Aging baby boomers and high unemployment are some of the drivers of the explosion in social security disability applications, according to a report issued by the non-partisan Congressional Budget Office (CBO).
Social security disability provided benefits to 8.3 million disabled workers in 2011, nearly six times the 1.4 million disabled workers who received benefits in 1970, according to CBO.
The disability program’s growth can be attributed to several factors, including the changing demographics of the labor force, federal policy and opportunities for work, according to the report.
Demographic changes in the workforce include the increasing number of working women and the aging of the population. Approximately 78 million baby boomers — people born between 1946 and 1964 — will reach retirement age between 2011 and 2026. Older workers are far more likely than younger workers to qualify for social security disability benefits, partly because more older people suffer from debilitating conditions, but also because the program’s qualification standards for older workers are less strict than for younger workers. Contact a social security non-attorney representative or a Baltimore social security disabilty attorney for more information, especially if you are an older, disabled worker.
The aging of the baby boomer generation has shifted more people from the ranks of younger workers (ages 25 to 44) for whom the rate of enrollment in the disability program is lower and into the ranks of older workers (ages 45 to 65) for whom the rate of enrollment is higher. Between calendar years 1996 and 2009 – the approximate period during which the baby boom generation entered their 50s – the share of disabled workers rose from 67 percent to 76 percent. As a result, aging baby boomers would have boosted enrollment in the disability program even if no other factors had changed, according to the report.
Another reason for the disability program’s growth is the increase in the number of women in the labor force. While the increased number of working women has boosted revenues for the program, it has also led to more disabled beneficiaries and higher outlays for the program.
Another factor contributing to present day growth in the disabilility program is the expansion of ways in which people could qualify for benefits under the 1984 Disability Benefits Reform Act. The disability law allowed applicants to qualify for benefits on the basis of multiple medical conditions, each of which taken alone might not have met the criteria. In addition, symptoms of mental illness and pain were allowed to be considered, even in the absence of a clear-cut medical diagnosis, CBO said. These changes led to a substantial expansion in the share of disability beneficiaries with mental and musculoskeletal disorders, many of whom enter the program at a younger age. The share of beneficiaries with musculoskeletal disorders increased from 17 percent in 1986 to 28 percent in 2010. If you think you have a mental or musculoskeletal disability, call us at 844.327.5567 so that we can discuss your case. The consultation is free and can be done over the phone.
The weak economy has also affected social security disability applications. When jobs are plentiful, some people who can qualify for disability prefer to work. However, when jobs are scarce, people with disabilities find that their employment opportunities are limited and, as a result, apply for social security benefits.
Access to health insurance and the cost of obtaining it are additional factors that can affect a person’s decision to apply for social security disability benefits, CBO said. Disabled workers receive coverage under Medicare after a 24-month waiting period. For workers lacking employment-based health insurance, the Medicare eligibility that comes with disability benefits is valuable and could be a persuasive factor in applying to the program.
Obtaining social security disability benefits in Maryland, Virginia or Washington, D.C. is difficult. If you have applied for social security disability benefits and have been denied, contact a non-attorney representative or a Baltimore social security disability attorney to discuss your case. The consultation is free. Call 844.327.5567 for more information.