How Long Do Long-Term Disability Insurance Benefits Last?

Long-term disability (LTD) insurance provides financial support to individuals who are unable to work due to a serious illness or injury. If you have LTD coverage through your employer or a private policy, you may be wondering how long these benefits will last. The duration of LTD benefits depends on several factors, including the terms of your policy, your age, and whether you meet the ongoing eligibility requirements.

In this article, we will explore the key factors that determine how long long-term disability insurance benefits last, how different policies work, and what you can do if your benefits are cut off prematurely.

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Understanding Long-Term Disability Insurance

Long-term disability insurance is designed to replace a percentage of your income if you become unable to work due to a disabling condition. These benefits typically begin after the short-term disability period ends—which is usually around 90 to 180 days after your injury or illness.

LTD benefits are essential for individuals who suffer from severe medical conditions such as:

● Chronic illnesses (e.g., multiple sclerosis, lupus)

● Mental health disorders (e.g., depression, PTSD)

● Neurological disorders (e.g., Parkinson’s disease, epilepsy)

● Musculoskeletal disorders (e.g., severe back injuries, arthritis)

● Cancer and other serious conditions

LTD insurance helps cover essential living expenses when you can no longer earn a paycheck. However, the length of time these benefits last depends on the details of your policy.

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How Long Do LTD Benefits Last?

1. Policy Terms and Coverage Duration

Each long-term disability policy specifies the maximum benefit period, which is the length of time you can receive LTD payments. The most common durations include:

✅ Two, five, or ten years – Some LTD policies have a fixed benefit period, meaning they only provide benefits for a set number of years.

✅ Until age 65 – Many policies provide benefits until the claimant reaches retirement age (usually 65), assuming they continue to meet the definition of disability.

✅ For life – Some high-end private policies may offer lifetime benefits, but these are rare and usually more expensive.

Your insurance policy documents will outline exactly how long your benefits will last under your specific plan.

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2. Own Occupation vs. Any Occupation Policies

LTD policies generally define disability in two stages:

🔹 Own Occupation (First 24 Months)

For the first two years of disability, most LTD policies provide benefits if you are unable to perform the essential duties of your own occupation. This means if your injury or illness prevents you from working in your current job, you are still eligible for benefits—even if you could work in another capacity.

🔹 Any Occupation (After 24 Months)

After two years, most policies switch to an "any occupation" definition of disability. This means that to continue receiving benefits, you must prove that your condition prevents you from working in any job that fits your education, skills, and experience.

Many claims are denied or terminated at this stage, as insurers argue that the claimant can still perform some type of work. This is why legal assistance is often necessary to appeal denied claims.

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3. Age and Retirement Considerations

Most LTD policies end when the claimant reaches age 65, as this is when government retirement benefits (such as CPP or OAS in Canada) typically begin. However, some policies offer extended coverage beyond 65 if the claimant became disabled later in life.

If you are over 60 when you become disabled, your benefits may be structured to continue for a set number of years rather than stopping exactly at age 65. Reviewing your policy’s age-related clauses is crucial to understanding how long you’ll receive support.

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4. Factors That Can Impact LTD Benefit Duration

Even if your policy states that benefits should last until age 65 or longer, several factors can impact how long you actually receive payments.

A. Medical Reviews and Reassessments

Insurance companies regularly reassess disability claims to determine whether the claimant remains eligible for benefits. If an insurer believes your condition has improved or that you can return to work, they may:

✔ Request updated medical records

✔ Require an independent medical examination (IME)

✔ Conduct surveillance to check if you are engaging in activities inconsistent with your claim

If your benefits are suddenly terminated, you may need to appeal the decision or provide additional medical evidence to prove you are still disabled.

B. Return-to-Work Programs

Some policies include rehabilitation and return-to-work programs, which encourage claimants to re-enter the workforce. Participation may be mandatory, and failing to comply could lead to benefits being cut off.

However, if you attempt to return to work but your condition prevents you from sustaining employment, your benefits may be reinstated.

C. Denials and Terminations by Insurance Companies

Insurance companies may deny or stop LTD benefits for various reasons, including:

❌ Insufficient medical evidence

❌ Failure to follow prescribed treatments

❌ Claims that the claimant is fit to work in another job

❌ Policy exclusions (e.g., pre-existing conditions)

If your LTD benefits are unfairly denied or terminated, you should consult a disability lawyer to challenge the decision and protect your rights.

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What to Do If Your LTD Benefits Are Cut Off

If your insurance company denies or discontinues your LTD benefits before your maximum benefit period ends, you have legal options. Here’s what you can do:

1. Review Your Denial Letter

Your insurer must provide a written explanation of why your benefits were denied or stopped. Carefully review this letter and take note of the stated reasons.

2. Gather Medical Evidence

Work with your doctors to obtain updated medical reports, specialist evaluations, and test results that support your continued disability claim.

3. File an Appeal

Most insurance companies have an appeal process, allowing you to submit additional evidence and challenge their decision. There are often strict deadlines, so act quickly.

4. Consult a Disability Lawyer

If your appeal is denied, or if the process is too complex, consider seeking legal help. Experienced disability lawyers can negotiate with insurers or take legal action to restore your benefits.

For individuals in Ottawa or across Canada, firms such as ottawadisabilitylawyers.com provide expert guidance on disability claims and appeals. Seeking professional help can significantly increase your chances of securing the benefits you deserve.

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Final Thoughts

The length of time that long-term disability benefits last depends on your policy terms, medical condition, and insurance company decisions. Some policies provide benefits for a fixed number of years, while others extend until retirement age or beyond.

However, insurance companies frequently challenge claims and attempt to cut off benefits early. If you find yourself facing a denied or terminated claim, it’s essential to understand your rights, gather strong medical evidence, and seek legal help if necessary.

If you have concerns about your LTD benefits, consulting a disability lawyer can help protect your financial security and ensure you receive the compensation you need for as long as you are unable to work.