The Administrator, with the approval of the Board, may establish a long-term or a short-term disability benefits program, which shall provide an annuity in the event of total and permanent disability. Disability benefits may be provided through one or more disability insurance contracts with one or more insurance companies authorized by the Insurance Commissioner of Puerto Rico to conduct business in Puerto Rico. The determination as to whether a person is totally and permanently disabled may be made by the insurance company that issues the insurance policy covering the person or by the Administrator. All the participants of the Program who are employees shall avail themselves of the disability benefits program in the manner and form established by the Administrator.
Provided, That the participants that have chosen the rollover option provided in § 786-1 of this title and those appointed as of January 1, 2000, shall be covered by the disability provisions established in §§ 769 and 770 of this title until the Employees Retirement System of the Government establishes the disability benefits program provided in this section. However, those participants that avail themselves of the provisions of §§ 769 and 770 by mandate of this section shall continue with such benefit even after the System implements the disability benefits program.
After the Administrator determines and notifies the disability under the established rules and the participant avails himself of a disability pension under §§ 769 and 770 of this title, the balance of the savings account of the participant shall be withheld by the Retirement System and shall be covered into a reserve account designated for the participant to defray said benefit, for which the provisions of § 786-10 of this title shall not apply. If the participant opts to receive the balance of his savings account, it is understood that he waives his right to request and/or receive a disability pension under the provisions of §§ 769 and 770 of this title.
If the employee avails himself of a disability pension under §§ 769 and 770 of this title and afterwards the Administration, pursuant to § 771 of this title, conducts an examination and determines that his reinstatement into his job is in order, the amount, if any, in the reserve account of the participant that has not been used as a disability pension benefit shall be restored to his savings account.
Upon the death of a participant who is covered by the provisions of §§ 761 et seq. of this title, the person or persons designated by the participant shall be paid the amount, if any, in the reserve account of the participant not used as a disability pension benefit.
The Retirement Systems Administration shall notify the participants by means of a circular letter of the implementation of the Disability Insurance Program. Once said program is implemented, the participants who avail themselves of the same shall exclusively enjoy the benefits granted by the program and be excluded from the benefits under §§ 769 and 770 of this title. Those participants who do not avail themselves of the Disability Insurance Program shall not enjoy the benefits of said program nor the benefits under §§ 769 and 770 of this title provided in §§ 761 et seq. of this title.
History —May 15, 1951, No. 447, p. 1298, added as § 3-111 on Sept. 24, 1999, No. 305, § 30; Sept. 15, 2004, No. 296, § 11; renumbered as § 3-109 on April 4, 2013, No. 3, § 10, eff. July 1, 2013.