How Are the “Own-Occupation” and “Any-Occupation” Standards Different?

Disability insurance is an important type of coverage that can provide financial protection if an individual becomes unable to work due to a disability. Understanding disability insurance can be difficult. There are two main standards used to determine eligibility for disability benefits: own-occupation and any-occupation. At Monahan Tucker Law, we understand the complexities of disability insurance and are here to help individuals make informed decisions about their coverage.

Own-Occupation Standard

The “Own-Occupation” standard refers to a situation where you are considered disabled if you cannot perform the specific duties of the job you held prior to your disability. This standard is particularly beneficial for those in specialized or demanding professions, such as surgeons, pilots, or attorneys, where the inability to perform their specific job due to a disability can render them unable to work despite being able to perform other types of work. For example, a concert pianist who suffers a hand injury may not be able to perform as a pianist but could theoretically work in a different field. Under an “Own-Occupation” policy, they would still qualify for disability benefits because they cannot perform their specific job.

Any-Occupation Standard

Conversely, the “Any-Occupation” standard is more stringent. It defines disability as the inability to perform any job for which you are reasonably qualified by education, experience, or training. This means that if you can work in any capacity, even if not in your previous role, you may not qualify for benefits under this standard. For instance, a construction manager who becomes physically unable to work on-site might still be considered able to work if they can perform a desk job related to construction management.

Implications for Policyholders

These standards have significant implications for policyholders. The “Own-Occupation” standard typically leads to higher premiums due to its broader coverage, offering more comprehensive protection for the insured’s career. On the other hand, the “Any-Occupation” standard is generally less expensive but comes with the risk of being ineligible for benefits if you can perform any form of work.

How Monahan Tucker Law Can Help

At Monahan Tucker Law, we understand the complexities these definitions present and their impact on your life and financial security. Our team is dedicated to helping you navigate these distinctions in disability insurance policies. With our extensive experience, our team can assist you in appealing a denied claim or negotiating for more favorable terms in your policy. We are committed to advocating for our clients and ensuring they receive the disability insurance coverage they deserve.

Get the Support You Need

If you find yourself facing a denied claim or are unsure about your policy’s terms, reach out to Monahan Tucker Law. We offer personalized consultations to help you understand your options and advocate for your rights. Our team is here to provide the support you need to move forward confidently. Contact us today to schedule a consultation, and let us help you protect your future.