What is the Difference Between Workers Compensation and SSDI?

Posted By Katz Leidman Grossman Wolfe & Freund || 11-Dec-2014

Workers' compensation and Social Security Disability Insurance (SSDI) are two options available for those that are unable to maintain employment due to an injury or disability. While these are both federal programs for workers, they are separate from one another and each have different standards to qualify for acceptance. Workers' compensation is paid to those that have experienced an injury or illness while they were working. SSDI is paid out to any person with an illness or disability that prevents them from employment, whether or not they obtained the injury on the job or not.

What is workers compensation?

Workers' compensation is a state mandated insurance policy that allows those that received employment-related injuries or illnesses to receive compensation. In New York, this can mean a cash payout or medical benefits for an injured worker. Employers pay insurance to cover their employees, and when an injury is reported, this insurance will cover any claim made in association with this injury.

When a worker files for workers' compensation, they do not blame their employer for their injuries, nor does their employer blame them for their injuries. The amount they receive will be the same no matter who is at fault. The only way that a worker will not receive compensation is if their injuries were due to alcohol or drug impairment, or if they were attempting to harm another person.

In a workers' compensation claim, it must be determined that the injury was employment related, or the claimant will not receive any money if the insurance provider hasn't deemed it to be.

What makes Social Security Disability Insurance different?

Social Security Disability is a federal program that uses the amount paid into Social Security through a worker's life to pay out benefits if that worker becomes unable to work. To qualify for SSDI, a worker must fit the strict definition of disabled as labeled by the Social Security Administration and be unable to perform any kind of work to support themselves. Further, it must be proven that the disability is expected to last longer than a year or result in death and the individual has waited the required five months before filing a claim.

Over half of all SSDI applications are rejected since many do not fit the strict standards required to obtain federal compensation for an injury or illness.

In compensation claims of any kind, time is of the essence, and you deserve compensation for your injuries. If you have been injured on the job and have been denied workers' compensation, our firm offers a free consultation to discuss the details of your case and how we can help.