Transcription
Why Absence Matters in Your Business and What to Do About itA Webinar for Conner Strong & Buckelew Clients andConstituents in Partnership with CignaAugust 18, 2016
Today’s Speakers William Kimmel, VP – Sr. Consultant, Health and Benefits Practice, ConnerStrong and Buckelew Kari Knight Stevens, Esquire, Managing Counsel, Cigna Jennifer Bartley, Director of Product Development, Cigna Leave Solutions2
Agenda FMLA – The Basics Total Absence Management Solutions, from CIGNA Wrap Up3
FMLA – The Basics
FMLA – The Basics The Family and Medical Leave Act (FMLA) went into effect on February 5,1993 during the Clinton Administration and applies to employers with 50 ormore employees The FMLA was signed by President Clinton guarantees up to 12 weeks ofunpaid, job-protected medical leave The FMLA allows employees to balance their work and family life by takingreasonable unpaid leave for certain family and medical reasons The FMLA seeks to accomplish these purposes in a manner thataccommodates the legitimate interests of employers, and minimizes thepotential for employment discrimination on the basis of gender, while promotingequal employment opportunity for men and women5
FMLA – The BasicsEmployer Coverage FMLA applies to all employers that are:-Public agencies, including State, Local and Federal employers, andlocal education agencies/schools; and,-Private sector employers who employ 50 or more employees for atleast 20 workweeks in the current or preceding calendar year including joint employers and successors of covered employers6
FMLA – The BasicsEmployee Eligibility To be eligible for FMLA leave, an employee must work for a coveredemployer and:-Have worked for that employer for at least 12 months-Have worked at least 1,250 hours during the 12 months prior to thestart of the FMLA leave-Work at a location where at least 50 employees are employed at thelocation or within 75 miles of the location7
FMLA – The BasicsLeave Entitlement A covered employer must grant an eligible employee up to a total of 12workweeks of unpaid leave in a 12 month period for one or more of thefollowing reasons:-For the birth of a son or daughter, and to care for the newborn child-For the placement with the employee of a child for adoption or fostercare, and to care for the newly placed child-To care for an immediate family member (spouse, child, or parent —but not a parent "in-law") with a serious health condition-When the employee is unable to work because of a serious healthcondition-Leave to care for a newborn child or for a newly placed child mustconclude within 12 months after the birth or placement8
FMLA – The BasicsIntermittent/Reduced Schedule Leave The FMLA permits employees to take leave on an intermittent basis or towork a reduced schedule under certain circumstances. Intermittent/reducedschedule leave may be taken when medically necessary to care for aseriously ill family member, or because of the employee's serious healthcondition Intermittent/reduced schedule leave may be taken to care for a newborn ornewly placed adopted or foster care child only with the employer's approval Only the amount of leave actually taken while on intermittent/reducedschedule leave may be charged as FMLA leave. Employees may not berequired to take more FMLA leave than necessary to address thecircumstances that cause the need for leave. Employers may account forFMLA leave in the shortest period of time that their payroll systems use,provided it is one hour or less9
FMLA – The BasicsIntermittent/Reduced Schedule Leave, continued Employees needing intermittent/reduced schedule leave for foreseeablemedical treatment must work with their employers to schedule the leave soas not to unduly disrupt the employer's operations, subject to the approval ofthe employee's health care provider In such cases, the employer may transfer the employee temporarily to analternate job with equivalent pay and benefits that accommodates recurringperiods of leave better than the employee's regular job10
FMLA – The BasicsSubstitution of Paid Leave Employees may choose to use, or employers may require the employee touse, accrued paid leave to cover some or all of the FMLA leave taken Employees may choose, or employers may require, the substitution ofaccrued paid vacation or personal leave for any of the situations covered byFMLA The substitution of accrued sick or family leave is limited by the employer'spolicies governing the use of such leave11
