Many employees receive disability insurance through an employer sponsored plan. But as a professional, you might buy your own. Medical professionals, lawyers and executives often pay for individual disability insurance (IDI) that can provide broader benefits. Yet, the costly premiums IDI plans carry may seem worthless if you’ve faced a denied disability claim. In this case, it’s important to understand what steps you can take.
Why IDI claims face rejection
You may need IDI if you run a business or private practice. Or, you may opt for it because it offers greater income protection than many group policies. Yet, the high value of IDI claims is one of the main reasons your insurance company may have rejected yours. They might not have wanted to pay out your claim’s full value, which could prove a considerable sum. And if your insurance company does offer you benefits, they may be of insufficient length or value.
What you can do
If your claim faces rejection, you will need to pursue legal action against your insurance company. The burden of proof is on you to provide evidence of your disability in this case. Any evidence you gather must show that your disability prevents you from performing the duties of your own occupation. This can include:
- Comprehensive medical records
- A specialist’s opinion regarding your disability
- Proof that your insurer denied your claim in bad faith
Yet, you may have worked in a highly specialized role. In this case, your policy may allow you to receive benefits while working in a different position where you no longer perform specific tasks. But make sure to check your policy’s language regardless. Yours may deny you benefits altogether unless your disability keeps you from performing the duties of any occupation.
Receiving disability benefits through an IDI plan can seem like an uphill battle. But by understanding your policy and the reasons why insurers reject disability claims, you will know what steps you need to take to make your case.