Short-term disability, EI sickness benefits and long-term disability all replace income when a medical condition prevents you from working, but they are different benefits with different rules. STD usually comes from an employer or private insurance plan, EI sickness benefits are a federal government program, and LTD is insurance designed for longer periods of disability.
The benefit that applies to you often depends on:
- whether you have workplace disability coverage
- how long you are expected to be unable to work
- whether you meet the eligibility rules for each benefit
- the waiting period in your insurance plan
A common sequence is:
Paid sick leave or short-term disability → EI sickness benefits where applicable → long-term disability
However, not every worker follows the same path.
Some people have STD and LTD. Others have no private disability coverage and rely on EI sickness benefits. Some move directly from STD to LTD without receiving EI.
On This Page:
- 1. STD vs. EI vs. LTD At A Glance
- 2. Which Benefit Comes First?
- 3. Short-Term Disability vs. EI Sickness Benefits
- 4. Short-Term Disability vs. Long-Term Disability
- 5. Do You Have To Apply Separately?
- 6. What If One Benefit Is Denied?
- 7. Frequently Asked Questions
Short-Term Disability vs. EI vs. LTD At A Glance
| Benefit | Who Provides It? | What Is It For? | How Long Can It Last? |
|---|---|---|---|
| Short-Term Disability | Employer, insurer or private disability plan | Temporary medical inability to work | Usually weeks or months, depending on the plan |
| EI Sickness Benefits | Federal government | Temporary inability to work for medical reasons | Up to 26 weeks |
| Long-Term Disability | Employer, insurer or private disability plan | Longer periods of medical disability | Potentially years, subject to the policy |
What Do All Three Benefits Have In Common?
All three can provide income when a medical condition prevents you from working.
All may require evidence showing that:
- you have a medical condition
- you are unable to work
- the absence is medically supported
The important differences involve:
- who provides the benefit
- how eligibility is determined
- how much is paid
- how long benefits can continue
- whether the benefit is taxable
- what happens when the benefit ends
Which Benefit Is Best?
There is no single best benefit for every worker.
The answer depends on:
- what coverage you have
- how much each benefit pays
- whether benefits are taxable
- how long you are expected to be off work
- how the benefits coordinate with one another
Which Benefit Comes First: STD, EI Or LTD?
The answer depends on the benefits available through your workplace and the terms of the applicable plans.
A common sequence is:
- Paid sick leave, where available
- Short-term disability, where available
- EI sickness benefits, where applicable
- Long-term disability, after the required waiting period
However, the sequence can vary.
What If You Have Short-Term Disability Through Work?
If your employer provides an STD plan, you will generally need to make a claim through that plan.
The federal government recommends checking whether your employer provides paid sick leave or short-term disability before applying for EI sickness benefits.
Start by asking:
- Do I have STD coverage?
- When does it begin?
- How long does it last?
- Does it lead directly into LTD?
- Is EI expected to fill any gap?
Read How To Apply For Short-Term Disability In Canada.
What If You Do Not Have Short-Term Disability?
EI sickness benefits may be an option if you:
- are unable to work for medical reasons
- meet the federal eligibility requirements
- have the required medical support
The Government of Canada currently provides up to 26 weeks of EI sickness benefits to eligible workers.
You can review the Government of Canada EI sickness benefits program.
What If You Have STD And LTD?
Many plans are designed so that LTD becomes available after a waiting or elimination period.
The STD maximum period may line up with that waiting period.
However, the transition is not necessarily automatic.
Short-Term Disability vs. EI Sickness Benefits
STD and EI sickness benefits both provide temporary income when you cannot work for medical reasons.
The biggest difference is who provides the benefit.
| Question | Short-Term Disability | EI Sickness Benefits |
|---|---|---|
| Who provides it? | Employer, insurer or private plan | Federal government |
| Do all workers have it? | No | No, eligibility rules apply |
| How much does it pay? | Depends on the plan | 55% of insurable earnings, up to the federal maximum |
| How long can it last? | Depends on the plan | Up to 26 weeks |
| Is it taxable? | Depends on how the plan was funded | Yes |
How Much Does EI Sickness Pay?
EI sickness benefits generally pay 55% of average insurable weekly earnings, up to the federal maximum.
For claims beginning in 2026, the maximum weekly benefit is $729.
STD can pay:
- more than EI
- less than EI
- roughly the same amount
It depends on the plan.
Read How Much Does Short-Term Disability Pay In Canada?
