The advantages of receiving disability income from Social Security are that benefits usually are not taxable and the payments can last until death. Worker's compensation covers you only if you are disabled due to the job. The majority of disabling injuries or diseases, however, aren't work related. Also, certain types of employment are excluded. Fraud and high costs have led to the tightening of rules in this area, making it tougher to collect.
Payments are tax free.
Employer disability policies. Many workers at smaller companies are not covered at all. The disability does not have to be work related. For coverage up to two years, disability is usually defined as not being able to perform your regular work duties. After that, it's usually defined as not being able to do the type of job you were trained to do.