Social Security Offset Provisions
Many ERISA disability plans contain "offset" provisions with respect to other income and benefits obtained by claimants, including Social Security disability benefits. An offset generally works to reduce private disability benefits by the amount of Social Security benefits that the claimant (and in some cases other family members) receives due to the claimant's disability. Because offset provisions vary from plan to plan, there is no one rule that applies to all of them. Each one must be reviewed to see how it applies to a particular claim. Despite the presence of an offset provision, it is often a good idea to file a claim for Social Security disability benefits. Access to Medicare for health insurance is one good reason.
An award of Social Security disability benefits may also help a claimant recover disability benefits from an insurance carrier or plan. Especially in ERISA cases, the award of Social Security disability benefits is relevant evidence of disability. Many courts cite the federal government's determination of disability in granting ERISA disability benefits. For this and other reasons, it is often prudent to seek disability benefits from the Social Security Administration.
For more information about Social Security benefits available to the disabled, click on the federal government's website here.