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Old 07-16-2019, 10:57 PM
RannowA RannowA is offline
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Default Why doesn't disability pay more than salary?

During times of short term disability, people typically have more healthcare needs. So why doesn't disability cover say 120% of salary rather than 60%?

Sure, doing so would increase the chance for fraud, but the claims need to be confirmed by a doctor anyways.
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Old 07-17-2019, 04:38 AM
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Then it wouldn't be insurance as it leaves you better off than before.
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Old 07-17-2019, 07:42 AM
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Not just a chance for outright fraud, but also there might be a gray area where you maybe kind of feel well enough to go back to work, but the doctor says you have another two weeks and you can justify in your mind not being 100% yet so you would rather sit at home doing nothing and collecting 120%. If you're only getting 60% then you'll be much more motivated to return ASAP.
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Old 07-17-2019, 08:35 AM
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Quote:
Originally Posted by act2106 View Post
Not just a chance for outright fraud, but also there might be a gray area where you maybe kind of feel well enough to go back to work, but the doctor says you have another two weeks and you can justify in your mind not being 100% yet so you would rather sit at home doing nothing and collecting 120%. If you're only getting 60% then you'll be much more motivated to return ASAP.
And there are plenty of shady doctors out there that will readily agree to stick it to the insurance company by lying about your true status. Or, if 120% were to exist, a shady doctor cottage industry would spring up. People always find the holes in your product.
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Old 07-17-2019, 08:42 AM
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OP should look into claim issues related to Personal Injury Protection (PIP or no-fault) coverages . . . especially in FL and MI. Then you'll find that there are more than just M.D.'s that come into the equation relating to injuries and injuries.
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Old 07-17-2019, 10:38 AM
|B|rad |B|rad is offline
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Quote:
Originally Posted by RannowA View Post
During times of short term disability, people typically have more healthcare needs. So why doesn't disability cover say 120% of salary rather than 60%?
Most people have separate coverage for healthcare.
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Old 07-17-2019, 11:06 AM
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Old 07-17-2019, 11:14 AM
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Maybe they should have reverse deductibles too.
My deductible is $1,000 so I get that IN ADDITION to the cost to repair my car.
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