Question
Is my wife allowed to resign from her position without the resignation affecting her long-term disability benefits?
Answer
Mike, your wife’s resignation should not affect her LTD benefits so long as she remains disabled. However, if she resigns and starts drawing on her 401k retirement, that may constitute “Other Income” that the carrier can then offset from her monthly benefit (i.e., reduce her benefit by the amount received from the 401k monthly). You should request the Policy/Certificate from your employer or the carrier and review the “Other Income” section.
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