Long Term Disability Insurance: Frequently Asked Questions about It

Long Term Disability insurance offers important financial protection to Canadian workers. Life insurance, mortgage insurance, rental insurance, and auto insurance certainly you have. So, why you need income insurance? Disability insurance pays you a big portion of your wages when you get out of work for a long period of time due to an accident or disease. For most working Canadians, this is a critical form of insurance.  Long term disability lawyers in Halifax emphasize here a few FAQs about Long Term Disability insurance:

Who is entitled to Long Term Disability coverage?

You are entitled to Long Term Disability coverage when:

  • You are a permanent worker who is hired to work at least 28 hours every two weeks, or
  • You are a part-time and permanent worker who has been working on average 28 hours or more every two weeks over the course of the year. You are eligible for coverage for 12 months of continuous service from the first day of February of the year following the year.

How long will I receive payments under the LTD plan?

You can receive benefits until:

  • your employment terminates,
  • you retire,
  • you die,
  • you are laid-off,
  • you turned 65 (less the 150 consecutive day elimination period), or
  • you turned 60 or more and you have pensionable service in Nova Scotia Health Employees’ Pension Plan for 30 years.

Does it cover me if I have pre-existing condition limitations?

  • If you have received any medical attention, treatment, or any prescribed medications for a maximum of 90 days before your coverage, you cannot receive anything within the first 12 months of your coverage under this scheme.
  • Please contact Nova Scotia | Wagners Law firm for getting more information on the pre-existing limitations. Especially, when you are an employer and your facility is registered as a group in the LTD plan.

During a leave of absence, What happens to my LTD coverage?

You can extend your LTD plan coverage for up to 24 months if you are absent without pay for reasons other than illness or injury. For payment plans, please contact your employer.

You will be subject to a pre-existing condition limitation when you do not want to extend your coverage and your leave is longer than 24 months.

When I retire, what about my LTD coverage?

You will not receive any coverage when you retire.

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