Long-term disability insurance is an important form of protection for working professionals. Those who are the primary wage earners for their families may need coverage to protect them from scenarios in which they become incapable of meeting their families’ needs. Those without spouses or close family members may need disability policies as they do not have a social safety net to protect them in the event of a major medical issue.
Some people purchase private long-term disability policies for their own protection. Many well-compensated professionals receive disability insurance as part of a comprehensive benefits package. Those who find themselves unable to work for an extended amount of time may need to file a claim for long-term disability benefits.
Those preparing for claims may need to be proactive to ensure that they avoid the three common mistakes people often make when they need long-term disability benefits.
Failing to review policy documents
Every insurance policy is unique. While every policy generally needs to comply with state law and federal regulations, the exact coverage available and the rules for making a claim differ from one policy and company to the next. Those intending to file a long-term disability insurance claim need to review policy documents to determine when long-term disability coverage becomes available. They may also need to review company policies to learn the timeline for submitting documentation to the insurance company.
Submitting inadequate documentation
Many people with debilitating medical conditions make the mistake of assuming that their diagnosis may speak for itself. They may operate under the assumption that anyone who hears about their condition should automatically understand the severity of their medical challenges. The reality is that even the same condition can present differently from one case to the next. In-depth testing, such as functional capacity evaluations, is often necessary to affirm the severity of a medical condition. Insufficient medical evidence is a leading cause of denied or delayed claims.
Giving up after a denial
Insurance companies have a legal obligation to uphold their policies in good faith. Still, they frequently look for any excuse to justify denying long-term disability benefits. Small mistakes can deprive people of the financial support that they deserve based on the coverage that they have long carried. Rather than giving up immediately after a negative determination, policyholders often need to prepare themselves for a complicated appeals process. With the right assistance, policyholders can sometimes get benefits even after an initial denial.
Understanding the mistakes that can complicate long-term disability benefit claims may help people make use of their long-term disability insurance coverage. Policyholders can secure partial wage replacement through disability benefits if they understand their rights and take appropriate steps to assert them.