Employee Matters

The staff of the Employee Compensation and Benefits Services staff prepares this column.

Income continuation insurance basics
Income continuation insurance is an integral and often overlooked component of your benefits package. ICI is a disability benefit that provides income protection if you are unable to work due to an illness or injury. It pays 75 percent of your base earnings up to a maximum of $4,000 per month.

Does this benefit start paying as soon as I am disabled?
No. Benefits begin after your designated waiting (elimination) period or after you’ve exhausted your accumulated sick leave, up to 1,040 hours, whichever is later. To qualify for ICI, you must be totally disabled from performing your job.

The waiting period for classified (paid biweekly) employees is 30 calendar days from the date of disability.

Unclassified (paid monthly) employees select a waiting period of 30, 90, 125 or 180 days.

How long will ICI pay benefits?
Benefits normally end at age 65. Depending on your age at the time disability begins, however, payments could continue until age 70.

How are premiums determined?
Premiums for classified employees are based on your salary and sick-leave balance (defined as categories 1 through 6). As you reach higher sick-leave categories, your premium reduces. There are “permanent plateaus” at 520, 728 and 1,040 hours of sick leave. Once a permanent plateau is reached, premiums will be determined using that category, even though later sick-leave use causes your total to drop below the plateau. Another way to reduce your premium before you reach a permanent plateau is to save 80 hours of sick leave per calendar year.

Unclassified premiums are based on earnings and the waiting period selected. The longer the waiting period, the lower the premium. If you elect the180-day waiting period, there is no premium.

How do I file a claim?
You can file a claim by calling CORE Inc. at (800) 960-0052. The Department of Employee Trust Funds has contracted with CORE to administer the ICI program.

I didn’t elect ICI coverage when I was initially eligible. Can I apply now?
Yes. There are two ways to apply:

The first is through medical evidence of insurability by completing a medical history form and submitting it to the plan underwriter for approval.

The second is through deferred enrollment. For classified employees, this is the end of the calendar year in which you first reach a permanent plateau, the first time you accrue 80 hours of sick leave in a calendar year, or in any calendar year during which your sick leave hours exceed 1,040.

For unclassified employees, this is the end of any calendar year during which sick leave hours exceed 1,040.

An application must be filed with the employer on or before Jan. 30 for coverage effective April 1.

The ICI program covers short- and long-term disabilities and is integrated with other benefits from other state and federal programs. More information on ICI will be in the next Employee Matters column.

What if I want more information?
Visit the EC&BS Web site: http://www.bussvc.wisc.edu/ecbs/ecbs.html or e-mail: employee@bussvc.wisc.edu.