Long Term Disability Canada Faq

Long Term Disability (LTD) – A type of insurance coverage that provides income replacement to an individual who is unable to work due to a disabling medical condition or injury. It typically covers a portion of the individual’s pre-disability income for an extended period, usually until the person recovers or reaches the age of retirement.


1. What is long term disability insurance?
Long term disability insurance is a type of coverage that provides financial protection to individuals who are unable to work for an extended period due to a disability. It ensures a partial replacement of lost income during this period.

2. Who is eligible for long term disability benefits in Canada?
Eligibility for long term disability benefits in Canada depends on the specific terms and conditions outlined in your insurance policy. Commonly, individuals who can demonstrate that they are unable to perform the essential duties of their occupation due to a disability are eligible.

3. How long does long term disability coverage last?
The duration of long term disability coverage varies depending on the terms of your insurance policy. Generally, it can last until you recover from your disability, reach the age of retirement, or as specified by the policy, typically ranging from 2 to 5 years or until age 65.

4. How do I apply for long term disability benefits in Canada?
To apply for long term disability benefits in Canada, you typically need to submit a claim to your insurance provider. The application process often involves completing specific forms, providing medical evidence, and obtaining statements from healthcare professionals to support your claim.

5. How much long term disability benefit will I receive?
The amount of long term disability benefit you receive is typically a percentage (e.g., 60-85%) of your pre-disability income. However, the specific percentage is determined by your insurance policy’s terms and conditions.

6. Can I receive long term disability benefits while working part-time?
The ability to receive long term disability benefits while working part-time depends on your insurance policy. Some policies allow a certain level of employment or income without affecting your benefits, while others may have strict limits or cessation of benefits entirely.

7. Can my long term disability benefits be terminated?
Yes, long term disability benefits can be terminated under certain circumstances. Common reasons for benefit termination include medical improvement that allows you to return to work, reaching the maximum benefit duration specified by the policy, or failure to comply with the policy requirements, such as attending medical evaluations or rehabilitation programs.