• Social Security Disability Offsets in Disability Insurance Claims

Can a LTD insurance company claim overpayment if claimant is approved for SSDI?

Most group long-term disability policies contain a deductible source of income provision. It is very rare to see an individual long-term disability policy with a social security offset. A deductible source of income is also known as an offset.

Social Security Disability Income benefits (SSDI) are almost always considered a deductible source of income. SSDI is only one type of deductible source of income commonly found in group long-term disability policies. If a disability carrier has been paying you long-term disability benefits for 20 months and you get awarded SSDI benefits which are retroactive to 15 months prior, then your disability carrier will claim that you were overpaid for 15 of the past 20 months and you must pay the retroactive SSDI award to your long-term disability carrier. In addition, each month moving forward, your disability carrier will reduce your monthly benefit amount by the amount of your monthly SSDI check.

For example, if SSDI is paying you $1,600 a month and your disability carrier was previously paying you $3,000 a month, then your long disability carrier will now only pay $1,400 a month. Essentially the United States government just saved the disability insurance company $1,600 a month.

I generally tell clients that are approved for SSDI not to spend their retroactive award of disability benefits as their disability carrier will be asking them to turn over the full amount.

Comments (1127)

  • Stacy, if you owed approximately $40,000 and they have held back $883 since 9/18 your overpayment should be paid off about now. I would contact the carrier and have them send you the detailed calculations of each month they have held and ask them when you will be paid off in full.

    Rachel Alters Jul 26, 2022  #1127

  • My LTD company, prudential, has not paid me since September 2018. First they said I have an overpayment of about 40,000. They also said that a few years back. Within a month of this, somehow it jumped to around 51,000. I find it very hard to believe it’s that much. I need someone to help me find exactly what is owed. I think they’re taking way too much overpayment. I should be receiving around $883.00. / month to make up the difference with SSID. What type of lawyer do I need to find out exactly what the amount should be. They have put this $883.00 or close to that towards the overpayment sine September of 2018. Something is definitely not right. What type of lawyer do I need to look into this? Thank you very much.

    Stacy Jul 25, 2022  #1126

  • Lisa, I’m not sure what agreement you have with your attorney, but I would think that you would be responsible for paying 100% of the Ssdi overpayment.

    Rachel Alters Jun 28, 2022  #1125

  • I just got my LTD approved, took 9 months and I pay my attorney 40% of the retroactive received. Now if my SSDI gets approved and it’s retroactive do I pay back 100% of it, or doies my attorney pay back 40% of it?

    Lisa Jun 27, 2022  #1124

  • I cashed out my 401K to repay the overpayment on my employer Ltd. Now I’ve been told I will “probably” have another overpayment because I used my 401K, as income, to repay my 1st overpayment…. but they might be able to “work with me”
    I feel like I’m trapped in hell. What should I do? I thought I was doing a good thing.
    Also because of my circumstances I’m facing being forced to sell my house to be closer to family for medical help.

    Kristine Jun 18, 2022  #1123

  • Renae, first and foremost, do not be afraid your SSDI will be taken from you due to the overpayment. The SSA will issue your monthly benefit to you and you alone. With respect to Hartford, as the money is gone, you will need to work out a repayment plan with them. If you have not provided them with a copy of the SSA Notice of Award so they can compute the overpayment I recommend you start there so you know the amount owed (generally the whole back benefit amount as the policy allows for a dollar for dollar offset). If Hartford is to pay you $400 a month (the difference between their benefit and SSDI) they will likely absorb your monthly benefit and apply it to the overpayment.

    Stephen Jessup Jun 13, 2022  #1122

  • I am so confused. I got long term disability from Hartford. I was getting roughly 1600 a month, SsDi awarded me and I get 1200 minus Medicare fees. I thought overpayment was the extra 400 I was getting. I have spent almost all the money mainly for black mold from a leak in our bathroom that had to be tore out completely flooring walls and all redone because we were breathing it in, also paid off credit cards and bills. I got the voicemail to call them about the payment. I went on line, it says I owe the full amount I received? I don’t have it I am so sick I don’t know what to, they tried to have a allsup attorney help me but I told them I could not afford them so I didn’t sign the paperwork for their help to pay them back because I would need my ssdi money for repairs we all have been sick numerous times from the mold, I also had no idea the overpayment meant the full amount. I’m so confused, I’m afraid to call them and tell them I’m so afraid now my social security will be taken from me.

    Renae Jun 13, 2022  #1121

  • Barry, as we are not tax professionals/accountants, we are not able to provide any tax advice and would recommend you speak with an accountant.

    Stephen Jessup Jun 10, 2022  #1120

  • I paid back my overpayment from social security to my long term disability company after 2021 tax season after I received a lump sum in November 2021 from social security and was requested by my long term disability company to pay it back by December 27 2021: I received social security and long term disability due to my injuries and my doctor taking me out of work which is over 3200 a month: what form do I need and who do I need to get this form from to amend my 2021 taxes because the overpayment was counted as income” which made me have to pay more for taxes.

    Barry Jun 9, 2022  #1119

  • Hi,
    Is there statue of limitations for SSID overpayment?

    Konstantin Jun 7, 2022  #1118

  • I think I’ve read through all 1100 questions, and you don’t directly say HOW an LTD company who is no longer in the picture would know I FINALLY got SSDI.

    I was on psych disability, which contractually is only paid for 2 years, but I am continuing to appeal my social security. I did NOT use their advocacy vendor, I did it on my own. How will they know?

    brandy May 11, 2022  #1117

  • How often does the law require a doctors update on my Ltd with Hartford?

    Mr.Hance Apr 29, 2022  #1116

  • In the State of Illinois can Unum’s Long term disability offset amount be greater than your retroactive Social Security Disability awarded amount?

    Valerie B. Apr 15, 2022  #1115

  • Is there any type of waiver for MetLife ltd overpayment recovery related to covid-19 pandemic? They are saying I owe them like $2000.

    Sheryl Mar 25, 2022  #1114

  • my benefits were awarded on an ssdi award higher than I was awarded, what happens?

    Scott Feb 12, 2022  #1113

  • I started receiving my ltd the end of 2019. In 2020 I filled out paperwork for them and listed that I had 1 dependent. They contacted me 01/14/2022 and said that I needed to apply for Dssdi and if I have that payment would be an offset to my claim. I indeed have been getting a payment From SSDI payable to my daughter.she since has turned 18, 19 in July. How long does the ltd carrier have to recoup the over payment

    Ed Jan 18, 2022  #1112

  • Is the LTD amount the insurance company’s pays be further reduced by benefits received by my children?

    James Nov 24, 2021  #1111

  • John, in order to assess whether Allsup and the insurance company is owed any overpayment or fees, we will need more information. Please contact us for a free consultation. Also, please keep in mind that most, if not almost all, group disability insurance policies allow the insurance company to offset the SSDI benefit. If the SSA pays benefits for a back time period where the LTD insurance company paid the full gross monthly benefits, an overpayment might be owed for those time periods as well. Thus, an overpayment very well may be owed. However, contact us so that we can learn more about your situation.

    Alex Palamara Jul 30, 2021  #1110

  • I got approved from SSA and Allsup wants my lump sum, doing double dipping. Can we fight ALLSUP from getting my lump sum them they already received $6000.

    John Jul 29, 2021  #1109

  • Steve, should you begin working at a new job, your claim for LTD benefits will either end or will be reduced based on your current income and a formula provided by the governing LTD policy. Other than benefits ending or being reduced, there should not be any other consequences. However, please contact so we can learn more about your claim and advise you if there is anything you need to additionally worry about.

    Alex Palamara Jun 13, 2021  #1108

  • I’m on long term disability. I have been offered a new job. Is it ok to take the job without any consequences from the insurance company or my present company? The new job offer is a much better job.

    Steve Jun 12, 2021  #1107

  • Christine, in all likelihood, your disability income from PERS in Ohio for a completely unrelated disability is likely not an offset to your current disability claim. However, the only way I can truly answer that question is to review the disability insurance policy or policies governing your current claim. Please see if you can obtain copies of the governing policies and contact us for a free consultation.

    Alex Palamara Jun 9, 2021  #1106

  • Does this same type of process apply for other types in disability income? I receive a Disability Income from the Public Employees Retirement System in Ohio and left there many years ago due to my health/nature of my position. I was a State of Ohio employee. I have since then been working a position from my house for Blue Cross Blue Shield, but became ill (unrelated) to first disability. Can BCBS offset my Long Term Disability through them because of my other income (disability) from State of Ohio?

    Christine F. Jun 8, 2021  #1105

  • Jordan, unfortunately, if the policy indicates that your carrier has the right to offset for any SSDI benefits received by a dependent based on your disability, then yes. This is a very common provision policy found in employer provided policies.

    Stephen Jessup Jun 8, 2021  #1104

  • Can LTD take my kids auxiliary back pay from SSA?

    Jordan Jun 7, 2021  #1103

  • Michele, unfortunately this is why communications with your disability insurer should be done in writing. There may not be any written documentation proving that you were told this by the disability insurer. Typically cost of living increases to SSDI do not further reduce your monthly benefit; however, it depends on the language of your insurance policy. You should refer to your disability insurance policy and read the section discussing other income benefits and offsets carefully. Also, verify that you were not paid by SSDI for a correction caused by an underpayment of prior benefits.

    Cesar Gavidia May 24, 2021  #1102

  • What if you received an increase in monthly payments from SSDI and you told your insurance carrier when they called you and the representative said it’s okay it is likely for cost of living increase and that does not apply. Fast forward 2 years later and you receive a letter saying you owe them $7500.00 because SSDI increased your monthly payments. I do not have that to give them at this time and I was not hiding the income from them but I do not know if there is any recourse for me.

    Michele May 23, 2021  #1101

  • Tom, you will ultimately be responsible for taxes paid on SSDI benefits. As your benefits from the carrier were not taxable you will need to speak with a tax professional as to what can be done when it comes time to file your taxes.

    Stephen Jessup May 6, 2021  #1100

  • When paying back SSDI overpayment to the LTD insurance company who is responsible for the income tax burden? Returning SSDI at face value and having to pay the income taxes after the fact does not seem fare when the monthly payments from the LTD insurance company were tax exempt.

    Tom May 5, 2021  #1099

  • Stephanie, you would have to ask them if you can dispute the amount they claim you owe as you didn’t receive what they claim. Send them the proof that you did not receive it.

    Rachel Alters Apr 28, 2021  #1098

  • I was awarded social security disability. Before that I was getting widows benefits and long term disability. Now that I was approved, social security deducted all the widows benefits previously paid. My long term wants me to pay back the money even though I only received a small reward. Do I have to pay them back even though I did not get the whole award? Can I only pay them the amount I actually received in cash?

    Stephanie Apr 28, 2021  #1097

  • David: There are a number of options in that scenario. You are obligated to repay the overpayment but you can certainly contact the carrier to try and arrange/negotiate and alternative repayment schedule.

    Jay Symonds Apr 26, 2021  #1096

  • I am receiving SSDI now and I have LTD benefits until the year 2034 via The Hartford. I have received my lump some retroactive monies and of course it all has to go back for overpayment. What would happen if I kept the lump some and said they can keep the approximately next four years of benefit payments. Can they cancel my policy, garnish, etc…..

    David T. Apr 26, 2021  #1095

  • Virginia, I am happy to hear that your claim for SSDI benefits has been approved. Regarding the overpayment that the insurance company is now demanding, the answer to your question is that typically the insurance company will accept payment of the overpayment back in monthly payments. However, they typically will only allow it for a period of 18 months. Thus, they desire the entire amount of money owed back by the end of 18 months.

    Alex Palamara Apr 13, 2021  #1094

  • Can I pay them back in monthly payments?

    Virginia W. Apr 13, 2021  #1093

  • Virginia, Hartford will typically work out a repayment plan for an overpayment of SSDI benefits.

    Stephen Jessup Apr 6, 2021  #1092

  • Can I pay back long term in monthly payments through the Hartford?

    Virginia W. Apr 6, 2021  #1091

  • Thomas, unfortunately even if you did not get a copy of the policy governing your claim, the terms of policy will still govern your claim. Thus, if you have received other income that can be an offset to your LTD claim, an overpayment will likely be owed.

    Alex Palamara Mar 22, 2021  #1090

  • I never got a copy of disability agreement from Lincoln financial nor was I told of payback of benefits.

    Thomas Y. Mar 22, 2021  #1089

  • John, I am sorry to hear of your denial of LTD benefits but I am happy to learn of your approval for SSDI benefits. From the sounds of your inquiry, it is likely known that an overpayment may be owed. Certainly, the insurance company could ask directly now or in the future if SSDI benefits were ever approved. That being said, I am interested in the LTD claim denial as there may be time to sue on that claim since it was only denied 2 years ago (assuming that you filed a timely appeal). Please contact us so that we can review your LTD claim and go over the various options for your LTD claim and the potential overpayment.

    Alex Palamara Mar 20, 2021  #1088

  • My LTD company terminated my claim and payments two years ago. I fought my Social Security Disability denial, with new attorney with appeals Counsel in Federal court and recently received a fully favorable decision
    How will my LTD company know I won?

    John Mar 20, 2021  #1087

  • Darrins, you will need to pay the backpay back to the carrier of the LTD benefits overlapped with the SSDI payments.

    Rachel Alters Mar 11, 2021  #1086

  • I’m in process of hearing from SS disability. Meantime I have LTD which is to expire in 2 months. LTD pays $2050. SS will pay $1950. I have a lump sum of $17k of backpay from SS. Please explain what happens now.

    Darrins H. Mar 11, 2021  #1085

  • Robert, I am happy to hear that your LTD and SSDI claims are approved. And the good news is that the answer to your question is YES. Once the SSA ends paying your dependent benefit, the LTD insurance company can no longer offset what you aren’t receiving and thus the LTD insurance company will pay you at a higher amount by reinstating the amount they are currently withholding due to your dependent’s SSDI benefit. Should you have any complications, please do not hesitate to reach out to us.

