5 Alarming Long-Term Disability Trends

Posted by:  BeamaLife Editor  on 3 Oct, 2009

I wanted to share, with our reading audience, five eye-popping disability trends.

The Council for Disability Awareness (CDA) conducts an annual review of long-term disability claims among the U.S. working population, to determine continuing or emerging trends. The 2007 CDA Long-Term Disability Claims Review includes long-term disability insurance claim,s data from member companies, and Social Security Disability Insurance (SSDI) program.

The five key trends found during this research were…

1) The growth of serious disabilities among the U.S. working population continues to be alarming. Over the last 10 years, the number of U.S. workers with long-term disabilities has quadrupled in relation to the increase in the number of workers in the U.S. workforce. The number of individuals receiving long-term disability insurance payments also continues to increase.

2) Working women and younger employees are more vulnerable to serious disabilities. The growth rate of serious disability for working women is double the growth rate of disabilities among working men. More younger workers in their 20′s, 30′s and 40′s are experiencing serious disabilities.

3) Due probably to advances in medical technology, favorable trends have been seen in the decline of cancer, cardiovascular/circulatory and nervous system-related long-term claims. The growth of musculo-skeletal, connective tissue, mental disorders and accident/injury-related claims may be related, in some degree, to lifestyle choices and personal behaviors.

4) Social Security Disability Insurance approval rates dropped down to 37.6% in 2007, the lowest point in the history of the program, while applications for disability payments continued to increase, reaching 2.2 million. SSDI payments have not kept pace with the growing financial needs of disabled workers, putting the financial security of an increasing number of workers, as well as their dependents, at greater risk.

5) Financial planning in the event of an income- limiting disability is becoming more critical and urgent for wage earners as the accountability for personal financial security continues to shift away from social programs and employers toward the individual worker.

So as you can see, it is even more important now to protect your most important assets (i.e. your income earning capacity) through disability income insurance. Contact a BeamaLife Disability Insurance Specialist at (877) 972-3262 for your personalize quotes and advice.