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4ren6, Medical Forensics
Category: Health
Satisfied Customers: 4794
Experience:  Forensics Medical Forensics
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long term disability benifits if the company who has the policy goes

Resolved Question:

Does an insurance company have to continue long term disability benifits if the company who has the policy goes out of business?
Submitted: 7 years ago.
Category: Health
Expert:  4ren6 replied 7 years ago.
They are required to offer you the same exact insurance but not always at the same price you or your employer were paying. You most often are offered the insurance at a higher rate. Employer does not pay for it at all. This excludes any Union agreement between the two. I assume there was no aggreement. BotXXXXX XXXXXne. They do not have to continue but they have to offer you the insurance at a rate that may be higher as you would be paying the premium not the employer.
Customer: replied 7 years ago.
I have recived the long term disability payments (benifits) for the past six months. There is a two year benifit limit since I am already receiving the benifit shouldn't it go out to the two year limit regardless?
Expert:  4ren6 replied 7 years ago.
Yes, but someone (most often the employee getting these benefits) must pay the premiums. The premiums do not stop just because your getting compensation. Had the employer not gone out of business they would be paying these premiums and you would be paying any supplemental part if required. Check also all your paper work on this insurance and see what riders or clauses there are if you become disabled in regards XXXXX XXXXX as they can very from policy to policy. Best thing to do is contact your insurance to verify what I have stated. reply if needed.
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