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  • Legal Documents
  • Short Term Disability
  • Summary Plan Descriptions
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Your Benefits 2000 Long Term Disability (LTD) Benefits Program

PSEG offers long term disability (LTD) benefits to provide a source of continuing income in the event that an illness or injury prevents you from working for an extended period of time. LTD coverage is designed to replace a portion of your base pay after you have been disabled for 26 weeks. The amount of income continued is based on the LTD option you choose.

Understanding your benefits is the first step to getting the most value out of them—using them wisely and taking advantage of all their features can help you save money while being a smart consumer. Use the following information to become a better consumer of your long term disability benefits.

Quick Reference

• The program replaces a selected percentage of base pay, together with Social Security, Workers’ Compensation, and/or disability benefits (if eligible).
• Benefits begin after 26 weeks of disability.
• Benefits continue until you:
• Recover; or
• Reach the Social Security normal retirement age or the date when benefits have been paid for five years if you are age 65 when you became disabled (whichever is later).
• When you first enroll or if you increase your level of insurance, you may be required to provide Evidence of Insurability (EOI). You'll be notified if EOI is required.

Your LTD Tax Treatment

If you elect the 60% or 70% pay replacement option, you’ll pay the difference between the Company-paid 50% and the percent you choose through automatic payroll deductions. You can pay this amount on a before-tax or after-tax basis. If you change your contributions, the benefits you receive may be taxed on a pro-rated basis, according to the tax tables.