Administration

Pre-existing condition clause waived for short-term disability insurance

UNIVERSITY PARK, Pa. — Penn State Employee Benefits has announced that as a result of employee feedback and favorable claims experience during its first year of offering short-term disability coverage, Unum, the firm providing supplemental insurance coverage, has agreed to waive the pre-existing condition clause for Penn State employees.

Beginning Monday, April 1, the pre-existing condition clause will no longer apply to short-term disability benefits for any non-work-related illness or injury with an incurred disability date of April 1, 2019, or later. Any non-work-related illness or injury that occurred prior to Monday, April 1, 2019, will still be subject to the current pre-existing condition terms.

This positive change applies to all University employees currently enrolled in the short-term disability benefit plan with Unum, as well as employees hired on or after April 1, 2019.

Currently, a pre-existing condition exists if:

  • You received medical treatment, consultation, care or services, or took prescribed drugs or medicines in the 3 months prior to the effective date of coverage.
  • The disability begins in the first 12 months after the effective date of coverage.

A common example of a pre-existing condition is pregnancy. Under the prior plan provisions, if maternity treatment began prior to the effective date of coverage, and the need to use the benefit happens in the first 12 months of coverage, the individual would not be eligible to use their short-term disability insurance. The short-term disability benefit enhancement will now permit access to the benefit for any maternity leaves involving newborn birth dates of April 1 or later, regardless of any prior treatment.

Employees are welcome to contact HR Services with questions regarding this change with short-term disability benefits by calling 814-864-1473 or submitting an inquiry via WorkLion. Additional information is also posted in the WorkLion knowledge base.

Last Updated April 10, 2019