SSDI Claims Gap Left Half of Eligible Workers Unfunded
Low awareness of eligibility rules and application costs means many employees fail to claim benefits.
Updated on Oct. 13, 2026 in Employment
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A survey of 1,033 working-age adults indicates that nearly half of employees eligible for Social Security Disability Insurance (SSDI) do not apply for benefits. The gap highlights significant confusion regarding coverage requirements and the application process.
Why it matters
Business owners face challenges when employees suffer long-term injuries or illnesses without accessing available disability support, often leading to unplanned turnover and increased pressure on internal benefits management.
A survey of 1,033 adults found only 51.7% are aware of SSDI, trailing Medicaid awareness by 20.4 percentage points. Roughly 46% of workers mistakenly believe citizenship is a requirement for coverage.
The players
Social Security Administration
The federal agency that administers Social Security Disability Insurance and determines applicant eligibility.
Atticus
An organization that tracks disability benefit participation and communicates findings to policymakers.
The details
Many workers mistakenly believe they lack coverage for injuries lasting at least one year and are unaware that applying for SSDI involves no upfront fees. The Social Security Administration has moved to address these friction points by digitizing adjudication forms and tracking features. The agency is also developing an API to enable representatives to submit fully digital disability applications, aiming to streamline the currently complex, low-participation process.
Timeline
June 2026: Atticus sent a letter to a House committee regarding SSDI participation.
July 2026: The Social Security Administration announced expanded online claim features.
October 6, 2026: Atticus published the findings of its survey.
Market Landscape
The findings challenge the assumption that the Social Security Disability Insurance program serves as a reliable safety net for all eligible workers. Low awareness of the program's scope is now driving institutional efforts to modernize intake, mirroring broader digital transformation trends in government services.
Operators should assume that many staff members do not understand their potential disability coverage or the lack of upfront application costs. Clear communication about available benefits and resources can help employees navigate periods of injury or illness without immediate separation.
The takeaway
The data suggests that a lack of information prevents employees from accessing support that stabilizes their financial situation during medical leave. Managers should consider providing basic information on disability benefits during open enrollment to ensure staff are aware of their rights and the application process.
Further reading
For context on how workforce benefits impact retention, see Employment.
Source note: This article includes information reported by Nextgov.
Live Poll
Do you believe federal disability benefit programs are transparent and easy for eligible workers to access?
