short term disability insurance is purchased to replace or to compliment income during pregnancy and maternity leave periods. Individuals with the following situations may get pregnancy disability insurance:
- Self employed individuals to replace income during and after pregnancy
- Employees getting time off during pregnancy under the laws, but the time is unpaid
- Individuals who expect to have some complications during or after pregnancy (after consulting a doctor)
- Individuals needing additional income on top of states and employers paid time off for maternity
States Sponsored Pregnancy Disability Insurance
Some states provide short term disability insurance for maternity in addition to maternity leave programs. The coverage is offered as an elective for employees and self employed. The State’s department for Human Resources or the Department of Labor has information about the insurance program if it’s offered. Employers do payroll deductions for employees who elect coverage under state’s disability programs. California, New York and New Jersey are three examples of states offering elective pregnancy disability insurance.
Maternity Leave and Paid Leave Programs
Pregnancy or maternity leave programs provide time off for a woman or man to care for and bonding with a newborn. The woman doesn’t have to suffer a disability to obtain maternity leave from work. Pregnancy leaves include laws such as FMLA, Family Medical Leave Act, States maternity leave laws and employers time off policies for pregnancy. Time off under these programs may or may not be paid in a particular state or by a particular employer.
Resources: Public information at the following sites, current as of August 11, 2010.
The NY Workers Compensation Board at wcb.state.ny/disability
The California Employment Development Department at edd.ca.gov/disability
NJ Department of Labor and Workforce Development at dol.state.nj
The USA Department of Labor at dol.gov/FLMA
Sylvia Cruz - Sylvia holds Bachelor and Master degrees in Business Administration with majors in Finance and Accounting. She is also a CIA - Certified ...