    Alex Palamara Mar 4, 2021  #1084

  • Hi, I have a long term disability that will never improve and as a result I had to stop working. I was granted LTD insurance payments and my LTD insurance company was paying me approximately 60% of my previous salary. They later required me to apply for SSDI. I was granted SSDI by social security and the LTD insurance company now withholds the SSDI amount paid to me and my two children by social security, and pays me the remaining difference I was receiving prior to SSDI. My question is, once the SSDI dependent benefit for my child ends when he or she turns 18, does the my insurance company re-instate the amount that was being withheld by them once my child is no longer receiving the SSDI? I am under 65 so this will also be the case for my other child in two years.

    Robert Mar 4, 2021  #1083

  • Daniel, you have a very unique situation in that your claim is now with MetLife. Aetna was purchased by Hartford, but I have not heard of MetLife taking over any claims from Hartford. Technically, under the initial policy, Aetna/Hartford would still have a right to collect an overpayment. It is a matter of whether they will find out to do so given the fact MetLife is handling the case. Please feel free to contact our office to discuss, as your company claim history is very unique.

    Stephen Jessup Mar 1, 2021  #1082

  • I just got approved for SSDI. I have been on long term disability since 2018 and the carrier has been switched since then 2 times…first Aetna, then Hartford, and now MetLife. SS sent me a backpay from when they said i actually should’ve been approved back in 2018. MetLife has already requested their cut which goes back to August of 2020 (even though it actually was Hartford and MetLife did not start paying us until January of 2021). My question is whether Aetna and Hartford will be hunting down money from me as well even though those accts were closed? Not sure how long to hold onto the settlement SS sent me, if it’s actually mine or do I have to feel that in a year or two one of these companies are going to be knocking on my door looking for their cut.

    Daniel Mar 1, 2021  #1081

  • Dwayne, congratulations on getting approved for SSDI benefits. Moving forward, if you remain on claim with your LTD claim, obviously the insurance company will get to pay you less moving forward. If an overpayment is owed and the money to repay them is gone, what insurance companies typically do is withhold your net monthly benefit until the overpayment is paid off. There is also another alternative that we can help you explore and that would be the possibility of a buyout. Please contact us at once so that we can discuss the possibility of such with you.

    Alex Palamara Feb 10, 2021  #1080

  • What if you forgot that the retro from ssd saw to go to your long term carrier and spent it then what has to be done?

    Dwayne Feb 10, 2021  #1079

  • Gwendolyn, I would suggest you contact an accountant to find out the best course.

    Rachel Alters Feb 4, 2021  #1078

  • I received a w2 from Ltd because I had to pay them back after I was awarded ssdi so do I have to add that to my annual income if they were paid back?

    Gwendolyn E. Feb 3, 2021  #1077

  • Susan, if you remain on claim and your benefits are still being paid, there is a chance that if the money should have been offset and wasn’t, that the insurance company will attempt to withhold part of your monthly benefit to pay off any overpayment owed. If you would like to discuss this, please get a copy of the LTD policy governing your claim and contact us for a free consultation.

    Alex Palamara Jan 26, 2021  #1076

  • Is there a statute of limitations for a LTD plan administrator to claim overpayment?

    I have been on LTD and SSDI since 2010. In 2013 I gave birth to my son, and at the time I sent an appeal letter to the LTD administrator asking if they would consider not offseting my son’s SSDI from my LTD because he wasn’t born at the time I went on disability and my payments were calculated (similar to how they do not deduct COLA). They sent my request to my employer because they said that is who would make a decision like that. I followed up multiple times and ultimately they said if I hear nothing, I don’t need to do anything. I also sent them my son’s benefit award letter in 2014. My payments were never offset. I never received any notice of this overpayment other than when I called them for something else yesterday, 7 years later. No letters. Nothing. Is there a certain amount of time they have to claim this money?

    Susan Jan 26, 2021  #1075

  • Keith, to answer your question, we need more information. Typically, Other Income Benefits that are offsettable must be “provided to you as a result of the same Disability…” Thus, it could be an offset or it might now be, depending on what left you disabled with SSA and what is disabling you under the LTD policy. Please feel free to contact us for a free consultation. We will gladly review your policy and speak with you to assist you with this issue.

    Alex Palamara Jan 25, 2021  #1074

  • What if you were receiving SSDI before you received long term disability? Need and answer.

    Keith R. Jan 25, 2021  #1073

  • Nancy, as we are not tax professionals we are not able to give any advice on tax liabilities. You will need to speak with an accountant/tax professional to have your question best answers. With respect to the insurance carriers, some provide what is known as a Claim of Rights letter that can be used for tax credits in a given year on account of SSDI repayment. You can start by inquiring of your claims person, or ask them for the contact information for the tax department to get further information on documentation they can provide for tax filing purposes.

    Stephen Jessup Jan 24, 2021  #1072

  • How does the retro pay affect taxes? Since it is listed as income from ssdi, but the money’s were taken by long term disability group, which I was already taxed on?

    Nancy M. Jan 24, 2021  #1071

  • Bob, generally, they will want it all though most insurance companies will negotiate a repayment plan. I highly recommend you contact your insurance carrier to see if they would be willing to work out a repayment plan before you spend any of the SSDI back pay.

    Stephen Jessup Jan 23, 2021  #1070

  • If we received backpay from ssdi, will the insurance company allow payments for part of the lump sum, or will they want it all?

    Bob O. Jan 23, 2021  #1069

  • Social Security paid me a back pay lump some of $50k which needed to be paid back to the long term disability insurance co. I asked for them to offset against future LTD payments for tax purposes. They agreed and stopped paying me monthly. They now gave me a W-2 for $50k though paid me $0 in 2020. I will get a 1099 from SS for that $50k as well as my monthly deposits which will be legit, since SS paid ME. The LTD refuses to correct the W-2. How can they do this?

    Laura W. Jan 13, 2021  #1068

  • John: The LTD policy/plan dictates what other sources of income are deductible from the monthly benefit. Generally speaking, SSDI benefits are a deductible source of income. I suggest you review the Policy to confirm. If it is, you likely would be responsible for any overpayments for retroactive benefits paid to you by SSDI for months in which you received a full LTD benefit from the carrier.

    Jay Symonds Dec 15, 2020  #1067

  • My LTD policy classifies me as a tipped employee and are only paying me 1075$ per month, even though as a blackjack dealer I was making 60k per year. I have now been approved for SSDI and the govt is paying me 1985$ per month would there be a repayment required?

    John A. Dec 15, 2020  #1066

  • Shirley: You should contact Cigna and raise your concern. If they refuse to amend you should request a written explanation of the overpayment calculation. Once received you can submit an appeal challenging the 3 additional 3 weeks. If you continue to have difficulties you can contact our office and speak with one of the attorneys.

    Jay Symonds Dec 15, 2020  #1065

  • Disability AOD: 11/22/2019 Cigna LTD had six-month waiting period. Started benefits effective 05/20/2020. SSDI approved and had a 5 month waiting period. Started benefits effective 05/01/2020 (3 weeks later than Cigna LTD due to difference in waiting period). Why is Cigna requested full amount of backpay I received from SSDI when they didn’t start paying until 3 weeks after SSDI started?

    Cigna’s first payment was for time period 05/20-6/19/2020. SSDI’s backpay is for 05/01/2020-11/30/2020. I think Cigna is asking for 3 weeks of benefits they are not entitled to. That period 05/01-05/19/2020 was not covered by Cigna. Please advise.

    Shirley H. Dec 15, 2020  #1064

  • Can I include this payback in my bankruptcy ?

    John B. Dec 11, 2020  #1063

  • Mike, typically it does not go against your credit. Typically the insurance company will withhold the net portion of your benefit until they are made whole.

    Alex Palamara Nov 19, 2020  #1062

  • What if I owe long term disability but can’t pay it back will it go against my credit?

    Mike Nov 18, 2020  #1061

  • Anthony, they are owed to your company.

    Rachel Alters Nov 16, 2020  #1060

  • I need advice on paing back a overpay of short term and long term disability. These funds are owed to my company or Sedgwick, the company that handles the disability claims.

    Anthony M. Nov 16, 2020  #1059

  • Danny: Applying for SSDI before long term disability benefits should not affect the LTD benefit. However, regardless of your SSDI filing, you should review the timing associated with notice and proof of claim under the LTD policy. Typically, it requires notice and proof be provided within months of the date of disability.

    Jay Symonds Nov 11, 2020  #1058

  • What if I sign up for ssdi before I sign up for long term disability?

    Danny H. Nov 11, 2020  #1057

  • Delvan, I believe you are saying that the disability insurance company will want an overpayment if SSDI is approved. If so, the insurance companies typically discount the overpayment amount by the amount you pay for your SSDI attorney. Thus, keep any documentation that the SSA or your SSDI attorney has sent you so that you can prove to the insurance company how much you paid in attorney fees for your SSDI claim.

    Alex Palamara Nov 1, 2020  #1056

  • My attorney charges 20 percent of back pay for SSDI. Once approved, SSDI will want the over payment back. Do I get stuck with paying the 20 percent to the attorney and the over payment? Thanks for any help.

    Delvan K. Nov 1, 2020  #1055

  • Mike, Unum’s denial of your LTD claim should have no impact on your SSDI claim. If Unum does deny your LTD claim, please contact us at once so that we can assist you in getting your back on claim with Unum.

    Alex Palamara Nov 1, 2020  #1054

  • If Unum cancels my ltd, will my ssdi be affected?

    Mike Nov 1, 2020  #1053

  • I applied for ssi in 2015. I was denied, I was approved for benefits in 2020, but I received std from may to nov, then ltd started. I was approved to recieve ssdi, will they stop my ltd and take my back pay?

    Barbara J. Oct 22, 2020  #1052

  • Lana: The disability company must give your daughter credit for the social security disability attorney fees she paid. The company cannot make her pay back more than she received. Thank you for the great feedback on our videos! I am glad you find them helpful!

    Gregory Dell Oct 19, 2020  #1051

  • My daughter has MS and just rec’d her SSD approval. Disability Ins Co now wants her to pay back more than she received. Co. that represented her (not attorney) took a portion. Insurance Company did not deduct that amount from pay back. Can they do that? By the way, I have recommended your YouTube videos to four friends applying for benefits. Yours are the best on YouTube!

    Lana Oct 16, 2020  #1050

  • Debbie: possibly.

    Rachel Alters Oct 5, 2020  #1049

  • If my LTD paid me 4600.00 in a 10 month period and I only get 2000.00 in back pay from SSD will LTD take it?

    Debbie R. Oct 5, 2020  #1048

  • Sherry: $500.

    Rachel Alters Oct 2, 2020  #1047

  • I’ve been awarded SSDI after being disabled since April 2019. I wasn’t on long term disability until December 2019. I’m Ted my SSDI monthly payment will be only $1400 a month. Liberty Mutual has been paying me $1900 a month. How much will I get now?

    Sherry J. Oct 1, 2020  #1046

  • Loretta, please feel free to contact us. Your LTD claim may be limited on how long they have to pay you due to your age. However, you still will be able to receive Social Security benefits.

    Alex Palamara Sep 24, 2020  #1045

  • I’ve been collecting Ltd for seventeens years and ssd the Ltd offset is 350. I’m turning 66. Will I get?

    Loretta C. Sep 24, 2020  #1044

  • Tara, some disability insurers will negotiate a reduction of the overpayment but many will not. Please feel to contact us to discuss your options.

    Cesar Gavidia Sep 14, 2020  #1043

  • Can I negotiate to a lesser amount to pay back? Say I got back 30.000 and payed 10.000 in back bills. I only have 20.000 left. Can I ask to just take the $20.000 and keep the rest of the LTD future payments call it even?

    Tara S. Sep 14, 2020  #1042

  • Diana, I am happy to hear that your LTD and Social Security Disability Income (SSDI) claims have been approved. Unfortunately, most LTD policies allow the insurance company to pay you less once the SSDI claim is approved. And yes, if SSA is paying you for a time period where the LTD insurance company was paying you the full amount, you will likely owe them an overpayment. If you have a copy of the LTD policy governing your claim, we can review it to see if the offset is correct. To pay the overpayment, you can pay it all back in full or enter into a payment plan with the insurance company. There is one final option that may be worthwhile checking into and it is something we do on a regular occupation: you may be interested in a lump sum settlement (also known as a buyout). Should you be interested in pursuing such, please contact us at once, Alex.

    Alex Palamara Aug 30, 2020  #1041

  • I had a stroke in 2018 that left me with constant memory loss. I was getting long term disability from previous employer then in April of 2019 I was awarded ssd, but I was never informed from anyone that I had to report my ssd to the longterm disability company.

    Diana Aug 30, 2020  #1040

  • Pamela, yes you still are obligated to pay back any overpayment.

    Rachel Alters Aug 18, 2020  #1039

  • If I didn’t sign any documents agreeing to reimburse my LTD if I receive SSDI am I obligated to turn funds over if I’m approved for SSDI? My hearing is coming on September.

    Pamela Aug 18, 2020  #1038

  • Joe: Have you appealed your LTD denial? If you have received a back benefit award from SSA for any month that you previously received an LTD benefit the Policy would allow the carrier to recoup that over payment, even if you are no longer on claim with the carrier. Did you use the carrier recommended vendor to pursue SSDI or your own attorney? I suggest you contact our office and speak with one of the attorneys to discuss the specific questions you have and your options moving forward.

    Jay Symonds Aug 8, 2020  #1037

  • After two years of paying me. LTD provider terminated my claim, said they thought I could work, even though none of there doctors ever saw or spoke to me in 2 years and my doctors did and said I couldn’t work. I still had to get a lawyer and continue fighting for 6 months before getting my SSDI approved, Fully Favorable. Without any pay from LTD. Do I still have to give them back pay?

    Joe Aug 8, 2020  #1036

  • Julie, yes, nearly every cause of action is limited by a statute of limitation. Including an action to recover an overpayment of benefits. All this means is that the disability insurer must file suit against the insured to recover the overpayment before the expiration of that statue of limitation. However, the disability insurer, as a self-remedy, may simply try and withhold your disability benefits to recover the overpayment. You could attempt to appeal the insurance companies claim to the overpayment if you do not feel that they are entitled to it.

