What You Need to Know About Disability Benefits in North Carolina

Understand the differences between workers’ compensation, Social Security and North Carolina disability benefits—and how they all interact

Nobody is immune to getting hurt at work. While certain professions like construction and manufacturing tend to result in higher rates of occupational injury compared to office jobs, workers in all types of industries can experience a work-related injury or illness that results in temporary or permanent disability.

In North Carolina, injured individuals who have to take some time off work to recover or who suffer permanent impairment after getting injured at work are entitled to certain disability benefits, depending on the extent of the damage. The type and amount of benefits you can be paid vary widely, which is why it’s important to have an in-depth understanding of when disability is paid in North Carolina, as well as for how long and how much you’re owed.

The nation’s biggest benefit programs for individuals with disabilities are Social Security and workers’ compensation. Though these disability programs provide a vital safety net for injured workers, they differ in several important ways.

With so many different disability programs, eligibility requirements, and deadlines, it’s no wonder that many injured workers get confused about what compensation they are entitled to. At Wilder Pantazis Law Group, we help individuals and families in North Carolina cut through all the bureaucratic red tape to secure their maximum compensation. Schedule your free consultation with one of our work injury attorneys today to take the next step.

In the meantime, continue reading for a basic overview of the disability compensation programs available to injured workers in North Carolina.

Workers’ compensation disability

When it comes to North Carolina’s workers’ compensation system, wage replacement benefits are generally paid if an employee has been disabled due to a job-related injury or illness. Workers are eligible for workers’ compensation disability benefits starting on Day 1 of their employment.

The concept of what constitutes a “disability” under workers’ compensation can get quite complicated in a technical sense, but it generally refers to when a worker’s wage-earning ability has been fully or partially diminished. In North Carolina, the burden of proof is on the injured employee to prove their disability. They also must prove that their disability happened in the course and scope of employment.

If there is a disagreement between the employer and the employee about the entitlement to wage replacement benefits or the amount to be paid in the form of benefits, the Industrial Commission will weigh in on the matter. If the employee wants their case to be heard by the Industrial Commission, they should consult with an experienced workers’ compensation attorney who is Board Certified.

There are 4 types of disability benefits offered through workers’ compensation in North Carolina:

The types of benefits you are eligible for will depend on the period the disability is set to last (permanent or temporary) and the severity of the disability (partial or total).

What are temporary disability (TTD and TPD) benefits?

When a work-related injury temporarily inhibits an individual’s ability to work, they may be owed temporary disability (wage loss) benefits. Temporary disability benefits are considered either total (TPD) or partial (TPD), depending on whether the injury fully prevents the employee from working or only reduces what they are able to do at work.

If a worker is only partially disabled, they may be able to return to work in “suitable employment.” What conditions qualify as suitable employment vary from case to case, which is why you should enlist help from a knowledgeable attorney.

After a 7-day waiting period, the injured worker can start receiving TTD or TPD benefits. If the disability lasts for 21 days or longer, then the injured worker will be compensated for the lost wages from the 7-day waiting period. If the worker reaches maximum medical improvement in 20 days or less, they will not get paid for the 7-day waiting period.

For all temporary disability benefits, injured workers will be paid two-thirds of their average weekly wage. This weekly payment can continue for up to 500 weeks maximum for cases that arise after June 24, 2011 (up to 300 weeks maximum for cases before that date).

What are permanent disability (PTD and PPD) benefits?

When a work-related injury is so catastrophic that it totally or partially inhibits a person’s ability to ever work full-time again, then they may qualify for permanent disability benefits under the workers’ compensation system.

Permanent partial disabilities may be classified as either “scheduled” injuries (an impairment to one of the body parts listed in the schedule contained in N.C.G.S. 97-31) or “unscheduled” injuries (an impairment that is not listed in the schedule). PPD benefits are calculated by multiplying the impairment rating percentage given by the authorized treating physician by the workers’ compensation rate and the number of weeks assigned to the injured body part.

Permanent total disabilities, on the other hand, are only paid in limited circumstances when the employee has suffered the loss of:

Both hands, arms, feet, legs, eyes, or any combination of any 2 of these listed body parts;
Spinal injury involving severe paralysis of both arms, both legs, or the trunk;
Certain severe brain or closed head injuries; or
Second-degree or third-degree burns to 33 percent or more of the total body surface.

How is Social Security disability different from workers’ compensation?

Unlike workers’ compensation, Social Security disability benefits are only paid to workers who have a substantial work history. In addition, workers’ compensation only covers short-term and long-term disabilities that arise out of and in the course of employment; whereas Social Security disability benefits are paid to anyone with a long-term impairment, regardless of where the injury occurred (in the workplace or outside of the workplace).

Generally, Social Security disability pays more for wage-replacement benefits than workers’ compensation. According to the SSA, Social Security disability benefits paid nearly twice what workers’ compensation paid in 2002.

There are 2 main disability programs available through Social Security: Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI). Both SSDI and SSI offer monetary benefits through the Social Security Administration (SSA) for people who are disabled. However, the eligibility requirements for each program vary.

In addition to SSDI and SSI, other disability programs available through Social Security include:

Disabled Widows and Widowers Benefits (DWB) — sometimes called “survivors’ benefits”
Disabled Adult Child Benefits (DAC)
Special benefits for people who are blind

Additional North Carolina disability benefits

In addition to workers’ compensation and Social Security disability, public employees in North Carolina—such as teachers, police officers, government workers, and other state employees—can become members of the Teachers’ and State Employees’ Retirement System (TSERS) or the Optional Retirement Program (ORP. Under the Disability Income Plan of North Carolina (DIPNC), these employees may be provided monthly wage replacement benefits if they become disabled while employed by the state of North Carolina.

Disability benefits may be provided through:

Short-term disability
Extended short-term disability
Long-term disability

Eligibility requirements differ for each of these programs, which is why it’s beneficial to consult with an attorney who is experienced in North Carolina’s disability benefits program to understand your rights.

Can I get multiple types of disability benefits at the same time? It depends.

It is possible to get SSDI and workers’ compensation at the same time, but only if you’re permanently disabled. What’s more, your benefits may be “offset” (or reduced) based on what other disability benefits you are receiving.

According to the SSA, your Social Security Disability Insurance (SSDI) benefits can be reduced if you are simultaneously getting workers’ compensation benefits until the total amount you receive is no more than 80 percent of the amount you earned while fully employed (pre-injury).

For example, let’s say Allen became disabled while working at a Charlotte manufacturing plant. Prior to his disability, he was earning $4,000 per month, on average. Through Social Security, Allen is able to collect $2,200 per month in SSDI benefits. At the same time, he is earning $2,000 per month through his employer’s workers’ compensation program, giving him a total of $4,200 per month in total disability benefits—more than he made before his disability. Due to the 80 percent Social Security offset rule, Allen’s SSDI benefits would be reduced by $1,000 so that his total disability benefits are $3,200 (80 percent of his average monthly earnings of $4,000).

As you can see, the interaction between workers’ compensation, Social Security, and North Carolina disability benefits can be intricately complex. To find out when the rules conflict and calculate your potential “offset,” don’t hesitate to consult with an experienced attorney near you.

Guide to Disability Benefits in North Carolina