PREMIUM RATE INCREASE EFFECTIVE JANUARY 2003 FOR THE DISABILITY INSURANCE (DI) PLAN
The DI plan is a group insurance that provides income protection to employees who are represented in the collective bargaining process when they are unable to work for a lengthy period of time due to a totally disabling illness or injury.
DI Premium Rate Increase
Effective January 2003, plan members will note that the DI premium has increased from $1.08 to $1.61 per $1000 of adjusted annual salary. This increase is required because of a greater number of beneficiaries and general increases in costs.
Premium cost-sharing arrangements will not change. Employees will pay 15% of the premium ($0.2415 per $1000 of adjusted insured salary) and the employer will contribute 85% ($1.3685).
This is the first change in premium rate since 1993.
Example
An employee earning $46,315 a year would have an insured salary of $46,500. This represents the employee’s insured salary adjusted to the next highest multiple of $250.
The monthly premium for DI coverage for 2003 will be calculated as follows:
| $1.61 x $46,500 / $1000 | = | $74.87 |
| Employee pays | $11.23 | |
| Employer pays | $63.64 | |
| ______ | ||
| Total | $74.87 |
Members with questions about their coverage should contact their departmental pay and benefits specialist.
Related
Fall Regional Tune Up events bringing free PD to regional hubs
The Regional Tune Up series is back for 2024-25, bringing a day of free professional development to members across the […]
ACFO-ACAF Special General Meeting on August 6, 2024
In accordance with Bylaw 9.12.1, ACFO-ACAF’s Board of Directors has called a Special General Meeting (SGM) that will take place […]
OGGO releases report on PSHCP transition
On June 3, the Standing Committee on Government Operations and Estimates (OGGO) released their much-anticipated report on the transition of […]