The cost of the average long-term disability (LTD) insurance claim increased to $13,226 in 2009, up 25% from the average for 2008.
The National Business Group on Health (NBGH), Washington, a group representing large employers, has reported that finding in a summary of results from a survey of 648 large and midsize U.S. employers.
The short-term disability (STD) claims rate fell to 6.7 claims per 100 covered employees in 2009, from 8.1 claims per 100 covered employees in 2008, and the LTD claims rate fell to 3.4 claims per 1,000 covered employees, from 4.6 claims per 1,000 covered employees.
Average STD costs fell to 16%, to $296 per covered employee in 2009.
Workers may have filed fewer claims because of the weakness of the housing market and the job market, NBGH analysts say.
The apparent increase in the ratio of the average cost of LTD claims per covered employee may be due to a larger number of higher-paid employees filing claims and higher wage replacement levels, the analysts say.
- Allison Bell
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