Establishing a period of disability reduces the number of quarters of coverage (QCs) required for fully insured status and preserves currently insured status. However, if including a period of disability results in a decrease or denial of benefits, disregard the period of disability.

If a freeze insured status is based on military service, wage credits, or railroad (RR) compensation (that are not creditable as wages, described in RS 00301.131), the number holder (NH) may not be insured for cash benefit purposes.

EXAMPLE: A period of disability established under a freeze reduces the QCs required for a fully insured status from 14 to 8 but the NH has only 7 QCs from non-military covered employment. Cash benefits are not payable.

RS 01601.260, Use of Earnings By RRB and SSA