Your options if you’ve been denied long-term disability claims

Mar 16, 2017

Disability insurance provides coverage if you are injured and suffer a loss of income as a result. The injury can be physical, such as a severe back pain, or psychological, such as depression. Disability benefits are typically based on your income. You can purchase coverage yourself, but some employers provide disability coverage to employees as part of a benefits package.

Long-term disability provides a permanent income replacement if you’re unable to return to work. If you’re injured, your insurance coverage provider will review the claim before approving or denying your long-term disability claim.

Why Are Claims Rejected

There are a few common reasons for why you would be denied long-term disability claims. One is that the insurance company, or their doctor, does not believe your injury is severe enough to require being off work. Also, if the insurance company believes you are injured, however you are capable of still working your job, or doing so in a reduced capacity, or working another job within your qualifications for the same company, your long-term disability claim may be rejected.

What to do if your claim is rejected

Your insurance provider will likely offer you an internal appeals process. However, you’re at a disadvantage in this situation as your claim has already been rejected by the company reviewing it. An appeal is rarely successful for the injured party. Another problem is that the amount of time you have to litigate for a settlement may be limited. If you spend a lot of time in the appeals process, you may be out of options by the time your denial is confirmed.

Thus, it is in your best interest to consult a lawyer as soon as your disability claim is rejected. A lawyer can work with you to determine your best path forward: seeking to have benefits reinstated or negotiating a settlement with the insurance company.


A settlement is often your best option because it means you are no longer subjected to regular doctor’s visits to check on your condition. Disability settlements often resolve faster than other negotiated settlements, such as personal injury, because there is a fixed amount in your policy.

The settlement process will consist of your lawyers negotiating for a settlement close to the fixed amount set in your policy and the insurance company negotiating for one close to zero dollars, since they rejected the initial claim of disability. The final amount will be determined by a number of factors, including your specific disability and age.

Because these types of settlement negotiations are complex and require a lot of paperwork, it is best to have an experienced Niagara personal injury lawyer on your side. If you have had your long-term disability claim rejected, contact us today to book your consultation.