Q. How do I calculate the daily rate I can carry?
A. LECMPA coverage is calculated based on a 7-day week, so you need to start with your average gross monthly wage. Take that amount and divide by 30 for the acceptable daily rate. Remember that coverage is issued in increments of $3. So for example, if you average monthly gross is $3,600: $3,600/30 = $120/day maximum.
Q. What are the “wages” I can insure?
A. LECMPA insures your “average daily wage”, which means your taxable income for services provided to your employer. Expense allowances, “per diem”, and similar types of reimbursement are not wages, and LECMPA cannot insure them. You can generally tell the difference because wages are taxed and other types of payments are not. If you are in doubt, contact the Home Office to discuss your concerns.