    Cesar Gavidia Aug 6, 2020  #1035

  • My question… Is there a “statute of limitations” on how many years LTD can go back to claim an overpayment? My LTD is saying they overpaid me 9 years ago… I’m still waiting for a copy of their records that would verify what they are saying… but, 9 years seems like a long time to be able to do this… my bank only holds my banking records for 7 years!

    Julie Aug 5, 2020  #1034

  • Kirk: I’m not sure what you mean by your “LTD offset is 85%.” However, an SSDI offset would typically apply to the entire SSDI benefit and reduce your LTD monthly benefit dollar for dollar. For example, if your LTD benefit is $2000 and you are approved for SSDI benefits in the amount of $1000, then the carrier would reduce the LTD benefit by $1000 so that you continue to receive $2000 in total but $1000 from LTD and $1000 from SSDI. The same would apply for retroactive lump sum payments from SSDI. For each retroactive monthly SSDI benefit you receive the carrier would be entitled to repayment of that amount if you received a full LTD benefit for that same month. For example, if you received a full $2000 LTD benefit in January 2020 and SSDI now pays you a retroactive $1000 for January 2020, the carrier is entitled to recover that $1000 as an overpayment.

    Jay Symonds Jul 27, 2020  #1033

  • My LTD offset is 85%. So if I’m approved for SSDI do I have to repay 85% of the SSDI or 85% of what my LTD paid me?

    Kirk P. Jul 27, 2020  #1032

  • Theressa, it depends on the terms of your disability plan. You should request a copy of your policy and speak to the disability insurer to determine the amount of overpayment that you owe back. They will provide you with a detailed explanation upon request as well.

    Cesar Gavidia Jul 22, 2020  #1031

  • If your LTD company paid you 1500 for 2 years and SSDI awarded you 1700 a month and backpay for 2 years how much do you actually have to pay back to the LTD insurance company?

    Theressa J. Jul 22, 2020  #1030

  • Frank, I am sorry to hear about your denial. You may be able to enter into a repayment plan with the insurance company and typically they will allow up to 24 months to repay, so your plan of 11 months might be approved. However, it is up to the insurance company but more often than not they are able to accommodate a reasonable request. With regards to the LTD denial, please contact us to see if we can assist you in getting back on claim.

    Jay Symonds Jul 20, 2020  #1029

  • Would it be legal for me to choose to repay my Ltd insurance company at the same rate at which I was being paid. I was receiving 3000 a month for five months and 20 a month for 6 months. I’m guess to offset my pay from my employer at to reach the 3000. From my understanding they want 17000 and change. Can I legally pay them back full amount just in the same exact sums and time fame it took me to receive the payments they choose to issue. Before denying me further Ltd benefits because they didn’t feel I was disabled enough. Thank god social security judge read actual dr reports and awarded me social security disability.

    Frank O. Jul 20, 2020  #1028

  • Vicki, there could be options other than just paying back the full overpayment to the insurance companies. Most insurance companies often allow an overpayment to be paid back over time. Thus, they could divide what you owe them over a period of say 24 months and you pay partially each month until the full overpayment is paid back over that period. Other options might be to negotiate a lump sum settlement of your claim, which is something we can certainly assist you on. If your husband remains on claim, they likely will not walk away from any of the overpayment they are demanding, unless there is a lump sum settlement. Please contact us so that we can discuss your potential options further.

    Alex Palamara Jul 9, 2020  #1027

  • This is my husband’s situation. He was awarded back pay to the tune of $50,000; $6,000 taken out for attorney fee (most they could take). We received partial back pay. Can we negotiate a new amount? He was off since 2015 and we are quite in debt now because of expensive medical tests needed for LTD company we paid out or on credit cards because couldn’t afford COBRA. They only went back to Sept. 2018 for back pay. Any advice? We are in PA; but our legal address still shows Wyoming. PA SSA office handled hearing.

    Vicki K. Jul 9, 2020  #1026

  • Shaun: Generally speaking, under most group disability policies the carrier is entitled to an offset for each month in which you receive an SSDI benefit retroactive to the date SSDI begins paying benefits. The fact that you were approved earlier than expected does not change that requirement.

    Jay Symonds Jun 30, 2020  #1025

  • My LTD insurance has been in effect for 4 months and I just got approved for SSA. My contract says that after 6 months I have to apply for SSA. Being that I got approved ahead of time will they still want to take back pay or start an early offset?

    Shaun A. Jun 30, 2020  #1024

  • M.T., if you were eligible to receive the benefits for SSDI but for some reason they were withheld, for example, for overdue child support, or some other legitimate reason, depending on the language in your disability plan, the disability insurer may be able to claim an overpayment of benefits and request that you reimburse them. You should determine why SSDI withheld the funds for December through February and explain the reason to the disability insurer. They may work something out with you such as delaying the repayment until you receive the funds.

    Cesar Gavidia Jun 26, 2020  #1023

  • What happens if you begin receiving monthly disability payments but did NOT receive the retroactive SSDI payment? We began receiving regular disability monthly disability payments in April, but were approved Dec 2019. Because of COVID, we did not receive the approval for the retroactive for DEC-FEB. However, the LTD company is demanding that we repay nearly $6000 and threatening to turn it into a collection agency in July. But we never received the retroactive money from SSDI – we don’t even know if we will. Can the LTD company force us to pay money we didn’t receive? Can they turn us into a collection agency?

    M. T. Jun 26, 2020  #1022

  • Eddie, I am not quite sure I follow your question. If your child receives dependent SSDI (DSSDI) on account of your disability the insurance company has the right (typically) under the policy to offset the full amount. If your questions is more geared towards the tax implications/ramifications you will have to speak with an accountant or other tax professional to see if there is something that can be done to your financial benefit.

    Stephen Jessup Jun 25, 2020  #1021

  • I collect SSDI and Ltd. My ex wife is the custodial parent and uses the child as her dependent on taxes. Can the amount that she’ has been collecting change offset the amount of my LTD?

    Eddie Jun 25, 2020  #1020

  • Mkneek, they will likely just estimate the offset of your benefits and reduce or cut off your Ltd benefit as the policy allows for this.

    Rachel Alters Jun 11, 2020  #1019

  • What if I don’t send them( LTD) a copy of my SSD award letter as they requested?

    Mkneek Jun 11, 2020  #1018

  • Kenneth, they usually require them right away. If you don’t pay them back then they will likely stop paying your Ltd benefit.

    Rachel Alters Jun 10, 2020  #1017

  • How long do you have before you have to turn over your ssdi offset to your lfti carrier?

    Kenneth C. Jun 10, 2020  #1016

  • David: No, SSDI pays only what you are entitled to under the SSA rules and your contributions. SSDI will no assume the balance of what the carrier was paying you. You can contact our office and speak with one of the attorneys to discuss the specific questions you have regarding your denial with the carrier.

    Jay Symonds Jun 9, 2020  #1015

  • I was being payed by both SSID and insurance company but the insurance company drop me because I couldn’t get an appointment because of the pandemic… question is will SSID pickup what the insurance company was paying?

    David C. Jun 9, 2020  #1014

  • It depends on whether your long-term disability plan requires you to refund the disability insurer any overpayment of benefits that occurs on account of your receipt of SSDI benefits. Request a copy of your long-term disability policy from your employer or the insurer and review any terms regarding overpayment of benefits. It is likely that you will be required to refund the overpayment of benefits. If you fail to refund any overpayment of benefits the disability insurer may withhold your disability benefits to recover the overpayment or bring legal action against you for recovery of the funds.

    Cesar Gavidia Jun 9, 2020  #1013

  • I had ltd benefits through work, Wal Mart, Lincoln Life Assurance Co. I have paid for this 15+ years. I have drawn this for 7 months, just now got my SS disability, how do they say I have overpaid and have to pay back when the only check I received was from them and I paid for it? And they are going to continue with a partial check for 18 months. I don’t understand, the payback and the continuing of a check.

    Candie H. Jun 8, 2020  #1012

  • I’ve been on long term disability since 2019. I sent them my paper from social security stating I qualified for disability and how much. Now they are saying I was overpaid. To me I did what I was suppose to do. They had the information all this time.

    Cathy E. Jun 6, 2020  #1011

  • Dan: We would need to see the exact Policy language at issue but based on the circumstances as you described them you should have received the full benefit. Did the finale letter afford you an opportunity to appeal the decision?

    Jay Symonds May 29, 2020  #1010

  • My wife was diagnosed with pancreatic cancer in 12/2016 and was given LTD of $3017 a month until she was awarded SSDI which lowered her LTD to $1260 a month. Her policy states the in the event of her death she will get survivor benefit equal to 3 times her last FULL monthly LTD Benefit that was payable. That statement leads me to believe after her death due to cancer on 11/5/2019 the payout should be 3 x $3017 but was sent a check for 3 x $1260. SSDI stopped on the day of her death so I feel her full benefit should be $3017 not $1260. Am I correct?

    Dan S. May 29, 2020  #1009

  • Cheryl, it depends on whether your long-term disability plan requires you to refund the disability insurer any overpayment of benefits that occurs on account of your receipt of SSDI benefits. Request a copy of your long-term disability policy from your employer or the insurer and review any terms regarding overpayment of benefits. It is likely that you will be required to refund the overpayment of benefits. If you fail to refund any overpayment of benefits the disability insurer may withhold your disability benefits to recover the overpayment or bring legal action against you for recovery of the funds.

    Cesar Gavidia May 25, 2020  #1008

  • I have a question. I was getting long term disability payment of 744.00 for 25 months. I just got my SS disability of 921.00 a month. Would I have to pay my long term disability back?

    Cheryl B. May 25, 2020  #1007

  • Sue: Unfortunately, the carrier is allowed to collect the full retroactive overpayment. You may have options, I suggest you contact our office and speak with one of the attorneys to discuss any specific questions you may have regarding your situation.

    Jay Symonds May 14, 2020  #1006

  • I’ve been awarded SSDI disability retro back lump sum payment $45000 for 2 years. During that time Ltd paid me $1800 monthly for 2 years. Now my Ltd insurance will ask me to pay them $1800×24=43200. I don’t mind to pay them, but I also have to pay taxes on these money, even though it’s not really my money. Roughly speaking it’s about $9000. So, I have to pay back the lump sum to the LTD insurance, I have to pay back hefty taxes to the IRS by the end of the year? Where am I gonna get these money? Why is so unfair? I thought I’ve paid LTD insurance premiums every paycheck, so one day it would support me. What kind of insurance is it which takes money back?

    Sue May 14, 2020  #1005

  • Andrea, I am sorry to hear the demands that Hartford is making and the hoops they are trying to make you jump through. In order to assess your claim, we would need to review the policy that is governing your claim. Under most policies, the initial award letter should be enough as most group LTD policies do not offset for SSA cost of living increases. However, your policy might be different as it sounds like you have been on claim for quite some time. Please contact us for a free consultation. We will need to see the policy governing your claim so make sure that you have located a copy.

    Alex Palamara May 11, 2020  #1004

  • My co. sold itself along with all of their liabilities, to a shell company. The shell has a new insurance company “Hartford” (who merged with Aetna also, if this isn’t already complicated), who is wanting 20 years of past benefit verification letters from SS. Hartford states today’s amount will not go into their system and want these letters to reconfigure payment. I told them that Aetna received these amounts over the years, even though their own lawyer said as we left court, (in the beginning), that once they got the initial award letter, they could never ask for it again. (His statement has always stuck with me).

    Is this legal for the new co., that actually merged with the old, to do this? Why can’t they just get it from Aetna’s records? I’m sure the difference is because of the cost of living increase, that ss gives and they don’t (which I told them). Is this legal? Should I just give them the main award letter and nothing else? Should I give them all 16 years?

    They say if I don’t give it to them, they will stop paying me. I was disabled by my co., who retired and sent in the paperwork, before my own Dr.’s retired me. They retired me without giving me medical. I need to know if what they are asking for is legal? If I should just give the main award letter, as that is what my benefit was based on for the rest of my life? If I should give them all 16 years of benefit verification letters?

    Andrea T. May 11, 2020  #1003

  • Lee, I am sorry to hear of your multiple issues. It sounds like multiple issues have left you disabled and the insurance company could find out disabled from both the back condition and the cancer. I believe that SSA only finding you disabled due to cancer does not mean that those benefits will not be an offset to your LTD policy with the insurance company. We will gladly investigate this further. Please contact us for a free consultation. We will gladly review the governing policy to see if there are any angles to approach the disability insurer.

    Alex Palamara May 10, 2020  #1002

  • I was placed on benefits for a back disability. 8 months later I developed cancer. I was required to apply for SSDI. I was already on SS retirement with no offset. I was approved for SSDI for cancer only. My diagnosis is one of 88 that are considered priority compassionate diagnosis. The cancer has nothing to do with my disability claim with insurance. Why should they get benefit for my cancer? It has nothing to do with my insurance claim. Without cancer would not qualify for SSDI.

    Lee May 10, 2020  #1001

  • Darrell, yes if you were paid by SSDI for the same time period you were paid by the carrier.

    Rachel Alters May 8, 2020  #1000

  • I was only on long term for 4 months and just got improved by ssa this month. Then gave me 6000 dollars in back pay a couple of days ago. Is there an offset there?

    Darrell S. May 7, 2020  #999

  • Penny: Your Cigna Group Disability Policy provides an explanation regarding the treatment of SSDI benefits, how overpayments will be recovered and how monthly offsets will be applied. Generally speaking, the company will offset only the original monthly amount of your SSDI award. Subsequent increases to your SSDI award will not be included offset. The back benefit overpayment will typically be requested as a lump sum, but in some circumstances the company may work with you to recover it on a monthly basis over a period of time.

    Jay Symonds May 1, 2020  #998

  • Advantage 2000 is working for Cigna and I just got approved. How does the repayment process work? My ssdi benefits are different amounts from one year to the next and I am receiving less ssdi than I am receiving monthly from employer paid long term disability.

    Penny May 1, 2020  #997

  • David, it’s important to request a full accounting of all benefits received and a breakdown of what they claim you owe. If you fail to repay the overpayment they will withhold your benefits, send you to collections or possibly pursue legal action against you in Court.

    Cesar Gavidia Apr 30, 2020  #996

  • And what happens if you do not give them the retro pay? And if they say you owe more that the retro amount?

