Can You Work While Receiving Long-Term Disability Benefits?

Can you work while on long-term disability (LTD) in Pennsylvania? Maybe – it depends on your policy’s specific language and your disability status. Some policies allow part-time or lower-paying work. Others treat any earned income as a reason to reduce or stop your benefits. Your benefits may also change based on how much you earn. Since each policy is different, don’t assume anything. Talk to a Pittsburgh long-term disability lawyer to get clear answers.

Can You Legally Work While on Long-Term Disability?

Yes, you can legally work while receiving LTD benefits in some cases, but it depends on your specific policy. The insurance companies set the rules for how much work, if any, you can do while collecting LTD benefits. Here are the essential factors that determine whether you can work while receiving LTD benefits:

Policy Type: Own Occupation vs. Any Occupation

Many LTD policies start with an “own occupation” definition of disability. This means the insurer considers you disabled if you can’t do your specific job. You may be allowed to work in a different role or a less demanding job while receiving LTD benefits during this period. After a specific period – usually 24 months – many policies switch to an “any occupation” definition of disability. That means you can’t receive benefits unless you can’t do any job you’re reasonably qualified for. At this point, even part-time work may end your LTD benefits.

Income Limits

Some policies allow you to earn a limited income while keeping partial benefits. If you earn more than the policy allows, your insurer may stop or reduce your LTD payments. Your insurer may require regular proof of your income in these situations.

Medical Restrictions and Job Duties

Your ability to work also depends on whether your doctor approves. If your new job goes against your doctor’s medical advice, the insurer could end your benefits.

Policy Reporting Requirements

Most LTD policies require you to report any work activity. Your insurer might view any failure to report earned income as fraud and cut off your benefits.

The bottom line is this: Speak to a long-term disability lawyer before returning to work. They can review your policy, explain the rules, and help protect your benefits.

How Working Affects Your LTD Benefits

Returning to work while receiving LTD benefits can affect your payments in several ways. In some cases, your insurer may reduce your benefits based on how much you earn. This practice is common with policies that allow part-time work or “residual” disability benefits. If your income stays below a certain threshold, you might keep some or all of your LTD payments.

However, other policies may stop your benefits entirely once you return to work, even part-time. This outcome is more likely if your policy uses an “any occupation” definition of disability. If your insurer believes you can work in any reasonable job, they may decide you’re no longer disabled.

Working in a role similar to your old job can also raise red flags. For instance, the insurer might argue that you’re no longer eligible for LTD benefits based on your work activity. Even if you’re not earning much, your insurer could still decide to review your claim. That might include medical reviews, surveillance by private investigators, or requests for updated records.

Your Right to Workplace Accommodations with a Long-Term Disability

If you’re returning to work with a long-term disability, you may have the right to workplace accommodations under the Americans with Disabilities Act (ADA). The ADA protects employees with physical or mental impairments that limit their major life activities. If you’re qualified for your job and can perform its essential duties, your employer must offer reasonable accommodations to help you succeed.

Accommodations may include modified work schedules, remote work, ergonomic equipment, or changes to your job duties. What’s “reasonable” depends on your role, your needs, and whether the changes create an undue hardship for the employer.

Additionally, the Pennsylvania Human Relations Act (PHRA) mirrors the ADA and applies to smaller employers that federal law doesn’t cover. You don’t need to disclose every detail of your disability, but you must let your employer know that you need help because of a medical condition. Your employer can request documentation to support your accommodation request, but they can’t discriminate or retaliate against you. A long-term disability attorney can help you understand your rights and take action if needed.

Contact Our Pittsburgh, PA, Long-Term Disability Attorneys Now for Help

Long-term disability claims and appeals are our sole focus at Capitan Law. We can review your policy with you and explain your options for returning to work and how doing so could affect your benefits. Call (267) 419-7888 now or complete our contact form for a free consultation.