Who Qualifies For EI Sickness Benefits?
Federal eligibility requirements generally include:
- being unable to work for medical reasons
- a reduction in regular weekly earnings of more than 40% for at least one week
- 600 insured hours in the qualifying period
- a medical certificate
Service Canada determines EI eligibility.
Can You Choose EI Instead Of STD?
Do not assume you can simply choose whichever benefit you prefer.
If you have an employer STD plan, check:
- whether the plan applies first
- whether you are required to make a claim
- whether EI is intended only for a gap or period without STD coverage
The federal government specifically advises workers to check whether they have employer-paid sick leave or STD before applying for EI sickness benefits.
Can You Receive STD And EI At The Same Time?
Do not assume that you can receive the full amount of both benefits for the same period.
Depending on the plan and circumstances:
- one benefit may apply first
- another benefit may fill a gap
- income from one source may affect the other
- a registered top-up arrangement may operate under separate rules
Check the STD plan and Service Canada requirements before assuming how the benefits coordinate.
Short-Term Disability vs. Long-Term Disability
The biggest difference between STD and LTD is the expected length of the disability.
| Question | Short-Term Disability | Long-Term Disability |
|---|---|---|
| What is it for? | Temporary disability | Longer periods of disability |
| When does it begin? | Near the beginning of the absence, after any waiting period | After the LTD elimination period |
| How long can it last? | Usually weeks or months | Potentially years, subject to the policy |
| Do you need a separate application? | Usually yes | Often yes |
When Does STD Become LTD?
STD does not simply “turn into” LTD automatically.
LTD may become available after you complete the waiting or elimination period in the plan.
You may need to:
- submit a separate application
- complete new medical forms
- provide updated records
- meet the LTD definition of disability
Does Approval For STD Guarantee LTD?
No.
Approval for one benefit does not automatically guarantee approval for another.
The insurer may review:
- new medical evidence
- whether you remained disabled through the waiting period
- the LTD policy definition
- whether the application was submitted on time
Does LTD Always Start When STD Ends?
No.
There can be a gap if:
- STD ends before the LTD waiting period is complete
- you do not have LTD coverage
- the LTD application has not been decided
- the insurer denies the LTD claim
EI sickness benefits may sometimes be relevant during a period when no employer disability benefit is available, provided you meet the EI rules.
How Much Do STD, EI And LTD Pay?
| Benefit | Payment Amount |
|---|---|
| Short-Term Disability | Depends on the plan’s percentage, earnings definition and maximum benefit |
| EI Sickness Benefits | 55% of insurable earnings up to the federal maximum |
| Long-Term Disability | Depends on the policy; many plans replace a percentage of normal income |
Do not compare only the headline percentage.
Also consider:
- maximum benefit caps
- taxes
- other income offsets
- how earnings are defined
- the length of the benefit period
Read:
Are STD, EI And LTD Taxable?
| Benefit | General Tax Treatment |
|---|---|
| Short-Term Disability | Depends largely on who paid the premiums |
| EI Sickness Benefits | Taxable |
| Long-Term Disability | Depends largely on who paid the premiums |
Disability insurance benefits are generally:
- tax-free where the employee paid the full cost of the premiums
- taxable where the employer paid all or part of the premiums
Read Is Short-Term Disability Taxable In Canada?
Do You Have To Apply Separately For STD, EI And LTD?
Usually, yes.
These are separate benefits with separate application systems.
Applying For Short-Term Disability
An STD application may require:
- an employee statement
- a medical statement
- employer information
- other insurer forms
Read How To Apply For Short-Term Disability In Canada.
Applying For EI Sickness Benefits
EI sickness benefits require a separate application to Service Canada.
You generally need:
- to meet the EI eligibility requirements
- a medical certificate
- the required employment information
Service Canada advises workers to apply as soon as possible after they stop working.
Applying For Long-Term Disability
An LTD application may require:
- new claim forms
- updated medical evidence
- an employee statement
- employer information
Do not assume that the insurer will simply reuse your STD application.
When Should You Start The LTD Application?
If it appears that you will remain unable to work, find out early:
- when the waiting period ends
- when the application is due
- what forms are required
- what medical evidence is needed
Read What Happens When Short-Term Disability Ends?
What If STD, EI Or LTD Is Denied?
A denial of one benefit does not automatically mean that every other benefit must also be denied.