FMLA – The BasicsSerious Health Condition "Serious health condition" means an illness, injury, impairment, or physical ormental condition that involves:-Any period of incapacity or treatment connected with inpatient care (i.e.,an overnight stay) in a hospital, hospice, or residential medical carefacility; or-A period of incapacity requiring absence of more than three calendardays from work, school, or other regular daily activities that also involvescontinuing treatment by (or under the supervision of) a health careprovider; or-Any period of incapacity due to pregnancy, or for prenatal care; or12
FMLA – The BasicsSerious Health Condition, continued "any period of incapacity (or treatment therefore) due to a chronic serioushealth condition (e.g., asthma, diabetes, epilepsy, etc.); or a period of incapacity that is permanent or long-term due to a condition forwhich treatment may not be effective (e.g., Alzheimer's, stroke, terminaldiseases, etc.); or, any absences to receive multiple treatments (including any period ofrecovery therefrom) by, or on referral by, a health care provider for acondition that likely would result in incapacity of more than three consecutivedays if left untreated (e.g., chemotherapy, physical therapy, dialysis, etc.)13
FMLA – The BasicsMedical Certification An employer may require that the need for leave for a serious healthcondition of the employee or the employee's immediate family member besupported by a certification issued by a health care provider The employer must allow the employee at least 15 calendar days to obtainthe medical certification An employer may, at its own expense, require the employee to obtain asecond medical certification from a health care provider. The employer maychoose the health care provider for the second opinion, except that in mostcases the employer may not regularly contract with or otherwise regularly usethe services of the health care provider If the opinions of the employee's and the employer's designated health careproviders differ, the employer may require the employee to obtain certificationfrom a third health care provider, again at the employer's expense14
FMLA – The BasicsMedical Certification, continued This third opinion shall be final and binding The third health care provider must be approved jointly by the employer andthe employee15
FMLA – The BasicsHealth Care Providers Health care providers who may provide certification of a serious healthcondition include:-Doctors of medicine or osteopathy authorized to practice medicine orsurgery (as appropriate) by the State in which the doctor practices-Podiatrists, dentists, clinical psychologists, optometrists, andchiropractors (limited to treatment consisting of manual manipulation ofthe spine to correct a subluxation as demonstrated by X-ray to exist)authorized to practice in the State and performing within the scope oftheir practice under State law-Nurse practitioners, nurse-midwives, and clinical social workersauthorized to practice under State law and performing within the scopeof their practice as defined under State law16
FMLA – The BasicsHealth Care Providers, continued Christian Science practitioners listed with the First Church of Christ,Scientist in Boston, Massachusetts Any health care provider recognized by the employer or the employer'sgroup health plan's benefits manager; and, A health care provider listed above who practices in a country other thanthe United States and who is authorized to practice under the laws of thatcountry17
FMLA – The BasicsMaintenance of Health Benefits A covered employer is required to maintain group health insurancecoverage, including family coverage, for an employee on FMLA leave on thesame terms as if the employee continued to work Where appropriate, arrangements will need to be made for employeestaking unpaid FMLA leave to pay their share of health insurance premiums For example, if the group health plan involves co-payments by the employerand the employee, an employee on unpaid FMLA leave must makearrangements to pay his or her normal portion of the insurance premiums tomaintain insurance coverage, as must the employer Such payments may be made under any arrangement voluntarily agreed toby the employer and employee18
