When people think about disability, they often picture a serious accident on the job or a catastrophic injury. But the reality is very different.
About 90% of long-term disabilities are caused by illness—not accidents. Conditions such as cancer, heart disease, stroke, autoimmune disorders, and chronic illnesses are far more likely to keep someone from working than an unexpected injury.
If you’re a federal employee, understanding this risk is an important part of protecting your financial future.
Most people insure their homes, vehicles, and personal belongings. Yet the asset that makes all of those purchases possible—your paycheck—is often left unprotected.
If an illness or injury prevents you from working for months or even years, how would you continue to pay for:
Long-term disability insurance is designed to help replace a portion of your income when you cannot work because of a covered disability.
Many federal employees believe disability is unlikely to happen to them. However, statistics tell a different story.
These numbers highlight why disability insurance isn’t simply protection for people in hazardous occupations—it’s valuable for anyone whose income supports their lifestyle and family.
Here are some of the most common myths—and the facts you should know
I don’t need Disability Insurance because I have coverage through work.
The FERS retirement disability benefit is taxable and pays 60% of your salary for the first 12 months and then 40% until retirement eligibility.
My Federal benefits will fully protect my income if I become disabled.
Without traditional disability coverage, Federal Employees rely on sick leave and retirement disability, which can fall short.
I don’t need it because I don’t work in a “dangerous” job.
Most disabilities are caused by illness—not accidents—meaning they can happen to anyone, regardless of occupation.
Supplemental long-term disability insurance can help bridge the gap between your regular paycheck and the income available through federal disability benefits.
Having additional income protection may help you continue paying for:
Rather than relying solely on government benefits, supplemental coverage can provide additional financial stability during an unexpected illness or injury.
Many federal employees are surprised to learn that income protection may cost less than they expected.
Eligible GEBA members age 39 and younger may obtain coverage starting at approximately $6.50 per month with a 90-day waiting period. Premiums vary based on age, benefit amount, and waiting period.
When compared with the value of the income you’re protecting, disability insurance can be one of the most affordable ways to strengthen your overall financial plan.
Your ability to earn an income makes nearly every financial goal possible—from paying monthly bills to saving for retirement.
Because most disabilities are caused by illnesses rather than accidents, understanding your long-term disability protection is an important step toward financial security.
If you’re a federal employee, take a few minutes to review your current coverage and determine whether it would provide enough income if you couldn’t work for an extended period.
Learn more about GEBA Group Long Term Disability Insurance and explore your coverage options.
Long-term disability (LTD) insurance helps replace a portion of your income if you become unable to work because of a covered illness or injury. Unlike health insurance, which helps pay medical expenses, disability insurance helps you continue paying everyday living expenses when you're unable to earn a paycheck.
Many people assume disabilities result from accidents, but that's not the case. Approximately 90% of long-term disabilities are caused by illnesses, including conditions such as cancer, heart disease, stroke, arthritis, neurological disorders, and other chronic medical conditions.
Federal employees may have access to benefits such as FERS Disability Retirement, but those benefits may not fully replace their working income. Supplemental long-term disability insurance can help bridge the gap and provide additional financial protection during an extended disability.
No. Eligible federal employees generally receive 60% of their high-three average salary during the first year (subject to taxes and offsets) and 40% after the first year until retirement eligibility if they continue to qualify. For many families, this may not be enough to maintain their current standard of living.
No. To qualify, you generally must demonstrate that:
A medical condition prevents you from performing the essential duties of your position.
The condition is expected to last at least one year.
Your agency cannot reasonably accommodate your condition.
Meeting these requirements is necessary before benefits are approved.
Yes. Most long-term disabilities are caused by illnesses—not workplace accidents. Office workers, managers, analysts, administrative professionals, and other federal employees all face the possibility of developing a medical condition that could prevent them from working.
The amount depends on the policy you choose. Long-term disability insurance is designed to replace a portion of your income, helping you pay for essential expenses such as housing, utilities, groceries, transportation, and other monthly bills while you're unable to work.
Disability benefits can help you continue paying for:
Many federal employees are surprised to learn that coverage can be quite affordable. For eligible GEBA members age 39 and younger, premiums may start at approximately $6.50 per month with a 90-day waiting period. Premiums vary based on age, benefit amount, and waiting period.
The best time to obtain disability insurance is before you need it. Once you develop a medical condition, your eligibility or premium may be affected. Purchasing coverage while you're healthy can help ensure you have protection if an unexpected illness or injury occurs in the future.
If you're a federal employee interested in learning more about income protection, visit GEBA's Long-Term Disability Insurance page to review eligibility requirements, coverage options, costs, and policy details.
Group Long Term Disability Insurance underwritten by New York Life Insurance Company, 51 Madison Avenue, New York, NY 10010 on Policy form GMR under policy G-29344-0. For information including features, cost, eligibility, renewability, limitations, and exclusions, visit www.GEBA.com/LTD.
NEW YORK LIFE and the NEW YORK LIFE Box Logo are trademarks of New York Life Insurance Company.
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