Best NY Short Term Disability Insurance Companies
Short term disability insurance is mandatory in New York, but not all insurance providers are created equal. Here is our list of the best NY short term disability insurance companies. As independent insurance agents, we are not beholden to any insurance company. Our recommendations are based on more than 25 years of working with these companies and the following criteria:
- Financial Strength – Ability to pay claims
- Most Competitive Price
- Highest Quality
- Ease of Doing Business
- Customer Service
The best Short Term Disability Companies in New York:
- Standard Security
This list can change at any time depending on which companies are offering the best coverage at the best price. But first, let’s briefly discuss what the New York State Mandatory Disability program is and how it works.
What Is New York Short Term Disability Insurance?
If you are an employer in the state of New York, you are required to provide short term disability benefits to all your employees. New York is one of a handful of states that require this coverage. You can purchase this coverage directly from the Worker’s Compensation Board which oversees this program, or you can purchase coverage from a state approved insurance company.
How Does Short Term Disability Work?
An employee is eligible to receive benefits if he or she suffers an off-the-job illness, injury or disability, including pregnancy. Benefits are paid weekly to the employee and are equal to 50% of the employee’s average weekly salary up to a maximum of $170.00 per week.
Benefits become payable on the 8th consecutive day of disability and continue for up to 26 weeks. Employers can pay 100% of the premium or require employees to pay their share. However, an employee cannot pay more than 60 cents per week or $31.20 per year. You can read more about the program here: NY Mandatory Disability
The Best NY Short Term Disability Insurance Companies
1. Standard Security Life Insurance Co of New York
This company takes our top spot because of the ease of doing business with them. They usually can approve a new short-term disability policy in less than 48 hours.
And if you received one of those nasty fines from the worker’s compensation board for forgetting to provide coverage to your employees, Standard Security can often back-date your policy up to 6 months to reduce the fine.
Standard Security is located in mid-town Manhattan and is rated A-(Excellent) by A.M. Best. They have been providing disability insurance for more than 60 years and cover more than 50,000 employers. If you have not compared your current rates to those of Standard Security, you’re probably paying too much.
Formally known as First Rehabilitation Company of America, ShelterPoint has been providing short term disability coverage for more than 40 years. This company is also one of the largest providers of DBL coverage with more than 150,000 business customers.
We like this company for their excellent customer service, competitive pricing (not the lowest) and their ability to handle difficult cases where coverage has lapsed for several years. Shelter Point is located in Long Island, NY and is rated A-(Excellent) by A.M. Best
3. ARCH Insurance
Also known as Arch Capital Group Ltd. (Arch Capital or ACGL), is a Bermuda public limited liability. The company writes short term disability insurance in both New York and New Jersey where this coverage is mandatory. Arch also specializes in Accident insurance, mortgage insurance, worker’s comp and provides insurance solutions for alternative markets such as aviation and construction.
We like working with Arch because of their outstanding customer service, ability to pay claims quickly and their knowledge of specialty markets. Arch is rated A+ (Superior) from A.M. Best and A+ from Standard & Poors. Their New York division is located in downtown Manhattan.
4. The Hartford
Hartford Financial is one of the oldest insurance companies in the United States. It was founded in 1810 and is one the largest insurance and financial institutions in the world. This company covers all lines of personal and business insurance but also excels in the NY DBL program. Their rates are very competitive, and their customer service department is helpful. However, they are slow to approve new policies, taking about 7 business days or more.
So, if you are looking for a fast turnaround for your policy, Hartford is probably not the best choice. But if you are looking to bundle your business insurance and group insurance policies with your DBL program, then Hartford would be our top choice. Hartford is headquartered in Hartford CT and receives an A rating (Excellent) from A.M. Best
Guardian Life Insurance Company has been around for more than 150 years. They are one of the largest and highest financially rated insurance companies in the world. Although the company provides many lines of personal and business insurance, they also provide NY short term disability insurance. Their rates are competitive but definitely not the lowest.
This company has weathered the great depression and numerous financial calamities so if you are looking for financial stability, Guardian is our top choice. Guardian is located in downtown Manhattan and is rated A++(Superior) by A.M. Best.
NY Short Term Disability Quotes For Your Business
We represent some of the highest rated disability insurance companies in the industry. If you would like a NY short-term disability insurance quote for your business, please give us a call today at 914-633-1717 to speak to a licensed, independent disability insurance agent.