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Quitting on Long-Term Disability

Jul 19, 2025

Overview

This video by disability lawyer David Brannon explains important considerations regarding quitting your job while on long-term disability (LTD) and highlights potential legal and financial consequences.

Risks of Quitting While on Long-Term Disability

  • Quitting your job while on LTD can have significant implications for your disability claim.
  • Employment status at the time you apply for LTD may affect eligibility under some policies.
  • Insurance companies may view quitting as a red flag, questioning the legitimacy of your disability.
  • Quitting could make it harder to find new employment, as new employers have fewer obligations to accommodate disabilities.

Alternatives to Quitting

  • You may remain on medical leave indefinitely unless your employer initiates termination.
  • If terminated by the employer, you may be entitled to severance or termination pay.

Policy and Legal Considerations

  • The right to LTD benefits is generally separate from your ongoing employment relationship.
  • Some policies require you to be an active employee when applying for LTD.
  • Employers have a legal duty to accommodate employees with disabilities under human rights laws.

Financial and Benefit Implications

  • Quitting may lead to the loss of additional workplace benefits such as health plans and pension contributions.
  • Keeping your employment status may help maintain these supplementary benefits.

Recommendations / Advice

  • Seek legal advice before deciding to quit your job while on long-term disability.
  • Carefully consider the reasons for quitting and the potential impact on your LTD claim and employment benefits.
  • Consider attempting a return to your former employer, as they have accommodation obligations, unlike new employers.