The Congressional Budget Office (CBO) recently issued a report on the Supplemental Security Income (SSI) Program, which is one of two types of disability benefits managed by the Social Security Administration. Looking at the fact that a majority of folks who apply and are denied by Disability Determination Services (DDS) eventually win at hearing, the CBO tried to figure out why. Their conclusion? Four key reasons:
- More applicants have legal representation at a hearing before an ALJ than they have earlier.
- In some cases, the medical disorder worsens between the time of the initial application and the time of the appeal hearing.
- DDS employees have an incentive to deny applications because those results are not as likely to be reviewed by SSA as approvals are. In contrast, approvals handed down by ALJs are not reviewed, and their denials can be appealed first to an Appeals Council and then to the federal courts, although few applicants choose to do so.
- DDS examiners review only the case file, but ALJs typically meet applicants in person, thus allowing applicants to respond directly to questions. In addition, although it is common for applicants to have lawyers or other representation at the hearings, SSA has no legal representation to advocate against an application at a hearing.
To see the entire report, go to http://www.cbo.gov/publication/43759