    David B. Apr 30, 2020  #995

  • Steve, yes they can but they may be willing to cut it in half so you at least get some benefits each month.

    Rachel Alters Apr 21, 2020  #994

  • If I received a SSI backpayment, and didn’t pay Back the insurance company (Metlife) ~ Can they take the entire amount of my monthly benefit until they are paid in full?

    Steve W. Apr 21, 2020  #993

  • Melissa, yes unfortunately that money belongs to the insurance carrier as set out in your plan. You can probably work out a payment plan with them to get it paid back over time.

    Rachel Alters Apr 21, 2020  #992

  • Can my long term disability insurance company take my retroactive lump sum payment from SSDI payout? I had to use it to pay on past due medical bills so I could continue using the doctors I will have to have from now on and also Prescription medication.

    Melissa Apr 21, 2020  #991

  • Linda: Is this an Individual or Group disability policy? Either way, you would have to review the Policy to determine whether it has a COLA increase provision – most Group policies do not.

    Jay Symonds Apr 18, 2020  #990

  • My LTD payments were offset for 4 years due to overpayment. I began receiving payments again in 2014. I have not received any COLA payments since my payments resumes. And my w2 (although non taxable) lists my address in Texas, although I only lived there 8 months 5 years ago.

    Linda H. Apr 18, 2020  #989

  • Brenda: Generally speaking, most group disability insurance policies allow the carrier an offset against the monthly disability benefit for certain types of income received by claimants. It sounds as though your carrier has discovered an offset they had not previously applied and is now trying to recoup an overpayment from past benefits. I suggest you contact our office and speak with one of the attorneys to discuss your situation and answer any specific questions you may have regarding your claim.

    Jay Symonds Apr 17, 2020  #988

  • My long term disability insurance has taken my monthly payment talking about an overpayment, I was receiving benefits for 13 years prior.

    Brenda G. Apr 17, 2020  #987

  • Cynthia, the disability insurer may withhold your entire monthly benefit payment until the overpayment is recovered. If withholding your benefits will not result in a satisfaction of the overpayment they may bring a legal action against you to recover it.

    Cesar Gavidia Apr 15, 2020  #986

  • What happens if you spent the ssdi back pay awarded with ssdi and no longer have it to pay long term back?

    Cynthia T. Apr 15, 2020  #985

  • Mark, the policy governing your claim will give language as to what other income benefits you receive are “offsettable”. If it is listed in the policy, convincing the insurance company that something should not be offset is almost impossible. There are a few exceptions in some policies, but such will be listed in the policy. If the other income benefit you receive is not specifically listed and falls under a gray area in that it “may be” considered to be in the listed language of the policy, this might give an opening to challenge a potential offset. Please feel free to contact our firm to discuss your situation.

    Alex Palamara Apr 14, 2020  #984

  • Is there any success on overturning offsets?

    Mark S. Apr 14, 2020  #983

  • James, no. The worst they could do is file a lawsuit against you to recover the money (not likely) or send you to collections. Typically, the carrier will withhold your monthly benefit to go towards paying back the overpayment. Additionally, there may be a possibility of negotiating some type of lump sum settlement with them that would include waiving the overpayment. Please feel free to contact our office to discuss what your options may be.

    Stephen Jessup Apr 13, 2020  #982

  • I already spent my SSDI retro monies. My long term disability co. wants that money back. The only assets I have are a 13 years old truck, $8000.00 life insurance side fund and $1300.00 monthly SSDI check. Can they take any of these?

    James W. Apr 13, 2020  #981

  • Mary, they can cut off your benefit and sue you for the overpayment amount.

    Rachel Alters Apr 7, 2020  #980

  • What if you do not pay back the long term disability provider?

    Mary Y. Apr 7, 2020  #979

  • Glenn, your retirement benefit is likely an “offset” to your LTD claim but your LTD claim does not automatically end due to the receipt of such benefits. Thus, whatever benefit you get from retirement with UPS, Aetna gets to reduce the amount they have to pay you by the amount you receive from your retirement benefit with UPS. They are likely claiming an overpayment because there was likely a period where Aetna was not reducing the benefit they were paying you and at the same time you were getting the retirement benefits. This does not end your LTD claim, it just reduces it. At the very least, Aetna should still be paying a minimum monthly benefit each month, so long as they continue to find you disabled.

    Alex Palamara Mar 27, 2020  #978

  • Former employers {UPS} LTD from Aetna is seeking a refund of an “overpayment” based on a retirement date. Does my retirement automatically end my LTD claim?

    Glenn B. Mar 27, 2020  #977

  • Darren, you should only have to pay and overpayment for the one tha Cigna actually paid you.

    Rachel Alters Mar 25, 2020  #976

  • My last day of work was march 29, 2018. There was a 6 month waiting period to get 60% of my pay from Cigna ltd. First ltd. payment was October 2018. Social security disability was just approved March 24, 2019 and was back payed to July 2018. Should I get to keep the 3 months of backpay before insurance kicked in? Will I have to pay taxes on the backpay that Cigna is entitled to, since I already payed taxes on the monthly payment Cigna provided?

    Darren H. Mar 25, 2020  #975

  • Jj, that’s unfortunate uncommon. Ask them if you can negotiate the overpayment or pay over time.

    Rachel Alters Mar 12, 2020  #974

  • Every year I provide my LTD carrier of the new SSDI award letter. Now the Insurance said that for 5 years they overpaid me and they want me to reimburse it. They made a mistake for 5 years!!

    Jj Yanz Mar 12, 2020  #973

  • Thomas, are you currently on claim with your carrier? If so, the right to recollect the overpayment would still exist even if the failure to do so was their fault. Please feel free to contact our office to discuss your particular situation to determine what courses of action you may have.

    Stephen Jessup Mar 4, 2020  #972

  • Two years after being awarded SSDI insurance company wants retroactive repay of overpayments. Is there a statute of limitations? I live in NJ and worked in my when I went out on disability.

    Thomas L. Mar 4, 2020  #971

  • Rob: Contractually you would likely have an obligation to repay Hartford for any retroactive SSDI payment period in which you received a payment from the Hartford before they terminated your claim. I suggest you contact our office and speak with one of the attorneys to address other options you may have.

    Jay Symonds Feb 28, 2020  #970

  • Hartford LTD. If the Hartford closed my claim prior to approval determination of SSDI and prior to SSDI retropay, am I obligated to payback the Over Payment?

    Rob Feb 28, 2020  #969

  • Beth, unfortunately I cannot provide a response as I am unfamiliar with Georgia law.

    Rachel Alters Feb 20, 2020  #968

  • My husband was on STD (own health reason, employer provide) then they approved him for LTD. They then more or less told him his FMLA was used up. If he did not come back he would have to start all over at his employer and lose his seniority. So he went back. A month later he got a check. So he cashed it he ended up getting 3 more. Now they sent him a letter saying he has to pay it back by March 3. What can we do if anything? Also if we actually have to pay it back is there a Georgia law that tells us how long he has before something else happens (like sueing him) the amount is 6535.00. Thank you

    Beth M. Feb 20, 2020  #967

  • Nikki, I am sorry to hear of all the trouble that Cigna has given you. If SSA is paying you benefits for months where Cigna paid you the full gross monthly disability benefit, you will owe them an overpayment for those months. Should they find out about your SSDI approval, they will likely be requesting an overpayment. Regarding your LTD denial by Cigna, following the appeal denial, have you filed a lawsuit? The time limit to file a lawsuit might be expiring soon. Please contact us so that we can perform a review of your LTD claim. We may still have time to file a lawsuit for you.

    Alex Palamara Feb 14, 2020  #966

  • In June 2016, I went on medical leave from my employer. Since I had only been working part time for 3 years and was unable to return after 3 months, I was put on LTD through Cigna. I followed all the requirements and I worked with Allsup, the company they hired, to apply for SSDI in December 2016. I wasn’t until July 2017, that I was told I hadn’t followed through with my agreement to apply for SSDI. I reached out to Allsup and was told, rather rudely, that I wasn’t disabled enough for them to help me and they didn’t submit my application. Now I had to apply for SSDI on my own in July 2017. I was denied, and I appealed. My appeal was also denied. Cigna was happy with this. In March 2018 I only received a partial LTD payment with no explanation. I called my case worker only to find that my LTD was terminated. While I was appealing the LTD decision, I filed a new application for SSDI (on my own and not involving the insurance company) 3 months after I was terminated. I was denied at application and appeal. Both of my LTD appeals were denied as well. March 2019 I requested a hearing and was granted one.

    On February 10, 2020 my online SSA account was updated to approved. I don’t have any information about my benefits, as the award letter I can print says I was approved and my benefit amount is $0.00. If the judge decided that my disability onset date was during the time I was getting LTD, and I am awarded back pay, will I be required to pay the LTD company for any overlap, even though they terminated me prior to my new application? Would the reimbursement contract be voided once they terminated my benefits? My reimbursement contract only refers to what happens with the SSDI I applied for while receiving benefits, not after.

    When I tried contacting them about this, they said there are no open claims associated with me and they couldn’t answer my questions. So if you do say I should pay them and I no longer have commnication with the company, would they be able to find out that I was approved without me informing them?

    Nikki Feb 14, 2020  #965

  • Wayne, group disability insurance through your employment will often reduce your payment by any other income benefits received from state or federal disability. If you are interested in having a disability insurance policy that does not reduce your benefits by other income benefits you may want to consider purchasing a private individual disability insurance policy. You would need to contact an insurance broker in order to be explained your options.

    Cesar Gavidia Feb 8, 2020  #964

  • Why can a Ltd company piggyback onto my California std? I have a std claim that is good for 6 more months. My Ltd company is supposed to pay me $4400 a month for 5 years but just started my payments and off setting that with a $288 check. Which sucks because Ltd policy is only good for 5 years and I’m only 58. So in my opinion I’m getting screwed out of $25,000. How is that right?

    Wayne Feb 8, 2020  #963

  • Gina, you would only have an overpayment obligation to Standard for back benefits paid by Social Security for months in which you received a full LTD benefit from Standard. If Standard had stopped paying you prior to the start of the SSDI period then no overpayment should have accrued. The Policy will set forth the provisions that govern your attempted return to work and coverage termination dates. You should consult the Standard policy/certificate. If you still have questions, I suggest you contact our office and speak with one of the attorneys.

    Jay Symonds Jan 27, 2020  #962

  • Hi, I was working full time when I went out with an injury in May 2016. I was 47 yo at the time. I was put on disability. My LTD company (The Standard) started paying me benefits approx 3 months later (Sept 2016). I also had filed for SSDI, (The Standard said it was mandatory), and a disability atty was assigned to me. I continued to be out on disability until September 2018, when I tried a trial RTW. The Standard had paid me monthly from Sept 2016-Sept 2018, and stopped paying me in September of 2018 because I called them and told them that I was going to try to go back to work. Unfortunately, I ended up going back out of work again, on disability in Feb. 2019 and had another surgery in May 2019. The disability insurance carrier that I had at my new job denied me d/t it being a “pre-existing condition”. I called my disability atty and they said that the case for my SSDI hearing was still “pending” or open.

    I just had my hearing last week. The judge is going to award me SSDI backpay, but it isn’t going to start when I originally went out in 2016; the backpay will only cover November 2018 to current because that is when I turned 50 yo. At that time, the Standard was not paying me anymore. Being that the backpay time frame is not a time in which The Standard was paying me any benefits, do I need to pay them back for the previous months/years? Also, should The Standard have been paying me benefits again during this last year and a half?

    Also, my disability atty said that he thought maybe The Standard should have been paying me during the RTW time and afterward, but he wasn’t sure. He told me to reach out to an ERISA atty for more answers. I am not sure what to do. Thank you for your time.

    Gina Jan 27, 2020  #961

  • Michelle, your decision to turn away back benefits from SSA is unique and a very uncommon situation. There may be an issue however. Many Prudential LTD Plans state that Prudential can deduct from your gross disability payment “the gross amount that you, your spouse and children receive or are entitled to receive as loss of time disability payments because of your disability under the United States Social Security Act…”. The issue may be that you were eligible to receive those benefits even though you turned them down. Thus, Prudential may still offset the benefits you were entitled to and they may reduce your benefit moving forward until they are made whole as the back SSDI benefits would have went to Prudential as they were paying you the full amount of LTD benefits for a period that SSA would have paid.

    Regarding allowing them full access to your SSA file, your LTD policy will govern this. Your policy might actually be silent on this issue. However, you can ask Prudential if there are any grounds in the policy forcing you to give them full access to your SSA file. If you don’t give them full access, my guess is that Prudential will estimate what your SSDI benefit was for the period where you turned down back benefits and they will use that estimate to calculate an overpayment owed.

    Should Prudential give you any issues, do not hesitate to contact us.

    Alex Palamara Jan 21, 2020  #960

  • My LTD Prudential was given my official award letter that clearly states $0 in backpay… they was decided by the Judge during my hearing when I said I just wanted benefits going forward and would forego backpay since we had been financially able to survive. Now Prudential wants me to sign so they can have full unfettered access to my social security account and I feel that is overstepping, am I legally obligated to allow them full access to my social security account? My SS attorney also has written them with the judges decision.

    Michelle C. Jan 21, 2020  #959

  • Tim, I am sorry to hear of this predicament that you are in. In order to answer your question, we need to further assess the situation. We will need to review the policy governing your claim and have a phone conference with you so that we can learn more about the payments received from your employer. Please contact us at your convenience so that we can discuss this issue and your claim.

    Alex Palamara Jan 2, 2020  #958

  • Hello,

    I received LTD from an insurance company. I was denied SSDI benefits but now they are saying that they overpaid me. Even though I filled out the application the union handled all paperwork. I submitted the proper paystubs and information. They paid a lump sum and proceeded with monthly payments after the required waiting period. I was owed back pay from the employer due to a ratified contract. After notifying them of said contract approval and retro-payment, they requested paystub and contract information. I sent the information in and then was notified me that they were re-evaluating if they overpaid me.

    They went to my previous HR to obtain payroll information and paystubs statements without me signing papers to release information. They are trying to see calculate what they think they overpaid me. We have paid on duty pay that was paid until they retired me. They are trying to say that those payments should of been taken into consideration and deducted before paying me. Even though all information was on the paystubs submitted and income tax information submitted every year as required. What can be done in my defense?

