The Relationship Between Private Disability Insurance and SSDI Benefits at a Glance
When you’re dealing with a disability, having the right benefits can be critical to your daily life. Those receiving private disability insurance may be asking whether they’re eligible for Social Security disability insurance when receiving private disability insurance benefits. The SSDI process can be complicated enough on its own; determining how it’s impacted by private disability insurance can make it feel even more confusing.
The good news is that, generally, you can receive both private disability insurance and SSDI benefits. However, there are some key details to be aware of. At Phillip M. Hendry Law, we have over 30 years of legal experience. Learn how we can help navigate the SSDI application process and maximize your benefits. If you’re in Louisiana, East Texas, or Southwest Arkansas, our knowledgeable social security disability lawyer can help.
Understanding Private Disability Insurance and Your SSDI Eligibility
Can you get Social Security disability benefits if you’re already receiving private disability insurance payments? Fortunately, it is possible, but there are details you need to know if this is your situation.
SSDI Basics
Determining whether you can receive SSDI benefits starts with the basics. Your eligibility depends on the severity of your impairment, how long it is expected to last, and how it affects your ability to participate in substantial gainful activity (SGA). You must meet general guidelines during the SSDI application process, which include:
- Having enough work credits by working at a job covered by Social Security
- Having a medically determinable impairment that meets the strict Social Security Administration (SSA) criteria for disability
- Having a severe impairment expected to last at least 12 months or result in death
SSDI Eligibility With Private Disability Insurance
According to the SSA, private insurance sources generally do not impact your SSDI benefits. These sources would include payments from private pensions or insurance benefits. However, workers' compensation and any public disability payments generally reduce the amount of your SSDI eligibility. (Though there are some exceptions, such as Veterans Administration benefits and Supplemental Security Income (SSI) benefits). Factors that may impact your SSDI eligibility include:
- A required SSDI application. Your private disability insurance may require you to apply for SSDI benefits. Many have a specific clause requiring this application. Navigating multiple types of disability insurance can be confusing, but our caring SSDI lawyer can help you work through the process to make the most of your benefits.
- Deadlines. You may need to apply for SSDI benefits within a certain timeframe. The clause in your private disability insurance may further detail that you must apply for SSDI benefits within a specific amount of time.
- Offsetting payments. Generally, you will not receive the full amount from both the private disability insurance and your SSDI. Private insurance will typically reduce or offset the payments you receive from them according to what you receive from the SSA.
- Lump sum reimbursement. If you receive a lump-sum payment from a private disability insurance policy and later start receiving SSDI benefits, you may be required to pay back a portion of that payment. A knowledgeable SSDI lawyer at Phillip M. Hendry Law can help you understand how to handle this type of situation.
Benefits of Applying for SSDI With Long-Term Disability Benefits
Ensuring you are receiving benefits from all available sources can help you access more security. For instance, you may gain:
- Financial stability. If one of your disability payment sources is cut off or delayed, you still have the other to fall back on.
- Assurance of Cost-of-Living Adjustments (COLA). With SSDI, you automatically have the peace of mind that they will periodically evaluate cost-of-living increases and adjust payouts accordingly.
- Compliance with your private or employer-sponsored disability company. By knowing your policy and complying with their SSDI-related requirements, you can be at ease knowing you are doing all you need to keep your private policy intact.
How Phillip M. Hendry Law Can Help You Navigate SSDI Eligibility and Private Disability Insurance
The SSDI process can be confusing, but Phillip M. Hendry Law has the experience to help make it less stressful. If you are receiving private disability insurance benefits, it’s critical to know and understand your policy to ensure you’re meeting the requirements. Our team knows the ins and outs of unique disability situations, and we can walk you through the process to meet all criteria and seek maximized benefits. You’re not alone; with Phillip M. Hendry Law on your side, you can get peace of mind knowing we’re watching out for your rights.