What Is Special Damages
Special damages are documented, out-of-pocket economic losses you incurred because of your disability. In the context of Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI), this includes medical treatment costs, prescription medications, mobility equipment, and other direct expenses tied to your condition. Unlike general damages, which cover intangible losses like pain and suffering, special damages must be proven with receipts, bills, or other financial records.
SSDI Back Pay and Special Damages
When the Social Security Administration (SSA) approves your SSDI claim, you typically receive back pay from your established onset date (EOD) to your approval date. The SSA does not reimburse medical expenses or other special damages as part of your back pay calculation. Back pay is strictly your monthly benefit amount multiplied by the number of months you were eligible but unpaid.
However, special damages become relevant if you pursue a civil action against a third party. For example, if a workplace accident or another party's negligence caused your disability, you might file a personal injury lawsuit separate from your SSDI claim. In that case, special damages from your medical treatment would be recoverable from the defendant, not from the SSA.
Medical Evidence and Documentation
During an Administrative Law Judge (ALJ) hearing, presenting detailed medical records strengthens your claim. While the ALJ is not awarding special damages, the costs you've incurred demonstrate the severity and consistency of your condition. Bring documentation showing:
- Hospital and emergency room visits with itemized bills
- Prescription costs and pharmacy records
- Physical therapy, mental health treatment, or specialist appointments
- Diagnostic tests, imaging, or surgical procedures
- Assistive devices such as canes, wheelchairs, or CPAP machines
This evidence helps establish that your medical condition is real, ongoing, and requires substantial treatment, which directly supports your claim that you cannot work.
Offset and Work Incentives
If you receive SSDI and pursue a third-party settlement for special damages related to your disability, the SSA may offset your benefits under section 224 of the Social Security Act. This means SSA could reduce your monthly benefit or require repayment if you receive a lump-sum settlement. Contact your local SSA office or a Social Security attorney before accepting any settlement to understand how it affects your ongoing benefits.
Common Questions
- Can I claim medical bills I've already paid as part of my SSDI back pay? No. SSDI back pay is your monthly benefit amount only. Medical expenses are not reimbursed by the SSA. You may pursue them through a separate personal injury claim if another party is liable.
- What happens if I win a settlement for special damages related to my disability? The SSA may offset your SSDI benefits dollar for dollar until the settlement amount is repaid, depending on the settlement structure. Consult a Social Security attorney before accepting any settlement.
- How do I use medical expenses to strengthen my ALJ hearing? Submit itemized bills, receipts, and treatment records to your hearing representative. Organize them by date and type of care. These documents prove the extent and continuity of your condition, which is critical when the ALJ evaluates your functional limitations.