    Tim B. Jan 2, 2020  #957

  • Jonathan, they may be limited to only going back the period of time stated in the policy for which claims must be brought. It could be worth them arguing.

    Gregory Dell Sep 29, 2019  #956

  • Hi. Thank you so much for all of the answers above. I’m hoping you can offer some feedback on my situation as well. I have been receiving disability income form social security as well as my previous employer’s group long-term disability plan for 11 years. Last spring the group plan administrator reached out regarding inconsistency between my actual social security payment and what they had calculated for the the offset based on the standard increases in social security each year. At their request, I acquired and handed to them social security documentation for all 11 years. Following their review of this material, they informed me they were unaware of a retroactive benefit when my SSDI was initiated.

    As a result, they had overpaid me for the retroactive period by a total of $14 thousand dollars. They are now asking me to repay this sum, and they will garnish my future disability payments for 6 months in order to make them whole if I do not respond. It looks like their historical assessment is accurate, nonetheless it seems unfair for them to be asserting this now. Do I have any ground to stand on with respect to statute of limitation?

    Jonathan Sep 29, 2019  #955

  • Craig, I am sorry to hear that MetLife is essentially offsetting all the other income you worked hard for. Unfortunately, they may have a right to do this. You will need to review a copy of the LTD policy governing your claim to see what “Other income benefits” are allowed to be offset from your LTD claim. I can almost guarantee that your social security benefit is offset-able and it is very likely that your retirement benefit might be as well.

    Alex Palamara Sep 12, 2019  #954

  • In August 2017 I received STD from MetLife. I did not pay any premiums for this insurance. It was provided as part of my pay package. I then went on and was put on LTD in December 2017. In March 2019 I was awarded my SSDI. Social security paid 6000.00 to my representative. They also sent a check for 34,000.00 which was turned over to Met life. They call later and said I had an overpayment that needs to be taken care of. The told me the could take it out of my monthly payment t agreed to this and they dropped my pay to 700.00 a month. Since I had worked with my company for 27 yrs they decided to give me my retirement anyway. Also with my retirement they gave me 60,000.00. Now met life is doing another offset using my lump sum payment and my 4,040.00 monthly payment to try and obtain their money.

    Craig Sep 12, 2019  #953

  • Tiffany, no, generally they may only claim an overpayment or offset for the same period of disability.

    Cesar Gavidia Aug 19, 2019  #952

  • Can your LTD company offset SSDI payments that were awarded PRIOR to receiving the LTD benefit? For example if SSA determined my date of disability to be January 2018 and LTD sets my DOD at December 2018 would this be considered the same disability and subject to the offset provision?

    Tiffany Aug 19, 2019  #951

  • Goflyakit, I would call the old carrier to see if you are covered under their policy and if so then yes I would file with them so you are not waiting months for Lincoln to make a determination.

    Rachel Alters Aug 10, 2019  #950

  • I have a letter from LFG stating my long term disability was approved but at a base pay $500 lower than my policy. It goes on to say my condition is being examined as pre-existing as my initial injury happen in 2014 an after many years of this issue along with multiple others I finally became unable to work in April of this year. My question is the language says I’m not covered if it’s pre-existing then they go on to say However, benefits are payable to you under the Prior Insurance Credit provision of this policy then two pages later they say it’s under investigation for the $500 an after that it restated if a pre-existing condition is found you are not covered. It also stated my current approved benefits are being administered under the provision of the policy in effect prior to your effective coverage date not being more than two years past when we started using LFG at our company??? I’m so confused now? I have a 2 year old an 4 year old an my wife is upset as I stopped eating unless its dinner with my family an my boys have full bellies I have lost 30 pounds this month I’m just so upset about not being able to provide for them an not getting a check for another 90 days after my approval with all the odd language about the ore-existing should I contact my old group carrier now an start that claim with them?

    Goflyakit Aug 9, 2019  #949

  • My employer switched our FIRST UNUM Employee LTD Group Benefits with all of the provisions listed including the following Provision which reads: “You will be eligible for COLA ADJUSTMENTS on the first anniversary of benefit payments and each following anniversary. Adjustments may be made as long as you are receiving benefits. The net monthly disability benefit will be increased by 3%. Each adjustment will be added to the net monthly benefit and will be paid monthly. COLA increases ARE NOT SUBJECT To the Maximum Monthly Benefit. For the purpose of calculating adjustments the net monthly benefit WILL INCLUDE any PRIOR YEARS Cost Of Living Adjustmenst”. Human Resources at our company assured us that NO CHANGE in the provisions listed in the First UNUM Group Employee LTD Insurance Policy would be affected when the change occurred to Continental Casualty Company/CNA while I was “actively” employed back in 1998.

    I WAS ABLE TO FIND MY Employer’s ORiGINAL CERTIFCATE of COVERAGE LTD Policy with FIRST UNUM. When I became disabled around 2002-2003 and was in the process transitioning from STD to LTD with my employer’s new Group LTD insurance Policy with Continental Casualty Company/CNA – It was announced that The Hartford purchased and would administer all of the Group LTD policies underwritten by Continental Casualty Company/CNA. Since then, I’ve been receiving LTD monthly benefit checks for over 20 years after the transition from Continental Casualty Company/CNA to The Hartford, however I NOW realize that I never received the monthly/annual COLA 3% increases as originally stated in my Employer’s Original LTD Group Policy through FIRST UNUM. I recently contacted my past employer’s Human Resources Department and requested a copy of the Continental Casualty Company/CNA employee LTD Group Policy Handbook after the transition from FIRST UNUM, however my former employer is unable to find the orginal LTD Employee Certificate handbook but DOES RECALL The COLA Provision. After repeated requests, The Hartford finally sent me a copy of the Continental Casualty Company/CNA Employee LTD Policy after it was converted from FIRST UNUM. HOWEVER the COLA Provision is missing from CNA LTD Employee Handbook that Hartford sent me and there is no indication of any amendments/riders that are attached referring to any omission of the COLA Provision. What gives? I tried to get info from CNA regarding info on the LTD group policy before they sold it to The Hartford, and am getting nowhere with CNA. The Human Resources Department at my former Employer is unable to locate any info about the 1998 FIRST UNUM transition to the Continental Casualty Company/CNA Employee LTD Policy to verify if the COLA Provision was included.

    I believe the COLA provision I am entitled to is intentionally deleted in the copy of the Continental/CNA policy that The Hartford had sent me. We’re talking big bucks here that I should have received with the 3% COLA increase for the past 20 years of receiving my LTD monthly benefits. How do I go about requesting and acquiring a major COLA UNDERPAYMENT adjustment that is missing in the Continetal/ CNA policy that is listed in my FIRST UNUM LTD Policy Certificate of Coverage handbook?

    BS Aug 6, 2019  #948

  • Charmaine, if you are awarded SSDI it will include a back benefit award. For each month you receive a retroactive benefit from SSDI that you originally received an LTD benefit the carrier will claim that you were now overpaid for that month and request repayment of the overpayment. Based on your statement, your retroactive award would be greater than any overpayment due so you should still net out a retroactive award even after overpayment. What’s more, every policy has a Guaranteed Monthly Minimum, which is paid regardless of how large your SSDI payment is even if it exceeds your LTD monthly amount. The GMM is typically 10% of the monthly benefit or $100, you’re the policy will explain the exact amount. So moving forward you should still receive at least the GMM from the carrier.

    Jay Symonds Jun 7, 2019  #947

  • Hi, I have a question. I’m currently receiving LTD benefits, and have been for 16 months. My hearing for SSDI is coming up in a few months. I already know that once I’m approved, my SSDI benefits are going to exceed the amount that my LTD has been paying me. Everything I’ve read thus far speaks of paying “overpayment” back. If my SSDI benefit will be more than what LTD was paying me, how would I have an overpayment? Will I still have to payback?

    Charmaine Jun 7, 2019  #946

  • Darleen, the insurance company can certainly still review your claim as often as is considered reasonable to confirm that you should still qualify for benefits. Unfortunately, just being approved for SSDI benefits does not mean that the disability insurance company has to agree that you are disabled so long as SSA says so. There are different standards for LTD and SSDI claims. They can also have a different opinion on the same records that SSA has reviewed. Also, when the insurance company orders updated information, they will be reviewing updated records that may not be supportive of your continued claim. So unfortunately their reviews can continue and you should always complete any requests and always submit supportive documentation for your claim for LTD benefits.

    Alex Palamara Apr 12, 2019  #945

  • I got hurt on my job and I was getting paid LTD. I had a case against them after my reward was settled the company told me they Had to take a precent of my reward and recalculate the amount of my check from them also using the SSDI I received. The settlement was going to be paid to me over a period of time. so once they calculated what that would be a month and the amount of my SSDI it reduced the amount of my LTD check. Now every year they send me a questionnaire so they can determine if I am still totally disabilied. can they do that? if I wasn’t still disabled I wouldn’t be getting SSDI. In the state of SC.

    Darleen Apr 12, 2019  #944

  • Jeff, you should file for SSDI after being out of work for 6 months. Met life may take an offset for the unemployment benefits you received, however I do not believe they will deny your claim based on you taking them. The issue with receiving unemployment is that while you are receiving it you are attesting to your ability to work if they are able to find you a job.

    Rachel Alters Aug 29, 2018  #943

  • I had a sieizure in January 2018 that caused me to miss greater than 5 days. That required me to notify HR with a potential ST disability case. Did go back to work in latter that month and towards the end the company went through a layoff and I was layed off on January 27. Had an active claim with Met Life, but they originally approved it and then denied it because I was no longer employed. However, they did say, I could be transfered to LTD.

    The met life representative told me that since I had only signed up on Jan. 1, 2018, they would go back and look if I had any pre-existing conditions for the prior three months. Since I have had seizures, herninated disc, AFIB and polythecemia Vera, too many red blood cells, all were treated during this three month window, they told me they would have to find something new for me to qualify me over… Consequently, I thought I had slim to none chance of getting LTD. So, I started looking for a job, didn’t get one or even an interview, but I did file and receive unemployment benefits.

    I got a call from Met Life stating I was approved for LTD. The reason, is that is the state of New York, they cannot have essentially a pre-existing clause. So, I was given bad information from Met life, at the outset and if I would of known that I would not have gone after a job or filed unemployment, given it might risk my SSI claim. Additionally, felt maybe I could work for awhile, but with memory issues I have with my seizures, I would eventually be terminated. But I thought I would try..

    Now, that I am approved for Met life, they have a mandatory 1 year waiting period. I have stopped my job search and will no longer claim unemployment benefits. My first LTD payment will not incure until Jan. 2019.

    The only requirement I have been given, is that I must file at some point don’t know when yet for SSI disability. Given the above fact pattern am I risk of losing my LTD because of unemployment compensation?

    Jeff Aug 29, 2018  #942

  • Chris, I would need to see your disability policy with Cigna in order to determine whether you would be qualified under the policy. I do not believe that they will deny you solely based on your combat disability. But they could deny you if your disability isn’t supported my your medical doctors. If you would like a free consultation please call my office and ask for Rachel Alters.

    Rachel Alters Aug 4, 2018  #941

  • I have LTD Insurance through my company, a Fortune 100 company. It is with CIGNA. I am a retired military officer with 100% total and permanent disability from combat injuries for one injury, complete ventral hernia. I have a total of 240% for all my injuries. I receive 100% VA disability. I have a corporate executive position, but due to anxiety and associated esophageal spasms (nutcracker) and Prinzmetals Angina. I have been hospitalized for this injury on three occasions and the events are worsening. I was guaranteed insurability at hire and took the coverage. Can CIGNA deny my claim, should I be unable to continue, since I am combat disabled, but had been able to do sedentary work, although highly stressful?

    Chris C. Aug 3, 2018  #940

  • Charlene, yes, generally the statute of limitation would apply going back to 2001. However, statute of limitations are different state to state. Now that they can no longer recover the overpayment from the monthly benefit payments since your claim has ended it would appear that the disability carrier sold the debt to a collection agency. You should contact a creditor debtor attorney to discuss your options.

    Cesar Gavidia Jul 28, 2018  #939

  • I have a disability claim that began in 2005. The carrier claims an over payment occurred 2008. They have been withholding $180.19 from my benefit. Now the claim is over and they are no longer able to withhold any benefits from me. However, now they have referred this to a collection agency and they are attempting to collect the remaining balance. I signed a reimbursement agreement, but that was back in 2001. I said I thought the statute of limitations was expired and they cant collect, but they claimed the statute doesnt begin to run until I stop making payments, but I never made any payments. They were just taking the money from me. I dont know how they can go back on the agreement from 17 years ago. Can they still sue me for this? When does the statute of limitations actually start to run on an overypayment? They mentioned something about tolling because I was still receiving a benefit. Please help.

    Charlene Jul 27, 2018  #938

  • Glenn, MetLife will deduct the monthly amount awarded, most likely the $1417. You will have to discuss your fee agreement with your LTD attorney. You should speak with your tax professional and MetLife regarding an amended returns and W-2s.

    Jay Symonds Jul 27, 2018  #937

  • I’ve been collecting LTD of $3330 a month since 8/22/16. I’ve just been awarded $1417 a month through SSDI. Social Security issued me a Lump sum backpay for 24 months back to July 1, 2016. I’ve had two separate lawyers for both disability cases. Here are my questions.

    1. SSDI pays me $1417 but takes out a mandatory $134 for Medicare. Will LTD Metlife deduct $1417.00 or $1283.00?

    2. My LTD attorney has received as compensation 1/3 of my LTD = $1110.00 Since 8/22/16. MetLife will require me to repay them the Lump sum of SSDI I received from SSA (my SSDI attorney received a large portion of that). Will my LTD attorney, who was overpaid by approximately $475 for the 24 months, be responsible for reimbursing me for the overpayment?

    3. Taxes on SSDI. I’ve already paid prior years taxes on money earned through LTD. If my SSDI lump sum is paid back to MetLife do I have to pay taxes on these funds again or can I file an amended returns? Will MetLife give me amended W-2 for 2017 (I received all 2016 income from MetLife in 2017 because it took my attorney 9 months to get me approved)

    Glenn R Jul 27, 2018  #936

  • Joe, you should definitely request an explanation as to the difference in payments. Once you have it, if something doesn’t look right, I suggest you contact our office and speak with one of the attorneys to address your specific questions regarding your claim payment situation.

