HR7104-119

What This Bill Does

The Immediate Access for the Terminally Ill Act changes several Social Security disability rules. Section 2 lets a disabled individual with an incurable terminal illness on a Commissioner-published list elect, at application, to receive disability insurance benefits starting with the first full month of disability and entitlement instead of waiting. The qualifying list must be published through formal rulemaking within six months and every five years, using Compassionate Allowance conditions with average life expectancy of five years or less and no known cure. The tradeoff is a monthly benefit equal to 93 percent of the otherwise payable amount, and the election is irrevocable. Section 3 bars SSA from adding any disease or condition to the Compassionate Allowance list unless Congress enacts a bill or joint resolution approving the addition. Section 4 reduces disability benefits to zero for any month before retirement age when the individual also receives unemployment compensation, requires federal agencies and state unemployment administrators to provide information to SSA, and preserves notice and hearing rights. Section 5 lets SSA reduce overpayment withholding below 100 percent when full withholding would defeat the purpose of the title, but not below 10 percent of the payment.

Who Benefits and How

Terminally ill disability applicants with incurable Compassionate Allowance conditions, families facing immediate medical or household costs, and patient advocates benefit from an option to receive disability insurance benefits without the normal waiting period. SSA overpayment recipients benefit when full withholding would defeat the program purpose because the Commissioner could reduce withholding to as low as 10 percent. Congress benefits from direct control over additions to the Compassionate Allowance list.

Who Bears the Burden and How

Terminally ill beneficiaries choosing immediate access accept a permanent 7 percent benefit reduction and cannot revoke the election. Disability beneficiaries who also receive unemployment compensation lose disability benefits for those months. SSA staff, administrative law personnel, state unemployment agencies, federal agencies, and congressional committees must manage rulemaking, data exchanges, hearings, list approvals, overpayment withholding decisions, and benefit recalculations.

Key Provisions

• Provides qualifying terminally ill disability applicants an election for immediate disability insurance benefits without a waiting period.
• Requires qualifying conditions to be Compassionate Allowance conditions with average life expectancy of five years or less and no known cure.
• Limits elected immediate-access benefits to 93 percent of the otherwise payable amount and makes the election irrevocable.
• Requires congressional enactment before SSA may add diseases or conditions to the Compassionate Allowance list.
• Blocks Social Security disability benefits for months when a pre-retirement-age beneficiary receives unemployment compensation.
• Limits SSA overpayment withholding relief to reductions below 100 percent but not below 10 percent when full recovery would defeat program purpose.