As you may know, all NJ employers are required to have the state mandated Temporary Disability Benefits Plan (TDB).  If you haven't already received, you should be receiving your 2008/2009 Notice of Employer Contribution Rates (AC-174.1 form).  This form is sent out by the state in August/ September.  Not sure what the form looks like?  Click here for a sample notice.  (It may be that blue envelope sitting on your desk!) This notice gives your disability insurance contribution rate that you (the employer) pay towards temporary disability insurance.  Eligible employers can qualify for savings through a private plan based on their TDB renewal rate provided in the AC-174.1 form.    

The law does allow employers to provide coverage through an approved private plan.  The private plan must be at least as liberal in benefits as the state plan.  Also, employees cannot be charged any more than they would have for the the state plan.

In addition to savings, some of the benefits of switching to a private plan vs. the NJ state-provided plan are:

• Average claims turnaround time with a private plan is much shorter (4-5 days) than the 14 day turnaround time on the State plan.
• Private plans will pay the annual assessment that the State charges.
• Private plans offer employer and employee access to personalized claims service.
• Ability to integrate TDB program with other STD and/or LTD programs.  
• Monthly/quarterly claims reports.

Let CBSI find out if moving to a private carrier will result in savings for you!  It's so easy to do.  Just fax your AC-174.1 form to 609.448.0487 and we will get right back to you.  Or give us a call at 609.371.5823 and we'll walk you through it! 

TDB business is eligible to switch to a private plan for a January 1st  effective date so don’t miss out on this opportunity!!!

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