Social Security

In the Social Security Disability Insurance and Supplemental Security Income (SSI) programs, the percentage of black applicants allowed disability benefits is lower than the percentage of white applicants. GAO analyzed applicants for benefits under the two programs and found that except for young SSI applicants, 80 percent of the racial differences in allowance rates at the initial decision level could be explained by factors other than race. Blacks had lower allowance rates mainly because they applied more often with less severe impairments and they had demographic characteristics associated with lower allowance rates, regardless of race. In the appeals decisions of administrative law judges, however, the racial differences were both larger and harder to explain than at the initial decision level. Despite the lower allowance rate among blacks applying for benefits, the only subgroup in which blacks actually may be receiving benefits at lower rates than whites is severely disabled people aged 18 to 24. Otherwise, blacks received benefits at rates equal to or higher than those of whites. GAO recommends that the Social Security Administration (SSA) further investigate the reasons for the racial differences in the initial decisions for young SSI applicants, as well as for all administrative law judge decisions. GAO also suggests that SSA review the evaluation of cases involving impairments, such as mental problems and respiratory orders, that showed relatively large racial differences in allowance rates.