Common Myths About Temporary Disability Benefits

If illness or injury keeps you off work for an extended period, Temporary Disability insurance can offer vital income replacement. However, confusion persists around eligibility, coverage, and duration of short-term disability benefits. By distinguishing fact from fiction, you get clarity on this safety net. In this blog, Disability Doc Online, USA, will discuss some common myths about Temporary Disability Benefits. Before we dive into the discussion, if you are looking for proper Disability Evaluation and Disability Certification in the USA, contact our disability doctors at Disability Doc Online, USA.

Now, let's have a look at the detailed discussion:

 

●     Myth 1: It's Only For Workplace Injuries

●     Myth 2: It Automatically Kicks In After 2 Weeks

●     Myth 3: It Replaces 100% Income

●     Myth 4: Benefits Can Last Over A Year

●     Myth 5: Everyone Has Coverage Through Their Employer

●     Myth 6: You Must Take Unpaid FMLA First

 

Myth 1: It's Only For Workplace Injuries

 

One common misconception is that Temporary Disability Benefits solely apply to workplace accidents and injuries. Short-term disability coverage compensates for unexpected health conditions requiring recuperation like surgery recovery, cancer treatments, childbirth, etc. The cause of disability doesn't have to be work-related as long as proper medical evidence is provided.

 

Myth 2: It Automatically Kicks In After 2 Weeks

 

You may assume Short Term Disability coverage starts paying out benefits automatically after being out sick for some predetermined period. Typically, insurance plans institute a waiting period before benefits activate, usually between 0-14 days. And you must proactively file a claim for coverage - it's not automatic upon becoming disabled.

 

Myth 3: It Replaces 100% Income

 

Some think Temporary Disability insurance will replace their entire salary, allowing them to recover without financial loss. However, most group policies and state-mandated plans replace 40-70% of average weekly wages. Individual plans vary, but 100% income replacement is rare during short-term leave. Understanding the exact percentage helps avoid money surprises.

 

Myth 4: Benefits Can Last Over A Year

 

People commonly overestimate the length of time short-term disability benefits get paid out. Many assume coverage extends indefinitely through their recovery. In reality, most temporary disability insurance has a maximum duration of 3-6 months. Only if transitioning onto long-term disability would benefits continue beyond that timeframe.

 

Myth 5: Everyone Has Coverage Through Their Employer

 

Some people wrongly assume that Temporary Disability insurance is a universal benefit provided to all employees. However, disability coverage is not mandated by law for companies to offer. Only about 38% of employers provide short-term disability benefits. So don't expect coverage automatically - verify if it's included in your plan or if you need to purchase a private policy.

 

Myth 6: You Must Take Unpaid FMLA First

 

The Family and Medical Leave Act (FMLA) guarantees 12 weeks per year of job-protected but unpaid leave for medical situations. It gets confused with paid short-term disability, leading some to believe you must exhaust unpaid FMLA first. The two can run concurrently. Disability benefits can be activated immediately within FMLA's 12-week span to compensate for missing paychecks.

 

Closing Note

 

Getting reliable facts is crucial when dealing with lost income due to disabling health conditions. While policies differ, premium Short Term Disability insurance can ease financial stress in difficult times. Just ensure you comprehend the exact parameters of your situation without making assumptions. If you want a California Temporary Disability evaluation and certificate, contact Disability Doc Online, USA, today.