    Jay Symonds Jun 24, 2018  #935

  • I was working for a large telecom when I started receiving LTD due to and off work accident. For 17 years I had been paid $679/mo on top of my SSDI from MetLife. Then beginning this year I was automatically switched from MetLife to Sedgwick and for some reason my payments increased to $730. According to the Sedgwick paperwork my SSDI offset is still the amout that I originally received, which has obviously increased. I don’t understand why, if the numbers haven’t changed, why MetLife paid $50 less per month than Sedgwick is now. Sedgwick provides much more detailed payment info than MetLife did. That’s difference works out to about a -$10,000 difference over 17 years.

    My question is, should I let sleeping dogs lie, or look into trying to get some of that $10,000 difference?

    Joe Jun 23, 2018  #934

  • Sonya, you are correct. Once the SSDI dependent benefit for your child ends then your insurance company will make the adjustment for the offset applied for that benefit. Since you would no longer be receiving the dependent benefit it would no longer be considered an offset.

    Victor Pena Jun 12, 2018  #933

  • What happens when a child’s social security benefits end at 18? Does that money go back to my long term disability to keep me at 60% of my salary?

    Sonya Jun 11, 2018  #932

  • John, the LTD policies usually contain a section entitled “other income” which will indicate what is considered as other incomed and therefore an offset to the LTD benefit under the policy. If she was receiving pay from her employer at the same time as she was receiving disability benefits it is likely there will be an overpayment owed. The only way to be sure is to review the policy.

    Rachel Alters May 18, 2018  #931

  • My wife Abby went on LTD through her policy with Tulsa Public Schools in November 2016 due to colon cancer and related surgery and treatment and remains disabled. SSD hearing is pending. Recently she received notice that she had also been paid by TPS (though not her usual pay level) and that she had to pay back $18,000 NOW for overpayment. Does this sound right to you? Seems like if she had to pay anybody back it would be TPS since the disability insurance was for her being disabled and she in fact is disabled. Thanks.

    John H. May 17, 2018  #930

  • Laura, what you are describing in terms of an 85% offset of social security disability is not something that is found in most group disability policies. Please call us and ask to speak with one of disability insurance attorneys who can review your policy and discuss your question.

    Cesar Gavidia Apr 30, 2018  #929

  • I think I understand the offset situation between SDDI and LTD. What I don’t understand is when the policy talks about the carrier offsetting 85% of Social Security benefits from your monthly benefits. Does this have to do with taxes and/or something else? I’ve tried to research it, read around it in the policy, but I don’t know what it means. I’m visual, and need an example. So this is just numbers: If my LTD is $4,000. and SDI is $1,500. to keep numbers easier… I understand that LTD would then only be paying $2,500 a month of my disability and SSDI the rest.

    But what/how does the 85% offset figure in? And, if I were to have received a two year back pay… how would that have figured into this?
    Thanks… I can’t get an answer anywhere – Laura

    Laura Apr 30, 2018  #928

  • Tom,

    Hartford can be tough when it comes to overpayments especially since they make unrealistic demands for reimbursement. You may be able to work out a repayment plan with them if you contact them to discuss. They may even be willing to negotiate a repayment amount.

    Victor Pena Apr 22, 2018  #927

  • Hi, I was a successful salesman for a company when I had a medical issue. I had blood clots in my legs and lungs, later learned I have a blood disease. Because of the blood (factor V lieden) disease, I’ve been restricted from driving, sitting, walking for more than 30 min at a time. I was out of work for a year before being offered a management position that would be suitable for my medical restrictions. As part of this “return to work incentive” the LTD The Hartford paid me 100% of my pre-disability earnings (27K per month) with a cap of 15K a month. After the first year back, I got 60% of the payment (9K) but couldn’t make a more than 15K a month at work or I would lose my disability payment.

    This year in February I received a yearly bonus that is divided by 12 and applied to my monthly earnings, this put me over the total of 15K a month back in October of 2017. I received a letter stating I’m off of disability and the recalculated earnings because of the yearly bonus resulted in an over payment of 35K that is due in 15 days… ya right, who has 35K sitting around. Not sure what to do? Any help or suggestions would be appreciated.

    Tom Apr 21, 2018  #926

  • Nancy, generally carriers will not factor in the tax implications associated with disability benefits paid out prior to an SSDI award. You should review your policy to determine if any of the “other income offset” provisions address the issue. If not, you can appeal the offset decision with the carrier.

    Jay Symonds Apr 14, 2018  #925

  • I have been on long term disability for 2016, I paid federal & state income tax on the money. I received ssdi in 2017 and was required to pay back the insurance company. What is my recource to get back the taxes I paid on that money?

    Nancy M. Apr 13, 2018  #924

  • Teresa, if your claim was filed under a group disability policy issued to your employer you have the right, and are required, to file an appeal of the denial of benefits before filing a lawsuit. There is typically a very strict 180 deadline associated with filing an appeal and the failure to do so may preclude your right to challenge the denial or file suit. I suggest you contact our office and speak with one of the attorneys to discuss your situation in more detail.

    Jay Symonds Apr 12, 2018  #923

  • I took an early retirement payout because the ins carrier denied by long term claim. I was unable to work and therefore could not draw unemployment. I lost my medical benefits for family and also life insurance. I filed for social security retirement and disability and was approved by Social security as being disabled. I had mutiple health issues and long term plan reviewed same records as social security. Do I have the right to sue longterm carrier? Since then my husband passed and if I had been receiving long term I would have had life insurance coverage for him – we was not able to get a policy that would pay off because of his illness. I just think I was treatment unfairly.

    Teresa R. Apr 11, 2018  #922

  • Sandra, in order to answer your question, we would need to see the short term and long term disability insurance policies governing your claims. However, most policies allow the insurance companies to “offset” or reduce the amount that is paid if a person is getting benefits or pay from more than one source. Thus, sick leave may reduce the amount of money that the insurance company has to pay you. Also, if you are getting both short term and long term benefits at the same time, one may get reduced. Likewise, Social Security Disability benefits are also almost always an offset to long term disability claim. Please feel free to call in and we can arrange a free consultation of your claim.

    Alex Palamara Apr 9, 2018  #921

  • My employer paid my salary through sick leave and then my short term was to kick in and then long term. Now the group who handles both short and long term is stating they are combining them both together even through they are separate terms and amounts. Can they do this?

    Sandra S. Apr 8, 2018  #920

  • Caroline, I am happy to hear that your husband’s claims have been approved. Regarding the potential overpayment, the Disability Insurance Policy governing his claim will contain language that states what other benefits can reduce the benefit that AT&T pays him and thus cause an overpayment. You will need to review the actual policy terms to see if the Annuity is an “offset” to his LTD policy. If you have any questions regarding the policy, we always offer a free consultation.

    Alex Palamara Mar 24, 2018  #919

  • My husband was disabled and due to my diligent paperwork, he received his SSDI within 3 months of filing. He is disability retired from AT&T and Sedgewick claims tells us they can ask for overpayment from his annuity AND his SSDI. I understand the SSDI but why the annuity? Please help me understand this.

    Caroline Mar 23, 2018  #918

  • D Davis, most dependent children are entitled to receive benefits for the disabilities of a parent. The monthly benefit will, in most circumstances, be offset against the disabled parents monthly disability benefit from the private insurer. Lump sum back payments are typically owed to the carrier and if not repaid may further reduce the disabled parent’s monthly benefit.

    Jay Symonds Mar 14, 2018  #917

  • Does this apply to children who receive the back pay? My sons father just got approved for SSDI but has a private disability insurance. I received a back payment for my son, I am the primary parent as his father and I are divorced. Do I have to give this money to his father?

    D Davis Mar 13, 2018  #916

  • Di, there could be a number of reasons why MetLife would want to perform an IME at this point. Please contact one of our attorneys to discuss your options.

    Victor Pena Mar 6, 2018  #915

  • Hello, I’ve been receiving LTD from Metlife since 2008. After 10 years they want me to be examined by their doctor. I have MS and I’m doing ok, but I cannot work the job I had… or any other job for that matter… my doctor backs me on this. I go once a year and he fills out all their forms stating this … Should I be concerned?

    Di Mar 5, 2018  #914

  • Joanne,

    Since your question concerns an issue of tax law and relates to the IRS Code, I suggest that you speak with an accountant or other tax professional regarding your question. However, generally, yes, although your LTD benefits are non-taxable and you were required to repay the overpayment resulting from your receipt of SSDI benefits, you are likely required to pay taxes on your SSDI benefits. Your LTD benefits are viewed as an SSDI replacement benefit until you become eligible for SSDI benefits. Again, please contact a tax professional to advise you of any tax liability that you may have in this situation.

    Cesar Gavidia Feb 26, 2018  #913

  • If I have been paid from my LTD carrier for 3 years. None of it was taxable because I paid for my premiums post taxes. Now I received an award from Social security, do I now have to pay taxes on the benefit? Even though I paid it back to the LTD carrier.

    Joanne Feb 24, 2018  #912

  • Catherine, it is possible, but if the administrative appeal has already been denied the only way to get back on claim is to prevail in court, which under ERISA is very much an uphill battle. Please feel free contact our office to discuss your husband’s situation and what might be done at this point.

    Stephen Jessup Feb 18, 2018  #911

  • My husband stopped working in April 2014 due to back and neck problems and in August 2014 began receiving $1570/mo in LTD with Standard. In November 2015 he filed for SSDI with the help of Allsup. In August 2016 Standard stopped paying as they said he was not disabled under all jobs even though his doctor disagreed. All the while medical bills pile up even with health insurance not to mention the high cost of the health insurance premium. Standard “reviewed” the decision and still declared him able to work. SSDI was initially denied and he had no income from Aug 2016 til Dec 2018 in an act of desperation he took a $16500 buy out of his retirement plan. Now in Feb 2018 he won his SSDI claim with $1246/mo and back payment dating back to Oct 2014. Standard has not yet asked us for payment yet. I believe standard should reinstate the LTD and back date to Aug 2016 as they were wrong to decline him. We paid off the creditors and medical debt so he can live off of the $1246 minus the medicare deduction would be $1067. Is it legally possible to get Standard to reinstate and take the amount due them from the difference they should have been paying him? Is it possible to have Standard waive their right to back payment as a buyout of my husband’s claim to continue LTD?

    Catherine Feb 17, 2018  #910

  • Lindsey,

    The answer is likely yes, the policy governing your claim likely states that you will owe them an overpayment due to the award of social security disability benefits. However, all is not lost. We may be able to assist him to get back on claim with Dearborn. Please contact us so that we can review the claim.

    Alex Palamara Feb 9, 2018  #909

  • My boyfriend was on long term disability through Dearborn national. After almost three years they kicked him off saying he no longer meets the requirements for being completely disabled. Absolutely nothing about his condition has changed. So we no longer have that income, haven’t since November. Recently they finally approves him for state ss disability. My question is since we are no longer under their policy do we have to repay them our back pay? I’ve repeatedly looked for the information saying one way or another but have not been very successful.

    Lindsey Feb 8, 2018  #908

  • Lillian,

    If the LTD company is requesting your SSDI file following a denial of benefits they may be doing it as part of an appeal review, which is normal. There could be information in the SSA file that supports your claim with your LTD company especially if you have been awarded benefits by the SSA. If your claim has been denied by your LTD carrier I encourage you to contact one of our attorneys to discuss how you should handle your appeal.

    Victor Pena Feb 6, 2018  #907

  • I have recently been awarded SSDI, now my LTD wants a full copy of all my SSDI information after suspending my benefits due to not returning a disability form that they swear they send 3 times but was never received. Upon calling the SS office, they have stated that is a rare request. Do they have a right to that information even though they have already received all the paper work that disability has received?

    Lillian Feb 5, 2018  #906

  • Mr. Jessup, thank you again for your advice and knowledge of the subject matter. As you alluded to in your reply, I was represented by A2K (Cigna’s attorney) because I thought that I was contractually obligated to. I would venture to say that all of this is mute if my decision is not fully favorable. Based on the outcome, I will reach out to you for counsel. Thanks again.

    Gerald T. Jan 31, 2018  #905

  • Gerald, technically, yes. However, there does stand a chance they will never find out about it or look to re-collect. If you used your own attorney (as opposed to one of the groups offered by Cigna) then there stands an even smaller chance the find out. Although you missed your second appeal deadline, you did file the mandatory administrative appeal. In doing so you have preserved your rights to bring a lawsuit against Cigna. In many instances waiver of overpayments can be negotiated during settlement discussions of a lawsuit. If you would like to discuss your claim and the pros and cons of filing suit, please feel free to give our office a call.

    Stephen Jessup Jan 31, 2018  #904

  • Thank you sir (Mr. Jessup) for your prompt and knowledgeable response. I did appeal my claim closure with Cigna and was denied. I was also advised by Cigna that I only had one more appeal opportunity (which had a deadline) with them. My ALJ HEARING notification (another three month wait) came after Cigna’s second appeal deadline. If my hearing and hopefully favorable decision by the SSA came after Cigna’s claim closure, am I still responsible for any over payment (by SSA) to Cigna after they walked away a year ago?

    Gerald T. Jan 30, 2018  #903

  • Paul, I think you put it perfectly in calling the benefit a loan until such time that SSDI comes into play. Offsets for SSDI, Worker’s Compensation, Retirement, etc are some of the distinctive aspects of employer provided plans that do not exist in privately purchased through agent individual disability plans. The offset language is one of the reasons the premiums on the policies are low enough to make them affordable to employers.

    Stephen Jessup Jan 30, 2018  #902

  • I know that this is and has probably been answered, but what I don’t understand is this: Unum is a LTD BENEFIT company that other companies pay for their employees to have a LTD Benefit. If it is Benefit Ins then why or how is it that Unum wants ALL the payments back? If the benefit is up to 60% of your wage then where does the INS Benefit come into play.

