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Leave6 min readUpdated 2026-02-27
Long-Term Disability: An Overview
What LTD insurance covers, how it interacts with SSDI, and common offset provisions.
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Long-term disability (LTD) insurance generally begins after short-term disability ends, often replacing 50–60% of income for an extended period.
Many LTD policies include an 'offset' provision — if you're approved for SSDI, your LTD payment may be reduced by that amount. This is standard, not a penalty.
Because of this interaction, many LTD carriers require or encourage claimants to apply for SSDI, sometimes providing assistance with that application.