FMLA – The BasicsMaintenance of Health Benefits, continued An employer's obligation to maintain health benefits under FMLA stops if andwhen an employee informs the employer of an intent not to return to work atthe end of the leave period, or if the employee fails to return to work whenthe FMLA leave entitlement is exhausted The employer's obligation also stops if the employee's premium payment ismore than 30 days late and the employer has given the employee writtennotice at least 15 days in advance advising that coverage will cease ifpayment is not received In some circumstances, the employer may recover premiums it paid tomaintain health insurance coverage for an employee who fails to return towork from FMLA leave19
FMLA – The BasicsOther Benefits Other benefits, including cash payments chosen by the employee instead ofgroup health insurance coverage, need not be maintained during periods ofunpaid FMLA leave Certain types of earned benefits, such as seniority or paid leave, need notcontinue to accrue during periods of unpaid FMLA leave provided that suchbenefits do not accrue for employees on other types of unpaid leave For other benefits, such as elected life insurance coverage, the employer andthe employee may make arrangements to continue benefits during periods ofunpaid FMLA leave An employer may elect to continue such benefits to ensure that the employeewill be eligible to be restored to the same benefits upon returning to work. Atthe conclusion of the leave, the employer may recover only the employee'sshare of premiums it paid to maintain other "non-health" benefits duringunpaid FMLA leave20
FMLA – The BasicsJob Restoration Upon return from FMLA leave, an employee must be restored to his or heroriginal job, or to an "equivalent" job, which means virtually identical to theoriginal job in terms of pay, benefits, and other employment terms andconditions In addition, an employee's use of FMLA leave cannot result in the loss ofany employment benefit that the employee earned or was entitled to beforeusing (but not necessarily during) FMLA leave21
FMLA – The Basics"Key" Employee Exceptions Under limited circumstances where restoration to employment will cause"substantial and grievous economic injury" to its operations, an employermay refuse to reinstate certain highly-paid, salaried "key" employees In order to do so, the employer must notify the employee in writing of his/herstatus as a "key" employee (as defined by FMLA), the reasons for denyingjob restoration, and provide the employee a reasonable opportunity to returnto work after so notifying the employee22
FMLA – The BasicsUnlawful Acts FMLA makes it unlawful for any employer to interfere with, restrain, or denythe exercise of any right provided by this law It is also unlawful for an employer to discharge or discriminate against anyindividual for opposing any practice, or because of involvement in anyproceeding related to FMLA Employers cannot use the taking of FMLA leave as a negative factor inemployment actions, such as hiring, promotions, or disciplinary actions; norcan FMLA leave be counted under "no fault" attendance policies23
FMLA – The BasicsEnforcement FMLA is enforced by the Wage and Hour Division of the U.S. Department ofLabor's Employment Standards Administration. This agency investigatescomplaints of violations. If violations cannot be satisfactorily resolved, theDepartment may bring action in court to compel compliance An eligible employee may bring a private civil action against an employer forviolations. An employee is not required to file a complaint with the Wage andHour Division prior to bringing such action24
FMLA – The BasicsOther Provisions Some special rules apply to employees of local education agencies.Generally, these rules provide for FMLA leave to be taken in blocks of timewhen the leave is needed intermittently or when leave is required near theend of a school term (semester) Several States and other jurisdictions also have family or medical leavelaws. If both the Federal law and a State law apply to an employer'soperations, an employee is entitled to the most generous benefit providedunder either law Employers may also provide family and medical leave that is more generousthan the FMLA leave requirements The FMLA does not modify or affect any Federal or State law whichprohibits discrimination25
The Issues and Challenges The administration of the FMLA can be a substantial burden on manyemployers who don’t have the resources or technology to manage what can bea complex process-A 2001 George Mason University Study pegged the annual cost of theFMLA to US businesses at between 4 and 24 billion-A report from Working for the Future pegged the impact at 390 millionwork hours a year for businesses in administration time Penalties for non-compliance can be substantial so attention to the “details” iscritical Temporary employee replacement costs can be significant as can be theimpact if work is merely transferred to co-workers during the leave26