    Ex: Yearly salary was 53,916.00, 60% of that is 32,347.99 / by 12 mo. Monthly should be 2,695.67.
    If you have 7 month of that before you were approved for SSA diability should be 2695.67 x 7= 18,869.69.
    Unum pays 2,286.00 a month for the LTD and that is a 7 month payment totaling 16,002.00
    SSA awarded: 2179.00 x 6 July to Dec. 2017 equals 13,074.00. Was awarded 13,117.00 for SSA disability so that was a little more.

    I guess I am missing something here. I understand the DOUBLE dipping concept but where the Benefit INS part of the process? It to me seems more like a loan with or with out interest for Unum, I meant my company paid for them for my INS benefit, Unum paid ME, but then, Unum Wants it all back?

    Thank you for the time.


    Paul Jan 29, 2018  #901

  • Gerald, Cigna would be responsible to pay the difference between your gross monthly benefit and the amount from SSDI. There would also be the possibility or an overpayment based on the back benefit check received from the SSA if there is an overlap with the period of time that Cigna paid. Please also remember you have to file your administrative appeal of the Cigna denial. Please feel free to contact our office to discuss your claim.

    Stephen Jessup Jan 27, 2018  #900

  • My LTD carrier closed my claim February of 2017. This Wednesday, I finally had my ALJ HEARING. If the decision goes my way and the benefit is less than my previous LTD benefit, is Cigna responsible for the difference and a full year of no payments (because of the three year backlog at the Social Security Agency).

    Gerald T. Jan 26, 2018  #899

  • Danielle, arguably, the same three years that an insured would have the right to bring lawsuit following a denial. Depending on the nature of the disability (mainly if it is not limited to a set time period such as mental health claims) you would still have a right to appeal the insurance carrier denial. If you would like to discuss your claim please feel free to contact our office.

    Stephen Jessup Jan 26, 2018  #898

  • Is there a statue of limitations as far as how long a long term disability carrier can try to collect SSDI back pay? I was awarded back pay 10/2017 and they closed my claim 12/2017 and have not heard anything from them in regards to oweing back pay. I don’t want to spend this money not knowing how long they have to try to collect it if it’s in my policy that I have to pay it to them.

    Danielle Jan 25, 2018  #897

  • Mom, we do not handle state disability claims so I would not be able to advise as to why the state disability ended. I do know that the state disability would be an offset to the Unum payment (meaning Unum could reduce what they pay by the amount received from state disability).

    Stephen Jessup Jan 12, 2018  #896

  • My son is an aviation mechanic. He injured his wrist out of work and is on short term disability. He has received 1 payment from UNUM and applied for state disability, his claim was initially accepted, but now has been denied. Do UNUM payments count against his disability claim? I do not understand why they would approve his claim and then later decline it.

    Mom Jan 11, 2018  #895

  • Heidimt7, the overwhelming majority of policies, almost to the point of all I have read, do not allow for the carrier to offset the COLA increase from SSDI.

    Stephen Jessup Jan 10, 2018  #894

  • Hello: I am currently on disability with Social Security and the Hartford Insurance company who offsets Social Security income. If I get a cost of living increase from Social Security do will Insurance companies reduce their amount they are giving to you by the new amount? This wouldn’t seem write but not sure myself. Can you help to clarify this? Thanks

    Heidimt7 Jan 9, 2018  #893

  • Rob, did you use your own SSDI attorney? If so, the carrier may never learn of the award, and after such a long period of time are most likely not going to inquire. The SSA will not advise them of the award. Technically, the carrier could be entitled to any SSDI and DSSDI (dependent benefits your family receives) repayment for the period of time that overlaps with when they paid you (less attorney fees to your SSDI attorney). If you used your own attorney the chances are the carrier will never reach out to you about it.

    Stephen Jessup Dec 20, 2017  #892

  • My situation is a little different. I got LTD through work. I was required to apply for ssdi and be denied as part of the approval for the LTD. I applied and got denied and was awarded the LTD. After 18 months I got a letter from LTD company saying my benefits would be ending at 24 months because there was a limit for mental disorders. At that point I applied for SSDI again and have appealed it all the way to a hearing. The LTD ended and we continued to appeal SSDI and after 2.5 years we finally received a fully favorable decision back to when I quit working. This is 20 months after my LTD ended that I’m getting the fully favorable decision. My question is, since my LTD case ended and closed, will they come after me for the ssdi money? Do I have to inform them of the SSDI decision or does social security inform them of it? And also, I am applying for spouse and child benefits which should also have backpay. Can the LTD ask for any of that money as well?

    Rob Dec 19, 2017  #891

  • Randall, unfortunately, employer provided policies do allow for the offset of a disability benefit on account of dependent SSDI benefits received by a child based on your disability.

    Stephen Jessup Dec 5, 2017  #890

  • Hello. MetLife coved me for over a year while I was off recovering from brain surgery. I was awarded ssd for that period of time and I repaid the offset for that. Now my youngest daughter ( not me ) was awarded ssd a short time after for that period of time and MetLife is now trying to collect her money. She is only 11 years old. Can they do this?

    Randall T. Dec 4, 2017  #889

  • Vicki, at this point it may be your only option to try to get back on claim under any “recurrent” disability provision of your policy. I would recommend you contact your disability carrier as soon as possible to provide any needed information. There does stand a chance they may argue you are not covered as of the termination but if the termination can be linked to being medically unable to perform the duties you will have an argument to make. Please feel free to contact our office if you would like to discuss your claim further.

    Stephen Jessup Nov 19, 2017  #888

  • Unusual situation here.

    I was out on LTD and SSD for about a year for a serious illness. I pushed to get back to work in August to try to ensure job security. I returned with significant work restrictions, approved by my HR, direct supervisor, and physician.

    I was then laid off last week as part of a larger RIF.

    Aside from the fact I think they let me come back to be a sacrificial lamb, I have some other questions.

    Since I am not at 100%, and when laid off my boss basically said I was part of the rif because I was not able to keep up, can I revert back to LTD and SSDI since I am still in the window of the benefits ( 6 months for LTD and 7 or 9 months for LTD)? My MD has maintained that I will continue to have pretty considerable jobs restrictions.

    Vicki Nov 18, 2017  #887

  • Renee, there could be a legal argument to make as to the Statute of Limitations, but that would also take into account when your insurance carrier learned of the retirement benefits/rollover. If the benefits were rolled over into an IRA and not withdrawn then under the vast majority of disability insurance policies the insurance company could not claim it as an offset under the policy- thus the reason why it is important to show the money was rolled over into the IRA and ideally not withdrawn.

    Stephen Jessup Nov 14, 2017  #886

  • Mary, the overpayment amount may have more to do with the fact that the SSA pays in arrears, meaning at the end of the month for the whole month. Please feel free to contact our office to discuss and review any correspondence they sent regarding the overpayment calculation.

    Stephen Jessup Nov 14, 2017  #885

  • I draw from an insurance company for disability and also receive SSDI. I left my company in 2003 and I rolled over my IRA in 2003 when I left the company due to injury. 14 years later the insurance company wants proof that I rolled over the ira amount or they are going to claim payment offset. Isn’t there a statute of limitations in Ky for that? The company I rolled my ira into has been bought and the new company is having a hard time finding paperwork since I haven’t been a member since 2008. I exhausted that account in 2008.

    Renee Nov 13, 2017  #884

  • I have been receiving LTD benefits from Standard insurance since May 10, 2016. 2 weeks ago I was approved for SSDI and got back payment of $24,000 for August 2016 through September 2017. I received a letter from Standard stating I owe them $25,422 for overpayment. They are saying their pay periods are from 10th of the month to 10th of the month therefore I owe them for 10 additional days even though SSDI did not give me any extra. They paid me for 14 months not 14 months 10 days. They said had I been disabled on the 1st of the month then I would owe them the $24,000.00. It doesn’t seem right that I am out $522.00 because I didn’t become disabled on the correct day. So Standard is paying out less on claims when people are disabled later in the month because SSDI is paying the same whether you were disabled 1 day or 25 days of that month. It doesn’t seem right that Standard benefits from the government not prorating and dating their back pay by days instead of months. I would of hated to become disabled on 29th or 30th of the month cuz I would of been out even more money. Is there any argument I could use to defend so I only have to pay what I got from SSDI?

    Mary Nov 13, 2017  #883

  • Marie, that is not typical of the overwhelming majority of disability insurance policies. I would request a copy of your policy to review the language to verify if your carrier is correct.

    Stephen Jessup Nov 10, 2017  #882

  • My disability insurance company says that they overpaid me because I received COLAs over the years from SSDI since I became disabled in Nov 2010.

    Marie Nov 10, 2017  #881

  • Kris, we cannot speak with respect to the SSA as we do not handle SSDI claims. However, as it relates to your Hartford claim – it would depend on the language in your policy as it relates to subrogation. Arguably, if the policy indicates Hartford can seek recovery of an overpayment stemming from a settlement that is the result of third party negligence that resulted in the disability, then Hartford could try to offset by any applicable settlement.

    Stephen Jessup Nov 10, 2017  #880

  • I had a Smith and Nephew BHR hip resurfacing process put in 2007 and went on disability in 2011 receiving both LTD from Heartford and SSD. I am currently just now able to sue S&N. My question is “if” I win any money it will just need to be paid back to LTD and SSD, correct! I of course would still receive the LTD and SSD but whatever is awarded will go directly to them for payback, correct?

    Kris Nov 10, 2017  #879

  • Heather, the carrier could potentially place you into collections or even file a civil action to recover the money – though the latter is not very likely.

    Stephen Jessup Oct 10, 2017  #878

  • Greg,

    I am no longer receiving LTD, but am receiving SSDI. SSDI is my only personal source of income (husband works).

    When I was approved, I notified them immediately and again the next month after I received another check. They continued to send checks for a couple months and I cashed them assuming (since I notified and they continued) that they were correct.

    The LTD company has now sent me a letter asking for about $20,000 back. I no longer have this money. It went to bills, fixing my car, fixing the roof, and paying back money I borrowed from my parents.

    I have no way to pay this back. We barely make our bills as it is, I don’t expect to go back to work, and the money is long gone.

    As they can’t offset future disability payments (they stopped payments in June) and I only get SSDI now, what actions can they take against me?

    Heather Oct 5, 2017  #877

  • Patty, it would likely be in your best interest to send the denial letter to avoid the disability insurance carrier estimating a potential SSDI benefit amount and offsetting your benefit by same.

    Stephen Jessup Sep 27, 2017  #876

  • I am currently getting LTD which every turn they delay my benefits. My question is: am I required to send the denial letter from SSDI? I am currently appealing this decision.

    Patty Sep 26, 2017  #875

  • Shelli, typically, in a settlement where SSDI is not yet awarded the lump sum buyout will also nullify any rights to seek repayment of an overpayment. Additionally, it is out of the ordinary for Cigna to offer a lump sum buyout of a claim so soon into the LTD period. If you would like us to review the offer letter with you please feel free to contact our office.

    Stephen Jessup Aug 21, 2017  #874

  • Perisjoyner, many policies do indicate specifically that the carrier will have the right to recover an overpayment even if there was an error on their part in calculating the offset. Have you reviewed the plan language pertaining to same?

    Stephen Jessup Aug 21, 2017  #873

  • Teresa, they cannot collect the amount that was paid out to an attorney. Did you provide them with proof of the attorney fee award by the SSA to your SSDI attorney?

    Stephen Jessup Aug 21, 2017  #872

  • I am an RN. I hurt my back in December 2016. I used up my short term disability and I am now on Long term disability with Cigna. I have been in Long term for 2 months now. They have already offered me a lump sum settlement. They also have made me apply for SSDI. If I accept the settlement now but am not approved for SSDI until a year or two later, will I have to pay Cigna anything back?

    Shelli Aug 18, 2017  #871

  • I receive LTD from Hartford. Each year I report all sources of income including my Social Security accurately. I am being informed that over the years my SS benefit was calculated incorrectly due to no fault of my own and that I am responsible for the over-payment. For multiple years and with various disability analysis at Hartford working my file with accurate information from me, can be made to be responsible for the over-payment for their on-going incompetence?

    Perisjoyner Aug 17, 2017  #870

  • I have been receiving met life long-term disability since 2013. I was told that I had to file for ssdi. Which I hired an attorney and got my ssdi. I have to pay the attorney 25% of my back pay. And I understand that met life get the rest of the back pay to repay what they have paid me. But now met life is saying that I have to give them the whole amount of the back pay. Even the 25% that I have to pay the attorney. Can they do this?

    Teresa Aug 16, 2017  #869

  • Guy, under some policies VA benefits are a source of offset – though it is rare. Has Mutual of Omaha attempted to offset for VA or alluded to it as an offset? If you have a copy of your policy you can review the “Other Income” section to see if VA benefits are considered an offset. Additionally, please feel free to contact our office should you wish to discuss your claim further.

    Stephen Jessup Aug 15, 2017  #868

  • Tufguy17, unfortunately, you will need to speak with an estate attorney to determine any legal obligations you would have as the beneficiary of the estate.

    Stephen Jessup Aug 10, 2017  #867

  • I’ve been fighting the VA for an award increase from 0% service connection since the late 1990’s, I’ve recently been told that I am to be awarded lump sum backpays on 20% of my appeal claim going back to 2012 and possibly another dating back to 2016 for an additional 40% and that I will be receiving a monthly amount determined by the total 60% rating once the final adjudication is reached. I have been off work permanently from my military related back injury since October 2013, my LTD Mutual of Omaha was paying me roughly $2700.00 per month with the cola, they’d also filed for my SSDI, which was approved in 2016. Mutual of Omaha took my SSDI backpay, of $8700.00 which I knew was due back to them, then they added their cola costs and I had to pay back an additional almost $4000.00 of payments they with held of the newly adjusted $1080.00 per month they said I was still entitled to. So Now I receive $1650 from SSDI, $1100 from LTD. My question is, can the LTD claim overpayment for my VA disability lump sum amount?

    Guy M. B. Aug 9, 2017  #866

  • Erle, depending on the nature of the pension it could be considered an offset under your policy. You will need to review your policy to determine if it is categorized as a source of Other Income under your policy.

