Settlement Reached: Relief Coming for SSI Recipients Impacted by SSA Closures

A nationwide class action lawsuit filed by NYLAG, Justice in Aging, and Arnold & Porter alleged that pandemic-related administrative errors and shutdowns with the Social Security Administration led to a combination of benefit reductions, benefit terminations, and benefit overpayments, adversely affecting SSI beneficiaries.

From March 2020 to April 2022, with Social Security’s field offices closed, many older adults and those with disabilities were not able to update their Social Security information. This resulted in many SSI recipients struggling to report changes impacting their SSI eligibility – some people experienced a reduction or termination in their SSI benefit, while others, unable to update SSA on income and household changes, were assessed an overpayment. 

What’s next? This settlement provides automatic relief to those affected.  Individuals whose benefits were reduced or discontinued may have their benefits restored. Those who were assessed overpayments may have those waived and any money owed should be paid back.  While all adjustments should happen automatically, it’s still a good idea to talk to your clients about this lawsuit to ensure that your client is properly identified and that their address on file is current.

Additional information on the settlement can be found here and here.