The Issues and Challenges Like many aspects of benefits and HR services, employers are advised to findbest in breed partners that can assist in the administration and delivery ofthese complex functions-Think of COBRA or FSA which are almost always handled by a 3rd party FMLA is one aspect of the global issues with employee lave and managingabsences with an eye towards productivity. Other issues like STD, LTD, ADAand worker’s compensation leaves all collectively represent significantchallenges for employers to contend with The balance of this presentation will focus on strategies for total absencemanagement27
CIGNASolutions for Total Absence Management
ABSENCE MINDEDInsights on FMLA and ADA risks882980
Absence is costlyHow much does absence cost a1,000-employee company each year?1 18,OOO,OOOThis translates to 18 millionbased on an employer with 1,000workers/average salary 50,000 4 million is due to unplanned absence21. Mercer/Kronos Survey, “The Total Financial Impact of Employee Absences.” 2010.2. Mercer, “Survey on Absence and Disability Management.” 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna2
Drivers of increased absence ratesBehavioral healthconditions on the rise1 in 15 diagnosed with major depressioneach year. Leading cause of disabilityin the U.S. for ages 15-442UnhealthylifestyleNew treatmentoptions and betteroutcomes3,300% jump inobesity-relateddisability claimssince 19931AgingworkforceMore illnessand injuriesConditions that were onceconsidered terminal arenow chronicIt all impactsproductivity.And thebottom line.Increasedemployee awarenessGreater understandingof rightsComplex lawsand regulationsFederal and state lawscontinually evolvingStricterenforcementCompanies undergreater scrutiny1. Based on a Cigna 2013 internal analysis of data from our Short Term Disability book of business for the years of 1993 through 2012 (excludesmaternity claim data).2. NIMH RSS Web, “The Numbers Count: Mental Disorders in America.“ February, 2014.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna3
Industries with the highest incidence of absenceINTERMITTENT LEAVE 49%Health care51%58%Call centersCasinosCommon theme: 24/7 operations and shift workers have higher rates of absence1. DMEC/Spring Consulting, “Employer Leave Management Survey.” 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna4
Recognize the red flags: early warning signsFMLA LEAVESTD CLAIMEmployees with FMLA leavefor a family member’s healthcondition were5O%more likely to have anSTD claim than employeeswith no FMLA leave11. IBI, “Using FMLA to Understand and Manage Disability Absence.” 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna5
The right approach. The right results.Value for EMPLOYEES:Value for EMPLOYERS:Administrationmanage and trackleave absencesPreventionStay healthy andon the jobInterventionGet back to healthand back to businessCompliancecomply with stateand federal lawsAnalysisuncover and reversecostly trendsBETTER SAVINGS. BETTER BOTTOM LINE.Benefits that start on day one, not just when a leave is filed.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna6
Two distinct profilesIN-HOUSE ADMINISTRATIONALREADY OUTSOURCEDNeedsNeeds Compliance Predict, prevent and reduceabsence Reduction of administrativeburden Intermittent leave analysis Manager training andonboarding support Analysis and consultingto uncover hidden threatsProcess improvementIncrease productivityReduce absence ratesBETTER OUTCOMES FOR EVERYONE.IT STARTS HERE.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna7
Broad spectrum of knowledge and processesBLINDERS ONOVERLY CAUTIOUSMAKING PROGRESSAMP IT UP Not tracking FML Over-approvingleave requests May have acentralized team Outsourced leaveadministration Increased absencein their organization Still missingopportunities:– State andcompany leaves– Workers’ comp– ADA Looking to drivemore value fromtheir program– Reduce absence– Early interventionopportunities Don’t understandtheir responsibilitiesunder the law InconsistentprocessesConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna8
COMPLIANCECONCERNSHow would you feelabout turning overyour FML recordsto the DOL?
