There are two main ways that Canadians can purchase disability insurance in Canada. They can purchase private disability insurance or they may receive it through their employer. If you submitted a long-term disability claim and your private disability insurance company denied it, you still have the option to appeal the decision and fight for the benefits you’re entitled to receive. A long-term disability lawyer can help you through the process.

What is Private Disability Insurance?

Private disability insurance is intended to protect individuals who become sick, injured or otherwise disabled to such an extent that they are no longer able to perform their jobs. Private insurance is purchased by an individual independently instead of through a plan offered by their employer.

Private disability insurance is essentially the same thing as long-term disability insurance purchased through an employer. For both types of disability insurance policies, the individual will typically pay monthly to keep their plan active so that the benefits will be available if needed.

Some common causes of long-term disability include arthritis, cancer, diabetes, back injuries, stroke, nervous system disorders, traumatic brain injuries, mental health problems and chronic pain. However, the definition of long-term disability typically includes any medical condition that affects a person to such an extent that they are unable to work for a long period of time.

A private disability insurance company will make a determination about whether a person qualifies for benefits based on information provided from the medical professionals who are treating the disability and from the person’s employer.

What is the Cost of Private Disability Insurance?

The cost of private disability insurance depends on a number of factors, including the types of benefits that are included in the policy. Premiums can reportedly range from $25 to $200 per month. However, it is important to get an estimate from a private disability insurance company to determine the cost for a policy that meets your specific needs.

How Does Private Disability Insurance Work in Canada?

In Canada, individuals may choose to purchase private disability insurance directly from an insurance company. This type of insurance provides a financial safety net in the event the policyholder suffers an injury or illness that makes them unable to earn an income for an extended period of time.

Private disability insurance in Canada works the same way that long-term disability insurance through an employer works. If you submit a claim for long-term disability benefits and it is approved, you will typically receive payment equal to a certain percentage of your monthly income.

If you earn a high income and you are covered by an employer-sponsored disability insurance plan, you may choose to purchase a private disability insurance plan to supplement the group benefits.

Why Would Your Claim Be Denied?

Unfortunately, many insurance companies are more concerned with their bottom line than they are with paying out benefits to deserving policyholders. It is not unusual for a long-term disability claim to be denied. Insurers will often point to vague or confusing language within the policy to justify the rejection of legitimate claims.

Because policyholders don’t understand the deliberately confusing language of the policy, they may take the insurer at its word and convince themselves that they are not entitled to the benefits they deserve.

There are legitimate reasons why an insurance company may deny a long-term disability claim. If a policyholder misrepresents their situation, such as failing to disclose an automobile accident or preexisting injury on their application, the insurance company is within their rights to deny the claim.

Other reasons a long-term disability claim may be denied involve inadequate documentation. There are very specific procedures that must be followed when submitting a claim for long-term disability benefits. Generally, policyholders are required to submit forms from the medical providers who are providing treatment for the disability, forms from their employer regarding their work responsibilities, and other documentation as indicated in the policy. Failure to submit all of the required information may result in a long-term disability claim denial.

If your long-term disability claim is denied, do not despair. You have the ability to appeal the insurance company’s decision. Your claim denial letter will include important dates and deadlines that you will have to meet in order to appeal the decision. It is important to act quickly if your claim is denied so you don’t miss out on the benefits that you deserve.

Should You Hire Private Disability Insurance Lawyers?

If your private disability insurance claim was denied, it is a good idea to meet with a lawyer to learn more about your options. Many private disability insurance lawyers offer free consultations, which can help you determine whether you need to hire a lawyer for further assistance with your case.

If you choose to work with private disability insurance lawyers, there are several ways that they can provide assistance. If your situation is straightforward, you may decide to pay them to assist you with paperwork and gathering documentation. For more complex cases that may be heard in court, many private disability lawyers will work on a contingency basis, meaning that they won’t get paid for their work unless you win your case.

The decision to hire a lawyer for assistance with your private disability insurance claim is ultimately up to you.

How Can They Help?

Private disability lawyers are knowledgeable about the tactics insurance companies use to deny legitimate claims. They can also decipher vague and confusing language in your policy so that you can understand how to properly file a private disability insurance claim and how to appeal the insurer’s decision if your claim is denied.

If you choose to hire disability insurance lawyers, they can provide help every step of the way. They can help you collect the documentation and other evidence needed to support your claim, including medical records from the physicians who are treating you. They can also represent you in court if necessary.

Was your private disability insurance claim denied? Use the form on this page to submit information about your situation. A lawyer will review your case and contact you if you qualify for a free case evaluation.