California disability attorney sues Standard Insurance Company for denial of long term disability benefits payments to paraplegic

In the case of D. Nielsen Pollock Vs Standard Insurance Company, filed at the District Court for the Southern District Of California, the plaintiff complained that the Standard Insurance Company (Standard Insurance) have breached the Employee Retirement Income And Security Act Of 1974 (ERISA) and suing for the recovery of disability benefits under the terms of an employee benefit plan for which Standard Life is the insurer of benefits under the “DILLINGHAM CONSTRUCTION HOLDINGS INC. GROUP LONG TERM DISABILITY INSURANCE POLICY.”

The Nature of the Complaint Against Standard Insurance Company

The plaintiff was formerly employed as an estimator and Project Manager for the Dillingham Construction Company. By virtue of his employment, the plaintiff is a beneficiary under the DILLINGHAM CONSTRUCTION HOLDINGS INC. GROUP LONG TERM DISABILITY INSURANCE POLICY (The Policy).

In 2002, the plaintiff became involved in an body surfing accident resulting in him suffering a spinal fracture and dislocation at his T3-4 level. Due to these injuries, the plaintiff became a complete paraplegic. Upon becoming a paraplegic, the plaintiff became totally disabled under the terms of the above mentioned Policy. The plaintiff was also determined to be totally disabled from any occupation by the Social Security Administration.

Claim for Long Term Disability Benefits Against Standard Life Insurance Company

In accordance with the terms of the Policy, the plaintiff filed a claim for long term disability benefits with Standard Life. The plaintiff was also determined by Standard Life to be totally disabled and unable to perform all of the essential functions of his own occupation and hence entitled for long term disability benefits under the terms and conditions of the Policy.

A review of the plaintiff’s long term disability benefits was conducted by Standard Life in February 2005. The review concluded that the plaintiff was unable to perform the material duties of any occupation which he has the education, training and experience to perform.

On November 17th 2010, Standard Life informed the plaintiff that it had conducted another review of the plaintiff’s long term disability benefits and decided to cancel the plaintiff’s long term disability benefits retroactive to December 31st 2006. Standard Life also demanded $124,389.45 from the plaintiff on the ground that this represented overpayments of disability benefits. According to Standard Life;

Based on our review, you are no longer disabled, and no longer eligible for LTD benefits.

The plaintiff alleged in the lawsuit that Standard Life’s decision to terminate the plaintiff’s disability benefits was not based on any medical evaluation, reports or opinions. The plaintiff argued that Standard Life had based its determination to deny the plaintiff’s claim for long term disability benefits on some newspaper articles and internet websites and assuming that the plaintiff was earning money as an officer of his family business, the Nielsen Construction CA.

The plaintiff argued that at all times since 2002, he has been paralyzed from the chest down. The plaintiff stated that his physical condition had gotten worse as the 2002 injuries to his spinal cord also caused a mass on plaintiff’s spine (syrinx) resulting in him feeling constant pain.

“Return to Work Incentive”

Nevertheless, Standard Life argued that even if the plaintiff was disabled, he is subjected to the policy’s “Return To Work Incentive” as he had earned income. The “Return To Work Incentive” calls for the reduction of the plaintiff’s disability benefits in proportion to ½ of the payment that the plaintiff received for the work that he had done.

The plaintiff argued that Standard Life had tried to use the Return to Work Incentive to redefine the term “Disability” and is contradictory in nature to the terms of the policy. Despite the plaintiff’s arguments, Standard Life refused to reverse its position to confirm that the plaintiff is not disabled and is subjected to the “return to work incentive.” Standard Life response instead was to recalculate the overpayment amount to $118,971.93 instead and insist that the plaintiff owed Standard Life this amount in overpayment. At the same time, Standard Life refused to make further payments of long term disability benefits to the plaintiff.

The contradictory nature of Standard Life argument stem from the fact that if Standard Life insisted that the plaintiff is subjected to the “return to work incentive”, this would imply that the plaintiff is disabled. However at the same time, Standard Life had insisted that the plaintiff owed $124,389.45 (later recalculated to $118,971.93) in overpayment of disability benefits. This, on the other hand, would imply that the plaintiff is no longer deemed to be disabled.

Exhaustion Of Administrative Remedies And Relief Sought

Having exhausted all administrative remedies in trying to explain to Standard Life why its determination is erroneous, the plaintiff is forced to seek relief through the Court:

Videos, Questions, Resolved Cases, Lawsuit Summaries & Company Reviews

disability insurance companies complaints

View videos, articles, resolved cases and claimant reviews about your specific disability insurance company.

Leave a comment or ask us a question


Do you work in my state?

Yes. We are a national disability insurance law firm that is available to represent you regardless of where you live in the United States. We have partner lawyers in every state and we have filed lawsuits in most federal courts nationwide. Our disability lawyers represent disability claimants at all stages of a claim for disability insurance benefits. There is nothing that our lawyers have not seen in the disability insurance world.

What are your fees?

Since we represent disability insurance claimants at different stages of a disability insurance claim we offer a variety of different fee options. We understand that claimants living on disability insurance benefits have a limited source of income; therefore we always try to work with the claimant to make our attorney fees as affordable as possible.

The three available fee options are a contingency fee agreement (no attorney fee or cost unless we make a recovery), hourly fee or fixed flat rate.

In every case we provide each client with a written fee agreement detailing the terms and conditions. We always offer a free initial phone consultation and we appreciate the opportunity to work with you in obtaining payment of your disability insurance benefits.

Do I have to come to your office to work with your law firm?

No. For purposes of efficiency and to reduce expenses for our clients we have found that 99% of our clients prefer to communicate via telephone, e-mail, fax, sessions, or Skype. If you prefer an initial in-person meeting please let us know. A disability company will never require you to come to their office and similarly we are set up so that we handle your entire claim without the need for you to come to our office.

How can I contact you?

When you call us during normal business hours you will immediately speak with a disability attorney. We can be reached at 800-682-8331 or by email. Lawyer and staff must return all client calls same day. Client emails are usually replied to within the same business day and seem to be the preferred and most efficient method of communication for most clients.


Bruce R. (Arizona)

Steve Dell has done an exceptional job with my disability application process. The firm is extremely well managed. They have acquired an incredible amount of experience over many years. I recommend them for disability insurance claims without reservation. 

Don (Florida)

I called this firm a few months ago completely disparaged due to a company cutting off disability benefits at a time that nearly caused me to lose everything.

Attorney Alex Palmera and Danielle worked hard to reach an amicable settlement and my case was settled a few months later. This is a good firm and the specific expertise in disability claims saved me countless hours of hassle at a time when an already fragile state existed.

Thank you Mr. Palamara and Danielle.

Speak With An Attorney Now

Request a free legal consultation: Call 800-682-8331 or Email Us