The SSA determines the fee that any representative can charge for SSDI representation. Currently, under the SSA's fee agreement approval process, it is 25 percent of the retroactive dollar amount awarded, not to exceed $6,000 (as of June 22, 2009*). Those who are approved quickly at the application level and receive no retroactive award typically pay much less.
- Example: If a patient is awarded a $1,000 monthly benefit and the award is retroactive 12 months ($12,000), the fee would be $3,000 (.25 x $12,000). The patient would keep the remaining $9,000 of the retroactive award. All of the monthly benefits ($1,000) are the patient's to keep going forward.
- Example: If a claim takes 42 months to get a $1,000 monthly benefit, therepresentation fee would be capped at $6,000 on the $42,000 retroactive award rather than $10,500 (.25 x $42,000).
More About Allsup’s SSDI Fees
At Allsup, people only pay a fee if they receive their SSDI award, and there are no additional costs associated with their SSDI claim. We do not charge for expenses such as travel or for collecting medical records as other representatives might.
If they have private long-term disability (LTD) coverage, they should know that many employers and LTD insurance carriers pay their claimants' SSDI representation fees. Encourage your patients to check with their employer or LTD insurance carrier for details.
Keep in mind that the faster your patient can get through the SSDI process, the sooner your patient can get regular income. Customers who use Allsup usually get their award faster. That’s to their advantage.
*Prior to June 22, 2009, the SSA determined fee was not to exceed $5,300. Current SSDI representation fee information is provided above.