Every disability policy has a specific definition of what it means to be disabled in order to qualify for insurance benefits. You may qualify for short-term disability by meeting either of the following situations:

• Unable to perform the majority of substantial duties of your own job, OR
• Unable to earn 80% of your pre-disability income while working in a modified capacity.

Principal uses an “own job” definition of disability instead of the more common “own occupation”—meaning we look at the job you were performing when you became disabled—not the occupation.

This insurance benefit covers temporary disabilities that last for a certain benefit period—usually 90 to 180 days (and not more than a year). Common qualifying conditions include:

• The birth of a child
• Injuries resulting in chronic back pain or carpal tunnel syndrome
• Mental disorders
• Prolonged illnesses like cancer and heart disease
• Recovery after surgery

If you become disabled and meet the policy’s definition of disability, Principal will pay you a benefit to help supplement your lost wages—typically up to 26 weeks. You’ll begin to receive benefits generally eight days after your qualifying accident or sickness is diagnosed (known as the elimination period)—and there are no limitations on how the benefit payments can be spent (i.e., rent, utilities, groceries, medical bills, childcare, etc.). You’ll continue to receive benefits until you’re able to return to work or until you reach the end of your policy’s benefit period. See your policy for details.

You’ll receive a weekly benefit that’s a percentage of your salary—usually between 50% to 60%, or you can buy certain benefit amounts in increments. The benefit amount may vary depending on the type of policy, the severity of your disability or illness, and your work history.

If your short-term disability benefit is voluntary (meaning you pay for it with after-tax dollars through your employer), the benefit payments you receive are not taxable.

If you have a qualifying disability, our Return-to-Work Resources^SM program is designed to help you get back on your feet and back to work by offering:

• Personal rehabilitation plans. Outlines an individualized plan for you based on input from you, your physician, and your employer.
• Work incentives. Provides you with additional benefits if you return to work part time.
• Rehabilitation incentives. Increases your benefit percentage if you agree to participate in rehabilitation programs.
• Reasonable accommodation benefits. Reimburses you for expenses used to modify the worksite that allows you to return to work.

Yes. If you become disabled and meet the policy’s definition of disability, long-term disability has a waiting period before it starts paying you benefits—typically 90 to180 days. So, your employer may allow you to use any paid sick leave and/or any short-term disability benefits before using your long-term disability benefits.

Here’s an example of how short-term and long-term disability benefits can work seamlessly together: Michelle’s annual mammogram screening identified a lump. After a biopsy, surgery was recommended, followed by chemotherapy and radiation. Michelle had previously elected both short-term and long-term disability coverage through her employer, so she submitted a claim to Principal.

Her short-term disability claim was approved once she stopped working due to surgery. Throughout her recovery period, she and the claim analyst kept in touch—and Michelle received weekly short-term disability benefits from Principal. When Michelle started chemotherapy, she was nearing the end of her short-term disability benefits. So, the claim analyst gave Michelle the forms needed to transition her claim to long-term disability. Michelle submitted the forms to Principal and her claim was approved—with no gap in benefits. She received monthly long-term disability benefits until she completed her treatments and was able to return to work.