The cessation of long-term disability benefits at age 65 is a standard practice in many insurance policies and government programs. This age generally coincides with the eligibility threshold for full retirement benefits under Social Security and other pension plans. Consequently, the assumption is that individuals at this age will transition to these retirement income sources, thereby negating the necessity for disability payments.
The rationale behind this practice is rooted in cost management and the structure of social safety nets. By aligning the end of disability benefits with the start of retirement income, insurance companies and government entities can better predict and manage their long-term financial obligations. Historically, this age demarcation has been viewed as a logical point for shifting financial responsibility from disability support to retirement support, reflecting the broader societal expectation of retirement at this age.
