Getting Long-Term Disability Benefits for Depression or Bipolar Disorder

Symptoms from mental illnesses such as severe depression or bipolar disorder can have a profound impact on your daily functioning. Even with treatment, you may struggle with mood regulation, social interaction, and maintaining attention to tasks. When these symptoms start to significantly affect your ability to work, you could qualify for long-term disability (LTD) benefits.

Long-term disability insurance can assist people who are unable to work by providing a certain percentage of the policy holder's prior earnings in monthly payments. If you're covered by an LTD provider—whether through your employer or on an individual plan—you may get benefits for depression or bipolar disorder for several months or even years.

When Is Depression or Bipolar a Long-Term Disability?

Major depression is a mood disorder characterized by persistent feelings of sadness, isolation, and anhedonia (a loss of interest in previously enjoyable activities). Depression can also manifest physically as fatigue, insomnia, and changes in appetite. In a work context, depression can cause difficulty responding to even minor schedule shifts or constructive criticism. People with severe depression may find it hard to complete simple tasks or get to work on time, accumulating excessive absences.

People with bipolar disorder experience periods of depression that alternate with episodes of mania, a feeling of intense euphoria (elevated mood) and excitement. During periods of mania, somebody with bipolar disorder may be hyperactive, with racing thoughts and impulsive decision-making. At work, they may leave tasks unfinished, become easily distracted, and act rashly, causing conflicts with coworkers and resulting in poor productivity.

How Long Can You Be on Disability for Depression or Bipolar Disorder?

It's increasingly common for LTD insurers to limit the term payments for mental health disorders to two years. This provision appears in virtually all employer-provided (ERISA-governed) group plans as well as many individual policies, though individual policyholders may be able to purchase a rider that removes the term limit in exchange for a higher monthly premium.

Here's an example of a typical LTD limitation for mental health:

Many policies exempt certain mental illnesses from the two-year limitation, such as schizophrenia, organic brain disease, dementia, and—on occasion—bipolar disorder. If your policy exempts these disorders from the two-year limitation, you may be able to collect long-term disability benefits until retirement age, as long as you remain disabled. The two-year limitation almost always applies to depression.

If you have another disabling condition, such as chronic back pain, that's exempt from the two-year limitation, you should continue to receive benefits for as long as you remain unable to work due to that condition.

What Are My Chances of Getting Disability for Bipolar Disorder or Depression?

You must have consistent treatment from a mental health professional—preferably a psychologist or psychiatrist—to have any chance of winning your LTD claim for depression or bipolar disorder. Make sure that your insurance carrier has requested and received all the medical records related to your mental health, including those from your treating doctors and any hospitals or psychiatric facilities where you've received treatment.

Don't rely on your insurance company to get all the evidence it needs to make an informed decision in your case. While the carrier will likely ask your doctor's opinion about any functional limitations caused by your bipolar disorder or depression, the LTD company questionnaire may be less thorough than is ideal or designed to elicit unfavorable responses. You can increase your chances of getting disability by making sure your doctor discusses the following work-related limitations:

• any trouble you'd have with punctuality and attendance, such as showing up late, leaving early, or missing too many days per month
• whether you can focus and concentrate long enough to stay on-task throughout the day
• whether you can follow simple, detailed, or complex instructions, and
• how well you'd interact with supervisors, co-workers, and the general public.

Your doctor can submit this information in a letter or by completing a mental residual functional capacity form. If your doctor puts you on any work restrictions as part of your treatment, they should be included in the medical statement.

LTD insurers tend to rely largely on medical records and doctors' opinions when making their decisions. Still, you may wish to submit statements from former colleagues or supervisors documenting their observations of any difficulties you've had while working.

How Much Long-Term Disability Can You Get for Depression or Bipolar Disorder?

The terms of your specific LTD policy will determine the amount you'll receive in benefits. A typical policy will pay out between 50-80% of your average earnings for the duration of the term. So if you made $4,000 every month before you became disabled, and your policy provides for 65% wage replacement while you're out of work, you'll receive $2,600 in monthly LTD payments.

Can I Get Social Security for a Mental Health Condition?

If you're successful in your claim for LTD benefits and you don't expect to return to work within one year, you might also qualify for Social Security disability. In fact, many LTD providers require that you apply for Social Security benefits as a condition of your claim, and you may have to pay back any money you received from the LTD insurer once you're approved for Social Security (if you receive back payments of Social Security benefits).

Unlike long-term disability, Social Security doesn't place any time limitations on receiving benefits. Your disability payments won't be cut off after two years, although you may be subject to periodic continuing disability reviews to make sure you still meet Social Security's definition of disability.

Should I Get a Disability Lawyer?

Long-term disability insurers are generally reluctant to approve claims for benefits based on mental illnesses such as depression or bipolar disorder. Even if you're receiving regular treatment from a psychologist or psychiatrist who supports your disability claim, your LTD carrier is likely to deny your initial application and force you to appeal. In these cases, it's especially important to hire an experienced disability attorney who can guide you through the appeals process and, if necessary, file a lawsuit against your insurer.