A powertrain system includes an internal combustion engine and an electric machine coupled via a torque transfer device to a transmission. A method for operating the powertrain system to transfer torque to a driveline includes establishing an operating torque security limit that is a default torque security limit. The operating torque security limit is set to an override limit when engine speed is less than a threshold speed. A torque security fault is detected only when a combined torque output from the internal combustion engine and the electric machine to the torque transfer device deviates from an operator torque request by an amount greater than the operating torque security limit.