Long Term Disability Denials: Navigating the Challenges


Long-term disability (LTD) insurance financially supports individuals who cannot work due to a disabling injury or illness. However, not all LTD claims are approved, leading to stress and uncertainty for those affected. Understanding the reasons behind LTD denials and how to appeal the decision effectively is essential.

Common reasons for LTD denials include not meeting the policy’s required duration of employment, having a pre-existing condition, or missing a deadline when filing the initial claim (Disability.ca).

Denial may also occur if the insurance company believes there is insufficient medical evidence to prove that the individual is disabled or if they see little improvement in their condition.

Understanding Long-Term Disability

Long-term disability (LTD) insurance is designed to provide financial assistance to individuals who cannot work due to a disability for an extended period.

Definition and Benefits

LTD policies typically offer a monthly benefit, a percentage of the individual’s pre-disability income, usually ranging from 50% to 70%. The definition of disability and the duration of coverage can vary between policies. Still, LTD benefits are generally meant to replace a portion of the income that would otherwise be lost due to disability.

Eligibility and Process

To qualify for LTD benefits, the applicant must meet specific criteria. The first step is to ensure the applicant has a qualifying disability defined by the insurance policy. Beyond that, there are typically some additional requirements:

  • An individual must have been employed for a certain period or have had the policy for a specific duration before being eligible for benefits.
  • Many policies require that the applicant be considered disabled for a specified waiting period, usually between 90 and 180 days before benefits can begin.
  • Depending on the policy, pre-existing conditions may not be covered, or benefits may be limited.

After applying with the necessary medical documentation, the insurer will review the claim to determine if the applicant is eligible for benefits. If approved, the benefits can continue for a specific number of years or until a certain age, as defined by the policy.

Common Reasons for Denials

Insufficient Medical Evidence

One of the most common reasons for long-term disability denials is insufficient medical evidence. It is essential to have supportive medical records, such as regular medical treatment and documentation from healthcare providers, to strengthen your case. Without sufficient evidence, it becomes challenging to prove the extent of your disability.

Pre-Existing Conditions

Another common reason for claim denials involves pre-existing conditions. Some long-term disability coverage may be limited or excluded if your disability stems from a pre-existing condition such as arthritis, carpal tunnel syndrome, or chronic pain.

Policy Exclusions

Long-term disability policies often contain specific exclusions for certain conditions or situations. Some typical policy exclusions include:

  •     Stress-related disabilities, such as anxiety and depression.
  •     Self-inflicted injuries or illnesses.
  •     Drug or alcohol abuse.

Incomplete or Inaccurate Information

Providing incomplete or inaccurate information on your long-term disability application may result in denial. Ensure you thoroughly complete all necessary forms and double-check the information you provide. Additionally, meet all deadlines and submit documents promptly to avoid late filing issues.

Appealing Long Term Disability Denials

Understanding Your Rights

When your long-term disability claim is denied, it’s crucial to understand your rights under federal and state laws. Under the Employee Retirement Income Security Act (ERISA), you have the legal right to appeal a wrongful denial of a long-term disability claim decision.

Appeal Process

You must submit additional documentation and provide evidence supporting your case during the appeal process. It is usually best to seek legal help when appealing a denied claim. An experienced disability attorney can review your policy, guide you through the appeals process, and represent you in court if necessary.

Documenting Your Claim

Documenting your claim thoroughly and accurately is essential, as this is the most important part of the application process.

  •     Keep a record of all medical appointments and treatments.
  •     Document all conversations with the insurance provider.
  •     Stay in contact with your doctor to ensure they send any relevant records or reports to the insurer as soon as possible.
  •   Obtain additional statements from family members, former coworkers, or other individuals who can provide information to support your case.
  •   Contact a qualified disability attorney to review your denial letter and advise you on appealing the decision.

Appealing a long-term disability denial is complicated and requires documentation of your medical condition and inability to work. Understand your legal rights, gather supporting evidence for your appeal, and contact a qualified disability attorney if necessary. With the right resources and knowledge, you can successfully challenge your long-term disability denial.

Seeking Legal Assistance

When facing a long-term disability denial, seeking legal assistance to navigate the appeal process may be beneficial.

When to Consult an Attorney

It is advisable to consult an attorney after receiving a denial of your long-term disability claim. An attorney specializing in disability cases can help you better understand your options and guide you through the administrative appeal process, increasing your chances of a successful outcome. As found in the Disability Denials article (https://disabilitydenials.com/disability-insurance-claims/long-term-disability-insurance-denial-need-an-attorney/), many claimants work with a legal expert to appeal their initial denial.

Selecting the Right Attorney

When selecting an attorney to represent you in your long-term disability appeal, consider the following factors:

  • Experience: Choose an attorney with expertise in handling long-term disability cases and a thorough understanding of disability laws.
  • Success Rate: Look for an attorney with a proven track record of appealing disability claim denials.
  • Accessibility: Ensure the attorney is easily accessible, responsive to your communication, and will keep you informed about developments in your case.
  • Fees: Ensure you understand the fee structure before hiring an attorney. In many cases, disability attorneys work on a contingency fee basis, meaning they only get paid if they successfully resolve your case.

Researching and selecting the right attorney can greatly impact the success of your long-term disability appeal and help you secure the benefits you need.

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