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Everything You Need to Know About Long-Term Disability Coverage

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Let’s say that you become extremely sick out of blue, and you begin missing days and days of work because of your continual absences. It’s becoming difficult to even make trips to the grocery store, and your whole life has become affected by your illness. You have no means of providing for yourself or your family, and you’re worried about your future in the long run. How will you be able to make a living? Are you going to lose your job? Are there any options out there to help you through this? The good news is that there are options; you just need someone that knows what you will be eligible to receive in your particular situation. Long-term benefits are available for employees with a short-term or long-term disability.

 

If you are in a similar situation, you should look into long-term disability as an option. A lawyer will help you through the process and find out what compensation you are eligible to receive for your injuries.

 

Partial and Residual Disability

 

Partial Benefits

 

Partial benefits are geared towards an employee that qualifies for total disability benefits, but is able to work in a reduced capacity. The benefit amount will vary, as it depends on the loss of income. The loss of income has to total 15% - 20%, compared to the amount that they would usually earn.

 

Residual Benefits

 

An employee can apply for residual benefits when the disability period equals the initial assessment period. These benefits equal a percentage of insured earnings, and this is when the disability prevents them from being employed fully.

 

What is a Benefit Maximum?

 

There are two different types of maximums that apply to long-term benefits and they include: an overall maximum and a non-evidence maximum. A non-evidence maximum is the amount of money that your insurance will provide you with, asking for no evidence of your health when you enroll. Medical evidence will need to be provided to ask for a higher amount, and the overall maximum is the most that an insurance company is willing to insure you for.

 

When will Your Benefits be Terminated?

 

Your long-term benefits will be terminated if the employee:

 

  • Dies;
  • Retires;
  • Recovers;
  • Does not submit proof of the disability;
  • Does not report a medical examination required;
  • Does not participate in rehabilitation;
  • Is in prison; or
  • Turns 65 years-of-age.

 

These are all scenarios that would end an employee’s long-term benefits.

 

Hiring a Toronto Personal Injury Lawyer

 

A Toronto personal injury lawyer will help you through your case and let you know what benefits you are eligible to receive. Long-term benefits will help you to provide for yourself and for your family when you are injured or ill. Book an appointment with a Toronto personal injury lawyer at Sokoloff to see what your options are.

 

Sources:

https://www.sunlife.ca/static/canada/Sponsor/About%20Group%20Benefits/Forms/Static%20files%20for%20the%20Forms%20page/LTD_Plan_Member_(Non-SunAdvantage)_Package_E_enabled.pdf

http://humanresources.about.com/od/glossaryl/g/long-term-disability-insurance.htm

http://www.benefitsconsultant.ca/group-benefits/long-term-disability-insurance.html