Being unable to work and earn a living because of a serious injury or illness can be financially devastating. Long-term disability benefits through an insurance company may be the answer to the financial challenges when you cannot work for an extended length of time.
Insurance companies offer long-term disability insurance policies that some employers offer as a benefit to their employees. If your employer does not offer it, you can purchase a policy on your own.
If a disabling injury or illness prevents you from working, you can file a claim with the insurance company that issued the policy. The insurer processes the claim and pays benefits according to the terms of the policy to replace a percentage of the income you lose from being unable to work.
When you or your employer purchases a long-term insurance policy, the insurance company agrees to pay a percentage of the income that you lose from being unable to work for an extended period. The disability preventing you from working usually must last for at least a year before benefits are paid through a long-term policy.
The typical percentage of income paid is in the range of 50% to 70% of your usual wages. The amount paid in benefits determines the cost of the policy. So, a policy paying 70% of your earnings would cost more than one paying only 50%. Long-term policies usually include a waiting period before they begin paying benefits once it is determined that you are disabled.
If your application for long-term disability has been denied, our attorneys may be able to help you. We can also help you file a Social Security Disability application.
If you do not have a long-term insurance policy through work or that you bought on your own, you should consider filing an application for Social Security disability through the Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI) programs. The SSI program does not require a work history and is a need-based program imposing strict limits on the income and resources you may have available to you.
SSDI is the better option for someone with a work history because it does not have the financial limitations on resources imposed by SSI. If your work record is long enough to qualify for benefits, SSDI pays a monthly benefit based on the amount of your lifetime earnings.
To be eligible for Social Security disability benefits, you must have a medically determinable physical or mental impairment preventing you from engaging in substantial gainful activity. The impairment must have lasted or be expected to last for at least 12 months or result in death.
Even if you have long-term disability insurance, you may be required by the terms of the policy to apply for SSDI benefits. If approved for SSDI, the monthly benefits you receive will offset the long-term disability benefits paid by the insurance company.
When issues arise with long-term disability benefits through an insurance policy or Social Security, the advice, guidance, and representation you need is available from the long-term disability lawyers at Disability Partners, PLLC. Contact us today for a free consultation.