When is a group long-term disability plan considered to be integrated with Social Security?

A group long-term disability plan is considered to be integrated with Social Security when the benefits provided by the group plan and the benefits provided by Social Security create a coordinated payment structure. Specifically, this occurs when the total benefits received from both sources do not exceed a predetermined maximum limit. This integration is intended to prevent over-insurance, ensuring that the total benefits received are in line with the policy's intent.

This can mean that the disability benefit from the group plan is reduced by the amount received from Social Security. The idea is to combine the two sources of income so that recipients are provided with adequate support while also maintaining a fair level of total disability benefits. This arrangement encourages recipients to apply for Social Security benefits, as their group benefits will adjust accordingly.

The other options describe scenarios that do not accurately reflect the nature of integration with Social Security. For example, having benefits payable only if Social Security denies a claim is not the norm for integration; rather, integration often means that all sources are paid together up to a limit. Additionally, stating that Social Security benefits are always higher than group benefits is misleading and not a stipulation of integration. Finally, enrollment in group benefits excluding Social Security eligibility does not align with the purpose of integrating benefits, as the integration mechanism