The programs have different:
- eligibility rules
- decision-makers
- application processes
- definitions of disability or medical inability to work
What If Short-Term Disability Is Denied?
Get the reason in writing and consider:
- what evidence the insurer says is missing
- whether EI sickness benefits may be available
- whether an LTD deadline is approaching
- whether an internal appeal is actually the best next step
Read Short-Term Disability Denied In Canada.
What If EI Sickness Benefits Are Denied?
EI decisions are made through the federal Employment Insurance system.
A denied EI claim does not automatically determine whether you qualify for private STD or LTD benefits.
What If LTD Is Denied?
A long-term disability denial can create serious financial pressure because the person may already have been unable to work for several months.
The denial may involve:
- medical evidence
- the policy definition of disability
- the waiting period
- the insurer’s view that you can work
- coverage or application issues
What Happens When Short-Term Disability Ends?
When STD ends, one of several things may happen.
You may:
- return to work
- begin a gradual return to work
- apply for or begin LTD benefits
- apply for EI sickness benefits where appropriate
- face a gap between benefits
- have a benefit denied or cut off
The end of STD does not necessarily mean that you have medically recovered.
Read What Happens When Short-Term Disability Ends?
Which Benefit Applies To Different Situations?
| Situation | Benefit To Investigate |
|---|---|
| You have employer STD coverage and expect a temporary absence | Short-term disability |
| You have no STD coverage and cannot work temporarily | EI sickness benefits |
| You remain unable to work after the short-term period | Long-term disability |
| STD ends before LTD can begin | Check the plan and whether EI sickness benefits may apply |
| STD is denied | Review the denial, EI eligibility and approaching LTD deadlines |
| The disability may be long-term or permanent | LTD and potentially other disability programs |
Frequently Asked Questions
What is the difference between STD, EI and LTD?
STD is usually employer or insurer-provided income replacement for a temporary disability. EI sickness benefits are a federal government benefit for eligible workers who cannot work for medical reasons. LTD provides insurance benefits for longer periods of disability.
Which comes first, short-term disability or EI?
If you have employer-provided STD coverage, check that plan first. The Government of Canada recommends finding out whether your employer provides paid sick leave or short-term disability before applying for EI sickness benefits.
Which comes first, STD or LTD?
STD generally applies earlier in an absence. LTD may become available after the waiting or elimination period in the long-term disability plan.
Can you choose between STD and EI?
Do not assume you can simply choose whichever pays more. Your workplace STD plan may apply first or contain rules about how it coordinates with EI.
Can you receive short-term disability and EI sickness benefits at the same time?
Do not assume you can collect the full amount of both benefits for the same period. Check the STD plan and EI rules.
How much does EI sickness pay?
EI sickness benefits generally pay 55% of average insurable weekly earnings up to the federal maximum. The maximum weekly benefit for claims beginning in 2026 is $729.
How long can you receive EI sickness benefits?
Eligible workers can receive up to 26 weeks of EI sickness benefits.
How long does short-term disability last?
The exact period depends on the plan. STD typically lasts for weeks or months. Read How Long Does Short-Term Disability Last In Canada?
When does short-term disability become long-term disability?
LTD may become available after the required waiting period, but the transition is not necessarily automatic and often requires a separate application.
Does STD approval guarantee LTD approval?
No. The insurer may separately assess the LTD claim and require updated evidence.
Can you apply for LTD if STD was denied?
Potentially, yes. An STD denial does not automatically mean an LTD claim must fail. Check the LTD deadline and application requirements.
Can you get EI if short-term disability is denied?
Possibly. EI sickness benefits may be available if you meet the federal eligibility requirements.
Is STD taxable?
It depends largely on who paid the disability insurance premiums. Read Is Short-Term Disability Taxable In Canada?
Are EI sickness benefits taxable?
Yes. EI sickness benefits are taxable income.
What happens if STD ends and LTD has not started?
There may be a gap in benefits. Check the LTD application status, the policy waiting period and whether another program such as EI sickness benefits may apply.
Do you need separate applications for STD and LTD?
Often, yes. Do not assume that an STD approval automatically starts an LTD claim.
Disability Benefits Denied Or Cut Off?
The transition between STD, EI and LTD can become complicated when one benefit ends before another begins or an insurer denies a claim.
If your short-term disability or long-term disability benefits have been denied, stopped or delayed, understand what other deadlines and benefits may be affected before deciding what to do next.
Contact Samfiru Tumarkin LLP for a free, confidential consultation with a disability lawyer.