DOL/EEOC updateDOL enforcement update Same sex spousesFocusing on systemic issuesOn-site auditsRenewed emphasis on record keeping complianceConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna10
DOL/EEOC updateEEOC enforcement update Focusing on systemic issues Integrated case management Aggressively utilizing press releases Post ADAAA emphasis is on interactive processConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna11
EEOC press releasesConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna12
Change is constant. Challenge keeps growing.Defense ofMarriageAct(DOMA)AmericanswithDisabilitiesAct (ADA)199219901993 20001996FamilyMedicalLeave Act(FMLA)SpouseredefinedFMLAFMLA isrevised20092010ADA isrevisedConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna201320152015DOMArepealed13
DOL auditsIn 2013, DOL implemented an enforcementstrategy that included more on-siteinvestigations and policy reviews.1. US Department of Labor releases fiscal year 2014 budget request. .htm, April 10, 2014; FiscalYear 2014 Congressional Budget Justification U.S. Equal Employment Opportunity Commission, ential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna14
What employers can expectThe request for employment records is VERY broadNot uncommon to have very short timeframe betweennotice and actual visitNo allegations of specific complaint or wrongdoingCan conduct employee interviewsThe investigation could expand beyond one locationif systemic issues are foundUpdated policy and accurate tracking for all leavetypes is criticalConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna15
A leave of absence policy is the foundation on which all absence programs are builtDoes the policy help:Comply with FMLA & ADA regulations?Prevent and reduce costly absences?Optimize health, productivity and savings?1 out of every 4 employers1 out of every 5 employersare not using any type of systemfor managing and tracking ADA1are not using any type of systemfor managing and tracking FMLA11. DMEC/Spring Consulting, “Employer Leave Management Survey.” 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna16
Know the regulations and the risksFMLA12 weeks of leaveDeterminingeligibilityEmployeesmaintain healthbenefitsCoordinatingleavesJob protectionStaying compliantDon’t forget aboutstate lawsConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna17
In-house FMLA administration challengesSmall worksitesoutside of the50/75 ruleWork at homeemployeesConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 CignaField employees18
Coordination of leavesAVOID THECRUISINGEMPLOYEE!
Coordination of leaves:to control costs, every absence needs attentionWorkers’compConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 CignaInjuryIllnessCompanyleaves20
Coordination of leavesCan use WC or STDinformationIf informationsupports FMLA butnot STD or WCIf ADA reasonableaccommodation requestTo approveFMLAApprove FMLA anddeny STD or WCInformation providedto support ADA maybe used for FMLAdeterminationConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna21
Know the regulations and the risks2009 amendmentsADAFact specificBroad definitionof “disability”Applies to applicantsand employeesAmericans with Disabilities ActConsistent processis criticalConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 CignaManager training22
Employer obligations under the ADAInteractiveprocess Must engage with employee Conduct individualized assessments Document the processReasonableaccommodations Assist employee in performing essential job functions Fact specific Accommodation must be “reasonable”InflexibleLeave policies regulatory risk Unpaid leave can be a reasonable accommodation One size does not fit all Duration of leave depends on circumstancesConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna23
Keith v. County of Oakland,703 F.3d 918 (6th Cir. 2013) Keith v. County of Oakland, 703 F.3d 918 (6th Cir. 2013) Nicholas Keith sued County after not being hired as a lifeguard becausehe was deaf. Keith was initially offered the position, subject to his passing a medicalexamination. The examining physician, however, refused to clear Keith, stating,“He's deaf; he can't be a lifeguard.” When the County refused to hire Keith, Keith filed a lawsuit allegingdisability discrimination under the ADA. On appeal, the court held that questions of fact remained as to whetheror not Keith was “otherwise qualified” under the ADA.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna24
Coordination of leaves – ADA & FMLA Don’t forget the ADA whenadministering FMLA leave FMLA serious health conditioncan also qualify as a disabilityunder the ADAFMAFMLAADA Employees may be entitled toleave as an ADA reasonableaccommodation if not eligiblefor FMLAConfidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna25
