6 Questions: Understanding Long-Term Disability Insurance
When it comes to long-term disability insurance, there is a large number of complexities that must be navigated and only few people who truly understand them. It’s not something that most workers understand and certainly less know their rights.
There are a number of questions that arise from workers who are considering disability insurance, going through the process of filing a claim, or those who are unsure of what options they have. While there are some issues, it doesn’t have to be a confusing or difficult process.
Because of the complexities involved, having a disability insurance attorney available to ask questions regarding long-term disability insurance is important. Our firm answers six common questions we receive to help you understand the benefits of long-term disability, why it’s important, and what to expect during a claim.
1. Do I Need to Have Long-Term Disability Insurance?
There are a number of individuals who rely on their income to live their lives in a normal manner. Unfortunately, there are specific situations that can put workers in harm and, as a result, they can sustain serious injuries.
This puts their abilities to perform their job at risk, making it so they either have a more difficult time earning their income, or preventing them from working altogether. This means less income—or even none in various circumstances.
Long-term disability insurance helps individuals who either sustain a serious injury or develop an illness. This helps individuals who are without income for roughly 90 days or more cover the expenses that they have such as rent or mortgage, food, and other important living expenses.
While you are not required to have long-term disability insurance, it’s advisable in order to protect yourself and your income in the event of an illness or injury.
2. What are the Difficulties In Filing a Claim?
Filing a claim comes with a number of concerns. While many insurance companies are looking out for those that they cover, some are also focused on their own profits and bottom line. This means they may not be so quick to provide the full coverage amount.
In some cases, they may even outright deny claims.
Filing a claim means having all information and ensuring its accuracy. The more information you have when filing a claim, the more likely you are to be approved. However, you may also need to ensure you meet specific deadlines and have a full understanding of what is necessary to move forward successfully.
3. If a Premium Goes Up, Is It Still Worth It?
Typically, premiums for long-term disability insurance can increase based on an individual’s age because the chance of disability increases. The higher the risk of injury and illness, the more you should expect to pay.
Many people wonder if it is still worth it to pay as premiums increase. The answer depends on the specific individual and their own feelings on the situation. However, there is something that you should keep in mind.
While the cost of long-term disability insurance may increase, would it be more harmful to you to pay the premium, or to pay for your expenses should an injury or illness occur and you no longer have an income?
If this is something that you feel is important, than paying a higher premium should be of no concerned when related to potential costs of lost income.
4. Does My Long-Term Disability Insurance Stay If I Change Jobs?
This depends on the type of policy you have and your provider.
If you have long-term disability through your current job as part of a group policy, the coverage may not be transferrable. You would most likely need to apply for a new policy through an individual policy or through a group policy with your new employer.
For those with long-term disability through an individual policy, this type of coverage is most likely transferrable to your next job. Some policies may even have unemployment waivers that help you cover premium for a specific amount of time while unemployed.
5. Should I Still Have an Individual Policy If My Work Covers Me?
Know that your employer may provide long-term disability insurance, but there can also be various limits that may keep you from covering your expenses. This means you may receive some benefits, but it may not be enough to cover your obligations.
By getting an individual long-term disability insurance policy, you can choose your limits based on the premium you want to pay and your expenses that need to be covered. You’ll also have a full understanding of any limitations or restrictions your policy carries.
6. If My Claim Is Denied, Is That the End of the Road?
Many people file a claim for disability insurance benefits, get denied, and stop pursuing them because they feel that’s all there is to it. They may not even think of alternate options they may have or finding out exactly why they were denied.
Instead of accepting a denial, it’s more important to understand what this situation means and what options you have to move forward.
You can appeal a denial with the proper information, knowledge of why you were denied, and the help of a skilled disability insurance attorney who knows how to navigate these complex cases.
Many individuals are denied, but it could be attributed to something as simple as missing information on the claim. Instead, speak with an attorney who can analyze the paperwork, file an appeal, help you make deadlines, and present the necessary and accurate information needed to have your claim accepted.
At Dabdoub Law Firm, we have more than 20 years of experience helping individuals navigate disability insurance claims. We know why they are often denied and what’s at stake for workers. We work hard to help our clients seek the benefits they need when they’re no longer able to work.
If you’ve been injured or developed an illness that has kept you from working and earning an income, we may be able to help. We encourage you to have a long-term disability insurance policy and speak with our team regarding how to protect your rights and what may be done to keep you out of financial hardship.
Call us today at (800) 969-0488 to discuss your potential claim.