A bill to provide that disability benefits under Title II of the Social Security Act may not be terminated without evidence of medical improvement, to limit the number of periodic reviews, to provide that benefits continue to be paid through a determination by an administrative law judge, and for other purposes.

Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to prohibit the termination of an individual's disability benefits on the grounds that the individual's disability has ceased or did not exist, unless the Secretary of Health and Human Services finds that: (1) there has been a medical improvement in the individual's impairment such that the individual is no longer disabled under the disability standards in effect at the time of the original disability determination; or (2) the original disability determination was clearly erroneous under the disability standards in effect at the time it was made. Makes such requirement inapplicable in the case of an individual who has demonstrated an ability to engage in substantial gainful activity.

Provides that subsequent reviews of a disability determination following an initial review for purposes of determining the continuing eligibility of beneficiaries who become entitled in October 1982 and thereafter shall be at the discretion of the State agency or the Secretary, as appropriate. Requires that such individuals be notified when subsequent reviews of disability determinations are scheduled. Limits the number of reviews of disability determinations for purposes of continuing eligibility which the Secretary may conduct for individuals who become entitled to disability benefits before October 1982, but authorizes the Secretary to review, at his or her discretion, selected cases to the extent that such review will be cost-effective and that adequate personnel and time are available for such review.

Permits a disability insurance beneficiary who has been found to be no longer entitled to disability benefits to elect to have such benefits continued until the disability determination has been affirmed or overturned on appeal or until the time for such an appeal has expired. Provides that benefits paid pursuant to such an election shall be considered overpayments if the decision after a hearing affirms the determination that the individual involved is no longer entitled to benefits.