FMLA/ADA mistakes“We only offer leave for employees on workers’ compensation.”“That’s our policy.”“You can come back to work once you have a full release.”“She said she was sick, but she never said she was disabled.”“The employee didn’t actually ask for an accommodation.”“His doctor released him, but we can’t take that risk.”Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna26
SOLUTIONS& STRATEGIESTO GET IT RIGHT
MORE THAN EVER – benefits need to provide VALUEEMPLOYEES are asking for:Value on day oneCigna Internal Research, “2014 GlobalRetail Strategy Research.” June 2014Individual supportand guidanceAon Hewitt, 2014 Consumer Health MindsetSense offinancial securityTowers Watson 2013/2014 GlobalBenefit Attitudes SurveyBUSINESSES need to:Maximize performanceand profitabilityTowers Watson, Global Talent Managementand Rewards Survey, September 2012Attract and retain top talentMercer Critical Talent Practices Survey, March 2014Engage andmotivate workforceAon Hewitt 2013 Trends in Global Employee EngagementHEALTHY. STRONG. FINANCIALLY SECURE.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna28
The challenges. The opportunities. Managing intermittent leave.BIG CHALLENGEAbuse/Fraud“Spring fever”“Weekend extenders”“Poor performer avoiders”Determining“serious healthcondition”80% of organizations say it’s the most difficult1activity to manage43% of employers spend 10-30 minutesrequesting and/or reviewing documentation2every time an FMLA leave is takenBIG OPPORTUNITIESTracking/AdministeringManage employeeresponsibilities andexpectations Consistent tracking and administrationOnly about 50% of family medical leaves were also ashort-term disability event3 Allows for deeper understanding of absence driversEmployees on a family medical leave are 50% morelikely to experience a future disability event41. DMEC/Spring Consulting, “Employer Leave Management Survey.” 2013.2. Mercer/Kronos Survey, “The Total Financial Impact of Employee Absences.” 2010.3. Cigna Internal Review, 2015.4. Integrated Benefits Institute, “Early Warnings: Using FMLA to Understand and Manage Disability Absence.” February, 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna29
Many over-approve intermittent leave requests48%of employersnever deny FMLfor any reason.1Which of these qualify?a.b.c.d.e.Caring for sick auntSchool closingsSpouse deployed to active dutyCar troubleInclement weatherAnswer: cBut we’ve heard them all1. Equal Employment Advisory Council, citing Department of Labor’s latest FMLA Survey, March 1, 2013.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna30
Early intervention can reduce costsReach outReach outExplain processSet expectationsInsight to challengesReferReferVocational servicesEAPHealth & WellnessLearnReviewPattern analysisFrequency/durationMonitoringLower risk lower cost5% of high risk customers drive almost 50% of costs1Leverage existing programs to target specific absence risks1. Published in the NIHCM Foundation Data Brief for July 2011 from the analysis of data from the 2008 Medical Expenditure Panel Survey.The top 5 percent of the population accounted for almost half (47.5 percent.)Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2015 Cigna31
The value of an integrated absence management programCompanies who combine Cigna disability and leave administrationcan see improved absence and n125% fewerrecurrentdisabilityclaims14% betterreturn-towork rates1 1,712averagecost savings1HealthierProductive26.9:1 ROI for 1,000 life companyTotal cost per employee2 21Total savings per employee2 1461. Cigna internal book of business study, 2013 vs. those with disability only. Test for statistical significance was conducted at the 95% confidence level. Forillustrative purposes only. Results are not guaranteed and actual client results will vary. Disability plans are insured or administered by Life Insurance Company ofNorth America or Cigna Life Insurance Company of New York.2. Cigna FMLA/STD Return on Investment Tool. June 2015. For illustrative purposes only. Results are not guaranteed and actual client results will vary.Confidential, unpublished property of Cigna. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. 2
5 The Family and Medical Leave Act (FMLA) went into effect on February 5, 1993 during the Clinton Administration and applies to employers with 50 or more employees The FMLA was signed by President Clinton guarantees up to 12 weeks of unpaid, job-protected medical leave The FMLA allows employees to balance their work and family life by taking
