Disability attorney Gregory Dell discusses what a residual disability income claim is. and what a claimant should be aware of before filing a residual disability income claim.
Residual disability is a complicated provision that’s contained in many long-term disability policies. Many people will claim residual disability because of the fact that they’re disabled, yet they continue to work in their occupation. Residual disability is often defined as the inability to perform one ore more duties of your occupation, or it can be defined as unable to perform your duties for the same amount of time as you used to be able to perform them.
An example of how you would calculate a residual disability income would be if you were working 50% of the time you used to work and you’re making 50% of your pre-disability earnings, then you would receive 50% of your benefit because you had a 50% loss of income. So if your benefit was $5,000 and you had a 50% loss of income, you would receive $2,500 a month monthly benefit. Calculation of your residual disability benefit can be complicated because the disability carrier will often ask you for a lot of information. Some examples of things they’ll ask for could be your tax returns for the past five years, your monthly profit and loss statements for the past two or three years, copies of your physician, copies of your production reports, and sometimes they’ll even go as far as asking for bank account statements.
So if you’re considering a residual disability claim, there are lots of issues that you should be aware of and there are often many things that you can do to maximize your recovery under a residual disability claim. The last thing you really need to be aware of with a residual disability claim is that there are many policies that require you to be totally disabled for a certain period of time before you can claim residual disability. If you have any questions regarding a residual disability claim, please contact us at your convenience.