Here's what the folks at AHIP came up with.

"There are at least 65,000 employees at any point in time in recent years that would have been receiving SSDI (and likely other federal benefits) if they had not been covered by GLTD insurance."
"The annual total of avoided SSDI and other federal benefits is approximately $30,000 per year for the affected individuals. This further implies that GLTD insurance is saving federal programs at least $2 billion per year."

"Going forward, the re-employment assistance provided by GLTD coverage will save the Disability Insurance Trust Fund approximately $1 billion per year in future SSDI benefit payments, and this amount is likely to grow."
"GLTD benefits help between 280,000 and 575,000 families each year avoid impoverishment and, therefore, also avoid reliance on public assistance programs. This translates into an additional savings to the government (and the taxpayer) of $2.25 to $4.5 billion per year."
"Given current demographic and inflation projections, GLTD insurance as currently configured will save the federal treasury at least $25 billion over the next 10 years – at least $10 billion in SSDI benefits and approximately $15 billion in other federal programs."

"Beyond the public benefit of reduced federal expenditures on SSDI and other programs, most of the benefits arising from GLTD insurance flow to the employee and his or her family as incomes are maintained and appropriate reemployment is facilitated," the study said. "In addition, employers are more likely to regain the services of valued employees."

Instant Insights /

GLTD projected to save U.S. $25 billion

More From HR Executive

Related Stories

Recommended For You