IMPORTANT: Disability benefit payments, when received, can be taxable as income or tax-free depending on who has paid the premium for the coverage:

• If your employer pays the premium, the benefits, upon receipt, are taxable to you;
• If you pay the premium, the benefits are not taxed;
• If the cost of the premium is shared, the benefits are taxed proportionately.

Your disability benefit payment amount under this plan is 60% of your normal earnings to a maximum of $65,000 annually. To ensure that you will not have to pay income taxes on your benefits, should you ever need them, this plan reserves your employer's allowance to buy other insurance coverages. You pay the entire disability premium yourself through payroll deduction.