Disability Insurance Articles
Reporting Changes In Health After Disability Insurance Payments Start
2010-09-14
A disability insurance policy can be an excellent way to ensure that you are taken care of during the course of a disability interrupting your work or home life. Most group insurance plans will include a form of disability insurance that will provide an employee a portion of their salary over the time that they are disabled and unable to work. It must be stated at the outset that this is not long-term care insurance - disability insurance is meant to take care of a short-term change in circumstance rather than a permanent one, and will have a definite end. There are also a number of options when it comes to beginning benefits on a disability insurance policy, as well as how much will be paid per month or per pay period. While disability insurance can be beneficial for workers and private individuals alike, one thing that many neglect is reporting changes in their health status during the course of their payment schedule - and this can have an impact on future claims.
When a disability insurance policy is purchased, there are a number of timelines set, the most important being exactly when your insurance coverage is scheduled to start. The longer that you are willing to wait before coverage commences, then the lower your insurance premiums will be. An injury that takes you away from work for 30 days can be difficult to cope with - but if your payments only begin after 30 days, your coping may be made all the more difficult by the lack of money being paid, though your premiums will be lower. Disability insurance companies will also specify what percentage of your wage they will pay you - 80% is a common number, and for how long, based on your injury.
It is the length of the payout that can be tricky if the client experiences a sudden improvement in his or her condition. Reporting changes in health is critically important to your insurance company if it affects your ability to work either positively or negatively. If you simply start "feeling better," a report likely does not need to be made. If, however, you are back at work two weeks earlier than expected and you are still collected disability insurance payments, a problem will arise. The company will likely accuse you of fraud for not reporting changes in your condition and allowing them to stop payment. This can make it more difficult to process a claim in the future or purchase a new disability insurance policy.
As with all insurance products, honesty is the best policy - lying or omission will be treated as fraud and dealt with severely.