{"id":6230,"date":"2023-03-19T21:38:34","date_gmt":"2023-03-19T21:38:34","guid":{"rendered":"https:\/\/www.nickortizlaw.com\/?page_id=6230"},"modified":"2023-08-10T11:14:31","modified_gmt":"2023-08-10T16:14:31","slug":"offset","status":"publish","type":"page","link":"https:\/\/www.nickortizlaw.com\/practice-areas\/long-term-disability-insurance-erisa-lawyer\/ltd-glossary-key-terms-in-policy\/offset\/","title":{"rendered":"What is an &#8220;Offset&#8221; in a Long Term Disability Claim?"},"content":{"rendered":"\r\n<p>In the context of long-term disability insurance, &#8220;offset&#8221; refers to a provision in the policy that allows the insurer to reduce the amount of benefits paid to the policyholder by any other sources of income the policyholder may be receiving. These sources of income could include social security disability benefits, worker&#8217;s compensation benefits, pension benefits, third party liability insurance benefits (such as a settlement in an auto accident claim or medical malpractice claim), or state disability insurance benefits.<\/p>\r\n\r\n\r\n\r\n<p>The purpose of an offset provision is to prevent overpayment of benefits by ensuring that the policyholder&#8217;s total income does not exceed their <a href=\"https:\/\/www.nickortizlaw.com\/practice-areas\/long-term-disability-insurance-erisa-lawyer\/ltd-glossary-key-terms-in-policy\/pre-disability-earnings\/\">pre-disability earnings<\/a>. For example, if a policyholder is receiving $2,000 per month in long-term disability benefits and $1,000 per month in social security disability benefits, the insurer may reduce the policyholder&#8217;s long-term disability benefits by the amount of their social security disability benefits.<\/p>\r\n\r\n\r\n\r\n<p>The specific terms of an offset provision can vary depending on the policy, so it&#8217;s important for policyholders to review their policy carefully to understand how offsets are calculated and what sources of income may be subject to offset.<\/p>\r\n","protected":false},"excerpt":{"rendered":"<p>In the context of long-term disability insurance, &#8220;offset&#8221; refers to a provision in the policy that allows the insurer to reduce the amount of benefits paid to the policyholder by any other sources of income the policyholder may be receiving. These sources of income could include social security disability benefits, worker&#8217;s compensation benefits, pension benefits, &hellip;<\/p>\n","protected":false},"author":2,"featured_media":0,"parent":6209,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"_links":{"self":[{"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/pages\/6230"}],"collection":[{"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/comments?post=6230"}],"version-history":[{"count":0,"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/pages\/6230\/revisions"}],"up":[{"embeddable":true,"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/pages\/6209"}],"wp:attachment":[{"href":"https:\/\/www.nickortizlaw.com\/wp-json\/wp\/v2\/media?parent=6230"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}