If you sustain an injury or suffer from a medical condition that prevents you from carrying on with your work for an extended time period, then you can approach your insurance carrier for long-term disability (LTD) benefits. This is an insurance scheme that provides covered members with the financial restitution they need to provide for themselves and their loved ones.
However, like with any other insurance policy, your long-term disability insurance claim can be terminated due to a number of reasons. As such, it is important that you read and understand your policy so you can avoid mistakes that can result in the cancellation of your claim.
Here are common reasons why insurance companies terminate long-term disability claims:
Abandoning your treatment plan
Long-term disability benefits are meant for individuals who have sustained an injury or illness that renders them unable to work. To be eligible for compensation, the insurance policy will require you to provide routine proof of your disability. This can come in the form of a periodic doctor’s report indicating that your injury or illness is still persistent, meaning that you cannot resume your work. It is important that you follow through with your doctor appointments as well as the treatment plan. If you fail to do so, the insurance company is likely to believe that your condition has since improved hence you do not deserve any further benefits.
Failing to invoke your Social Security Disability (SSD) benefits
If you obtained your disability insurance policy through your employer, then it is highly likely your disability insurance policy will require that you apply for Social Security Disability benefits at some point so they can use these payments to offset your benefits. If this is the case, then it is important that you apply for SSD as soon as you become eligible. Failing to apply for SSD when you qualify can result in the insurance company terminating your long-term disability benefits.
Long-term disability insurance claims can provide a crucial lifeline for an injured or disabled employee. However, it is important to understand that these benefits can be terminated if you violate the policy terms.