What is Long Term Disability (LTD)?
You may have heard of workers’ compensation insurance, Social Security Disability Insurance (SSDI), and SSI, but there are other types of disability plans that are afforded to individuals when they find themselves disabled and unable to work.
Long term disability (LTD) is a type of disability insurance plan that is provided by employers, similarly to workers’ comp. However, unlike workers’ compensation, LTD is paid to an employee even if the injury they sustained was not acquired at work.
Additionally, LTD is meant to provide financial support to an injured worker for a limited period of time until they are able to return to work, as is short term disability. Workers’ compensation is designed to support the disabled individual indefinitely, or until their condition improves.
Both long term and short term disability insurance benefits are paid only as long as the claimant is employed by the company responsible for paying for the insurance.
What is Short Term Disability?
Short term disability benefits are paid to an injured employee for a limited period of time until they can return to work. This ensures the company does not lose a valued employee in the meantime, and said employee is able to return to their job when their illness or injury resolves.
Long term disability benefits are often tied into short term disability policies. If the beneficiary’s short term benefits run out before they are fully recovered, long term disability then kicks in and covers a portion of their financial burdens until they can safely return to work. However, in order to receive LTD benefits the claimant must be unable to work at any job due to their medical condition, versus with short term disability the claimant must only be unable to perform their existing work duties.
How Long Does Long Term Disability Last?
Long term disability insurance lasts longer than short term disability. While short term disability benefits usually last 3-6 months, and sometimes up to a year, long term disability can last from 2 to 10 years, or even the lifetime of the employer responsible for the policy.
Why Hire A Disability Insurance Attorney Before Filing for LTD
Filing for LTD benefits can be difficult, but with a qualified long term disability attorney in Illinois from Jeffrey A. Rabin & Associates on your side, the process will be simple and you will have better chances of getting the financial assistance you need. Our attorneys know how to make sure your claim is filed correctly, and what information to provide the insurer in order to maximize your chances of being approved for benefits.
How to Qualify for Long Term Disability
Long term disability requires the claimant be unable to perform any type of work due to their injuries, in most cases, and qualifying circumstances are laid out within each individual policy. The claimant’s disabling condition must also be expected to last longer than the elimination period dictated by the policy.
Additionally, if a claimant qualifies for other financial assistance programs, such as Social Security Disability Insurance, they will no longer be eligible for LTD.
Is Long Term Disability Taxed?
Long term disability benefits may be taxed depending on how they are funded, and they only equate to a percentage of the claimant’s normal wages.
Common Causes of Long Term Disability
Long term disability will only cover specific injuries and conditions that are outlined in each individual policy. Some examples of situations that may qualify an individual for LTD include the following:
- Cancer Therapies
- Chronic Pain
- Pregnancy
- Debilitating Injuries or Illness
- Neurological Conditions
- Balance Related Issues
- Vision Disorders
- Carpal Tunnel
- Auto-Immune Disorders
- Chronic Fatigue Syndrome
- Mental Illness
Reasons for Long Term Disability Denial
Just like SSDI and SSI, long term disability claims can be denied if not filed properly, or if the disabling condition the claimant is suffering from is not covered by the LTD policy.
Below is a list of reasons why a claim might be denied by a disability insurance company.
- Improper Coverage
- Lack of Proper Notice
- Insufficient Medical Evidence
- Lack of Medical Treatment
- Condition/Injury Occurred as A Result of Illegal Activity
- A Claimant’s Daily Activities Contradict their Disability Claim
- Pre-Existing Conditions
- No Support from Treating Physician
- No Evidence of Measurable Restrictions or Limitations
- Video Evidence or Social Media Evidence that Counters the Claim
- The Policy Changes from “any occupation” to “own occupation,” Eliminating Eligibility
Appealing Long Term Disability Denial
When a long term disability claim is denied, the claimant is given a limited amount of time to appeal. The claimant must understand why their original claim was denied, and be sure to follow the rules for filing their appeal closely and carefully.
Working with a qualified long term disability lawyer when filing an appeal is supremely beneficial. Not only will your attorney ensure your claim is filed on time and appropriately, with substantial supporting evidence, they will also be able to fully understand and explain the legalese of the original denial.
Contact Jeffrey A. Rabin & Associates Today
If you are looking into filing a long term disability claim with an insurance company, or your recent claim has been denied, contact the disability insurance lawyers in Chicago at Jeffrey A. Rabin & Associates. We make it our mission to get our clients the benefits they need and deserve.
