Texas Income Protection Plan^SM (TIPP) for Active Employees

The Texas Income Protection Plan^SM (TIPP) offers short-term and long-term disability coverage that protects your income by paying a percentage of your paycheck if you become totally disabled. Total disability refers to a participant who cannot perform their job duties due to a disablement (such as a medical illness, injury or pregnancy) that has been certified by an approved practitioner. Plans are only available to active employees under the Texas Employees Group Benefits Program (employee family members are not eligible).

Plan Benefits (effective Sept. 1, 2024 and after)

Short-term disability overview

Once a participant's claim is approved, short-term disability provides 66% of your monthly salary up to a maximum benefit of $6,600.00 per month with benefits payable for a period of up to five and a half months (a maximum of 166 days) after completion of your 14-day waiting period or use all available sick leave (including extended sick leave, donated sick leave and sick leave pool), whichever is longest. To be eligible for benefits, you must provide a physician certification stating you are totally disabled and unable to work.

Long-term disability overview

Once a participant's claim is approved, long-term disability provides 60% of your monthly salary up to a maximum benefit of $6,0000 per month. Benefits are payable until you are able to return to work or until you reach your Maximum Benefit Period (based on the age you become disabled) or based on the condition causing your disability. You must complete the 180-day waiting period or use all available sick leave (including extended sick leave, donated sick leave and sick leave pool), whichever is longest before you can be approved for a claim. To be eligible for benefits, you must provide a physician certification stating you are totally disabled and unable to work.

Eligibility and Enrollment

• TIPP is not available to family members of active employees or retirees.
• You can enroll in one or both disability plans.
• You can enroll in TIPP during your first 31 days of employment without evidence of insurability.
• Evidence of insurability is required if you have a qualifying life event (QLE), such as a birth, marriage or during Summer Enrollment. Approval is not guaranteed.

State agency paid parental leave coordination with TIPP short-term disability insurance

Effective September 1, 2023 Texas Senate Bill 222 provided paid leave to eligible state agency employees who are parents of new children. In response to this legislation, ERS has clarified that new mothers participating in TIPP short-term disability insurance do not have to exhaust paid parental leave before they can start receiving short-term disability payments for an eligible maternity claim.

However, they still have to complete the disability waiting period or exhaust all available sick leave, whichever is longer. TIPP coverage will not apply if available sick leave lasts longer than the Maximum Benefit Period.

Note: Paid parental leave under SB 222 is available to any eligible state agency employee with a newborn or newly adopted child. TIPP disability payments are available to mothers who:

• work at participating state agency or higher education institutions,
• have TIPP coverage,
• are pregnant or recently gave birth and
•  complete the waiting period and/or used all sick leave.

ERS does not administer paid parental leave. To learn if you are eligible for paid parental leave, contact your human resources department.

Resources

• Limitations and exclusions
• Filing a Claim
• TIPP Payments
• FAQs