Hostname: page-component-7479d7b7d-m9pkr Total loading time: 0 Render date: 2024-07-10T15:28:10.124Z Has data issue: false hasContentIssue false

A cost-benefit analysis: implementing temporary disability insurance in Washington State

Published online by Cambridge University Press:  26 April 2013

Dan F. Jacoby*
Affiliation:
University of Washington, Bothell - School of Interdisciplinary Arts and Sciences 18115 Campus Way, NE Bothell, WA 98011, USA
*
Dan F. Jacoby, University of Washington, Bothell - School of Interdisciplinary Arts and Sciences 18115 Campus Way, NE Bothell, WA 98011, USAdjacoby@uwb.edu
Rights & Permissions [Opens in a new window]

Abstract

Core share and HTML view are not available for this content. However, as you have access to this content, a full PDF is available via the ‘Save PDF’ action button.

Five states and Puerto Rico currently provide disability insurance to persons unable to work due to temporary disability. No states have adopted such policies since 1969. Labor unions and other advocacy groups have advanced bills in Washington and Oregon that would establish a public disability insurance plan to provide partial wage replacement for serious illness, accident and pregnancy. This paper estimates annual costs and benefits for a temporary disability insurance program in Washington State under the assumption that it would mirror the disability provisions in California without paid family leave.

Type
Article
Copyright
Copyright © Society for Benefit-Cost Analysis 2013

References

Albelda, R., & Clayton-Matthews, A. (2006). Sharing the costs, reaping the benefits: paid family and medical leave in massachusetts, the future of work papers series. Paper No. 2, June 2006. Labor Resource Center, UMass Boston and the Institute for Women’s Policy Research, Washington, DC.Google Scholar
American Council of Life Insurance (2011). Factbook. Chapter 11, disability and long-term care insurance. Available at: http://www.acli.com/Tools/Industry%20Facts/Life%20Insurers%20Fact%20Book/Pages/GR11-198.aspx. Accessed on April 12, 2013.Google Scholar
Bolin, J. N. (2007). How well are we doing addressing disability in America? Examining the status of adults with chronic conditions, 1995–2005. Journal of Health and Human Services Winter, 30(3), 306326.Google Scholar
Christianson, D. I. (2007). Disability income insurance: the private market and the impact of genetic testing. Journal of Law Medicine Ethics, 35(Suppl2), 4046.CrossRefGoogle ScholarPubMed
California State Disability Insurance Program. Strategic Plan, 2007–11.Google Scholar
Chandra, A., & Samwich, A. (2005). Disability risk and the value of disability insurance. NBER Working Paper Number 11605.CrossRefGoogle Scholar
Dube, A., & Kaplan, E. (2002). Paid family leave in California: an analysis of costs and benefits. Unpublished manuscript Available at: http://www.laborproject.org/publications/pdf/dube.pdf. Accessed on November 11 2004.Google Scholar
Danis, M., Lovett, F., Sabik, L., Adidkes, K., Cheng, G., & Aomo, T. (2007). Low-income employees’ choices regarding employment benefits aimed at improving the socioeconomic determinants of health. American Journal of Public Health, 97(9), 16501657.Google Scholar
Employment Development Department, State of California (Oct. 2011). Disability Insurance (DI) Fund Forecast.Google Scholar
Gates, L., Talker, Y., & Akabas, S.Optimizing return to work among newly disabled workers: a new approach toward cost containment. Benefits Quarterly, 5(2), 1926Google Scholar
Gruber, J. (2000). Disability insurance benefits and labor supply. The Journal of Political Economy, 108(6), 11621183.Google Scholar
Gruber, J. (2010). Public finance and public policy (3rd ed.). New York, NY: Worth Publishers.Google Scholar
Hendren, N. (2012). Private information and insurance rejections. NBER Working Paper Series 18282.Google Scholar
Hengst, S., & Kleiner, B. H. (2002). Implications of the family and medical leave act for organizations. Managerial Law, 44, 915.Google Scholar
Jacoby, D. (2011). Preliminary report on cost and benefits of temporary disability insurance in Washington state, commissioned by ILWU.Google Scholar
Liu, S., & Chollet, D (2006). Price and income elasticity of the demand for health insurance and health care services: a critical review of the literature. Final report. Mathematical Policy Research, Inc. Reference No. 6203–042.Google Scholar
Lovell, V. (2004). Estimating the costs of paid family and medical leave. Washington, DC: Institute for Women’s Policy Research.Google Scholar
Miller, P. S. (2007). Genetic testing and the future of disability insurance: thinking about discrimination in the genetic age. Journal of Law Medicine Ethics, 35(2 Suppl), 4751.Google Scholar
Naples, M., & Frank, M. (2007). The fiscal viability of New Jersey family leave insurance. Institute for Women’t Policy Research.Google Scholar
Nevada Legislative Counsel Bureau. Temporary disability benefits. Bulletin No 33. December 1958.Google Scholar
Pauly, M., Withers, K., Subramanian-VIswanathan, K., Lemaire, J., Hershey, J., Armstrong, K., & Asch, D. (2003). Price elasticity of demand for term life insurance and adverse selection. NBER Working Paper No. 9925.CrossRefGoogle Scholar
US Social Security Administration (1994). The first Six Months. Social Security Bulletin, 57, 3.Google Scholar
Waldfogel, J. (1999). The impact of the family and medical leave act. Journal of Policy Analysis and Management, 18(2), 281302.Google Scholar
US Social Security Administration. A primer: social security act programs to assist the disabled. Social Security Bulletin, (2005/06). 66(1), 5359.Google Scholar
US Social Security Administration, Annual Statistical Supplement to the Social Security Bulletin, 2010.Google Scholar
US Department of Labor (2000). Balancing the needs of families, FMLA Survey Report http://www.dol.gov/whd/fmla/toc.htm. Accessed on August 1, 2011.Google Scholar