    Stephen Jessup Aug 9, 2017  #865

  • If someone who is on long term disability and has been over payed because social security disability was awarded, and that person dies is the spouse responsible to pay back the over payment?

    Tufguy17 Aug 8, 2017  #864

  • Sandi, I have not heard of such an occurrence happening.

    Stephen Jessup Aug 3, 2017  #863

  • I have terminal cancer and am permanently disabled and live in California I got a lump sum payment from my employer for my pension. Can my employer LTD Insurance (Aetna) offset my Pension Lump payment? Thanks.


    Erle Aug 2, 2017  #862

  • I am currently on long term disability and filed last year for permanent SSD. My questions is: if I do not win the appeal, can my current employer keep my 401K for repayment of the money I have received to this date?

    Sandi Jul 29, 2017  #861

  • N.Lynn, if you are receiving a dependent Social Security (DSSDI) check because of your spouse’s claim for SSDI, then the DSSDI can be reduced by the insurance company. If you would like us to review the buyout offer made, please feel free to contact our office to discuss in greater detail.

    Stephen Jessup Jul 12, 2017  #860

  • My Spouse is on LTD and gets a Check from the insurance Co. (employer paid and Taxable) and SSID. I turned 62 and filed for SSI. I now get 2 separate checks from them, one is retirement and the other is Disability from the wage earner ( my husband). Can the Ins. Co. deduct that amount from the amount he receives every month? They also offered a Lump sum buyout which we would have to pay taxes on. He has 4 years left till 65 and it stops.

    N.Lynn Jul 11, 2017  #859

  • Stephen, you need to speak with a bankruptcy attorney to best address your question.

    Stephen Jessup Jul 7, 2017  #858

  • I filed for SSDI approximately August, 2015. In February, 2016, I filed for Chapter 7 Bankruptcy. We listed the social security claim on the bankruptcy paperwork. It was a no asset, and everything was discharged. My question is, did this also discharge the amount that I would “owe” to LTD for backpay? FYI….I just received my FULLY FAVORABLE today in the mail :)

    Stephen Jul 5, 2017  #857

  • Jelipza, MetLife can send you to collections or withhold your monthly benefits in attempt to recover the overpayment. The overpayment will be calculated from the full SSDI amount before reductions for medicare.

    Stephen Jessup Jun 30, 2017  #856

  • Scott, you are free to move to any state – it will not affect your claim so long as you continue to obtain treatment in order to satisfy policy provisions. If you have any other questions or concerns regarding your policy/claim please feel free to contact our office.

    Stephen Jessup Jun 28, 2017  #855

  • What happens if you don’t pay back MetLife the retro amount the SSDI? I also have to apply for my daughter’s benefits. Will they keep that retro also even though they weren’t giving my daughter a check monthly (metlife) they gave me std from Oct 2012 til March. Then I went under LTD in April 2013 and they just approved 44,000 but I still haven’t apply for my daughter’s benefits yet. Have appt for her benefits on July 31st, MetLife was paying me $1360.32 and now SSDI is going to give me 1191 minus the 134 from Medicare. Will they pay me the difference from the 1360 to the 1191 or the 10057? Can they sue me for the retro or can they ask for a % and a monthly payment?

    Jelipza Jun 26, 2017  #854

  • Brian, yes – a SSDI claim can take 12-18 months and sometimes more to be approved, if it is at all, so it can happen that a disability insurance policy will pay even if SSDI is not approved. If you have concerns with respect to the employer provided group disability policy you can certainly contact an insurance agent to look into buying a private Individual disability policy that would not contain SSDI offset language (though the premiums are much higher). With respect to increases in SSDI, the SSA will pay periodic COLA increases, but they are not typically very large at all.

    Stephen Jessup Jun 22, 2017  #853

  • I am on LTD threw Metlife. I have been on it for over 4 years now and lost my SSDI case and they are making me start a new claim.
    I should be getting LTD till I am 65. I am 53 right now also. Its a Tax free policy and it was threw my company that I purchased. I am located in the Dallas Tx area and we have been here for 20 Years. We are looking at homes in Florida. My question is can they stop my LTD if I move out of state? I know I have to continue my medical treatments ETC. The only thing they do is send out a Financial statement in Jan making sure I made no money.

    Scott C Jun 22, 2017  #852

  • Is there any time where you could be collecting on an LTD policy but not SSDI if the waiting period is 6 months for the LTD policy? I am considering an LTD policy with a benefit of about $3,200 but it shows on the social security website that if I became disabled now, I would receive around $2,450 a month. Seems silly to pay for a $750 benefit, but maybe at $25/month it is worth it at 30 years old. Could SSDI ever decrease, thus the LTD policy benefit makes up the difference, or does SSDI stay fixed for the life of the benefit?

    Brian Jun 21, 2017  #851

  • L. Leighton, it would depend on the language in the policy. More specifically, if the policy indicates that Hartford can estimate and offset for any benefit you may be eligible for and have not applied for. If you have a copy of your policy please feel free to contact our office we would be more than willing to discuss your situation with you further.

    Stephen Jessup Jun 13, 2017  #850

  • Pam, carriers will often work on a repayment plan in the event you cannot repay the full amount. You can approach your insurance company as to same.

    Stephen Jessup Jun 13, 2017  #849

  • I am 55 and worked 17 years in Public Education we were required to contribute a portion of our salary in to our Georgia Teachers Retirement Fund. I went out on LTD through my private pay policy with The Hartford in July 2013…I applied for SSDI and I am represented by ALLSUP. I have a concrete solid case, however I have been denied twice and not my rebuttal has gone to the last step in Falls Church, VA with current MRI’s and Doctors statements. I received a notice from The Hartford who pays my benefit each month to contact them regarding the availability of my TRS. I have always told them I have a TRS account at the DOE in Atlanta but because of my age prefer NOT to draw from it yet…My monthly TRS benefit would be less than my LTD benefit and I am struggling with that…Can they FORCE me to apply for my TRS? I was officially “medically retired” from my position after my FMLA ran out and my LTD started in October, 2013.
    Any advice is appreciated.

    L. Leighton Jun 11, 2017  #848

  • What happens if you can’t pay all of your offset back because of certain financial obligatin?

    Pam Jun 8, 2017  #847

  • Nan, without knowing what the nature of the money you withdrew or what retirement benefits may constitute “Other Income” for purposes of offsetting your benefit we would not be able to advise you. You indicated you received your benefit after going to court – I would assume you were represented by an attorney, as such I would recommend you contact them to see as they should have all your policy information.

    Stephen Jessup May 30, 2017  #846

  • I am not too sure if I took out money from an IRA when my disability company stop payments. I receive my disability later after going to court. Is that something I need to pay back? And if so do they take the money back all at once from my disability? Or can you do an adjustment to your Erise disability ?

    Nan May 26, 2017  #845

  • Waneta, Unum would have a right under the policy to offset your monthly disability benefit by the amount you receive from SSDI and recover any applicable overpayment, less what your attorney received from the SSA.

    Stephen Jessup Apr 19, 2017  #844

  • L. Faye, pulling retirements funds could result in an offset under the policy. We would need to see a copy of the policy to know for sure. In the altnerative, though unlikely given his health history, have you considered the potential of a lump sum buyout from MetLife? Please feel free to contact our office should you have an questions.

    Stephen Jessup Apr 18, 2017  #843

  • I have had rods and screws put in back and I am not the same. I am on Long term disability from Unium. I went short to long term. As of August 2015 I went on Long term and I received 1,829.00 a month. Today April 17 2017 I received a call from SSI. In the past I had been denied 3 times. I will have back pay of 20,000. My monthly payment will be in May 10 for 1,300.00. Does Unium have a right to take money and I take it they do and how much. SSI took out for lawyer. I have problems with back, legs and have spinal stenosis and fibromalgia. Can they really take from a disabled person that is struggling with getting around and paying for medication? Does not seem right when I wish I could still work like I used to.

    Waneta B. Apr 17, 2017  #842

  • Hello. My hard working husband of over 40 years had to retire in his mid 50s due to cancer and several other major health problems. He is now bedridden. He was awarded SSDI and also has LTD pay through his former employer. We desperately need to do some home repairs, some of which are for handicapped access, etc. We need a new porch and wheelchair ramp for me to be able to get him to his Dr appts and Pain clinic appts, widen our bathroom door for his power wheelchair to fit through, need to replace a bathrub with a walk in shower that he can roll on in to sit on his bathseat. Etc, etc. My question is, can we withdraw funds from his IRA to pay for all of this needed work and not be penalized by our LTD carrier, Metlife? Will they consider this as income and offset his pay or cut off his LTD?

    L. Faye Apr 17, 2017  #841

  • If you pull out your Coors retirement pension I get long term disability insurance for 8 years now they tell me because I pulled my pension funds out I will have to pay it all back 49,500.

    Sharon H. Apr 9, 2017  #840

  • Michael, the overwhelming majority of the time dependent SSDI benefits are offsets under the policy. In some occasions, be it relatively rare, the policy will indicate that the DSSDI benefits are an offset if the dependent resides with you. I have not seen MetLife language to that effect though. Most policies will have what is deemed a “minimum monthly benefit” which is usually $100 or 10% of your gross benefit. You would need to review your policy to verify both.

    Stephen Jessup Apr 4, 2017  #839

  • Hi there. I am currently receiving long term disability payments from MetLife. After I applied for and was awarded social security disability retroactive through 10/2016, MetLife demanded to be reimbursed and reduced their payments to $1600/mo. Now MetLife wants to know if my children are receiving social security payments because of my disability. If so, they will offset my disability payments further. I am concerned because I am going through a divorce and I do not have custody of my children. Does that make any difference? They may adjust their payments to the point where their payments are $0. Is this normal? Thank you!

    Michael Apr 1, 2017  #838

  • Don, unfortunately, no. The policy guarantees 60% of pre-disability earnings subject to plan provisions – in this case the offsets. So from any and all sources of income the policy would only allow for the amount to represent 60% of your earnings. Privately purchased disability policies (bought through an agent) limit what percentage of pre-disability earnings can be obtained by way of all sources of income.

    Stephen Jessup Mar 31, 2017  #837

  • Mike, I cannot recall ever seeing a policy actually define “War” within the context of the provision. It is interpreted by carriers and courts within the context of the language used- “a disability due to or cause by an act of War, declared or undeclared.” The policies usually give the insurance company enough leeway to deny a claim if there is a direct causal connection between the disability and the war time experience. We have successfully gotten around this provision on a handful of occasions and would be more than willing to discuss your wife’s claim should she be denied under this provision. Aside from that, thank you to your wife for her service and our thoughts are with the both of you.

    Stephen Jessup Mar 31, 2017  #836

  • If a long term disability policy is only paying 60% of my salary, are they still legally capable of taking SSD benefits, No-Fault wage benefits and any settlements if received by legal action as a credit. These items are listed in their policy as credits but should it be contingent upon reaching 100% of original paid salary?

    Don Mar 29, 2017  #835

  • My Wife Served in Operation Desert Storm and experienced MST. She suffers from PTSD From the trauma. She is receiving benefits and treatment from the VA. She is Considered a Combat Veteran. She was Written out of work 5 months ago. She has applies for LTD and it has been just a back and forth game. They Finally sent a Letter Sating they needed her DD214 and to be advised that her Employer has a stipulation that they don’t pay on claims of self injury ( She was Committed, but did not actually make an attempt, the thoughts were there ) and that they don’t Pay on injuries related to War. Her DD214 does not have her serving in a war because she was out of the service before it was classified as such. So they are asking for more information. My question is this… and you may not even know because I am sure the definition vary’s from company to company. But what is the definition of War that they would use to NOT Pay for MST. She did not see Combat but was in an area that was deemed Hostile and the Risk of Combat was there. Is MST Considered an Injury of War because of the time and Location?

    Mike R. Mar 29, 2017  #834

  • Dan, what was the nature of the award – primary or dependent SSDI? Was your wife Cigna’s insured?

    Stephen Jessup Mar 28, 2017  #833

  • Can Cigna sue me for overpayment that my wife never paid back when she recieved ssd award?

    Dan C. Mar 26, 2017  #832

  • Hating, Lincoln requires two levels of appeal before lawsuit can be brought. Did you appeal both denials? If so, your only option would be to pursue a civil lawsuit. Please feel free to contact our office to discuss your claim further.

    Stephen Jessup Mar 20, 2017  #831

  • I agree with others about Lincoln Financial Group. Had American Fidelity. Employer changed group policy. I enrolled in new (LFG) but never dropped old (AF). Thank God, because LFG denied my STD and LTD. AF approved me. LFG even denied the appeal. I don’t get it because even though I went through months of other procedures prior to, I even had a total hip replacement. How can they deny that?!?! I even talked to a lawyer. Lawyer said I should sue but I am so afraid of LFG becoming my primary which means I’d have to pay AF back and, even worse, deal with LFG (yikes) and I doubt they’d even keep paying me!!!! And even more, LFG is taxable, AF isn’t! Any advice?!?!

    Hating_Them Mar 19, 2017  #830

  • Jess Daniel, Mutual of Omaha’s policy would have a right to seek repayment of any applicable overpayment, but given his situation they will likely work out some type of repayment plan. I am not sure what you mean by “takeover” the life insurance policy; but typically if someone is on LTD there is also a concurrent “waiver of premium” claim on the life insurance policy, which means he should have coverage under the life insurance but not have to pay the premiums due to disability. If his employer terminates it him it should not have any effect on his rights under the disability and life insurance policy; however, I recommend consulting with the HR department to verify the status on the life insurance and if the policy does need to be converted.

    Stephen Jessup Mar 8, 2017  #829

  • Matt J., yes. Employer provided policies indicate dependent SSDI as a source of other income subject to offset under a policy.

    Stephen Jessup Mar 6, 2017  #828

  • Steven, you will need to consult with an accountant or tax professional to best determine your options.

    Stephen Jessup Mar 6, 2017  #827

  • Susie, widow’s SSI benefits will not be an offset under your LTD policy.

    Stephen Jessup Mar 6, 2017  #826

  • Last year April 2016 my husband found out he has stage 3 mealnoma internal cancer. Disability started with short term when it went into long term Disabilty murtral of omaha told him he had to apply for ssd. He got aproved for ssd but now murtal of omaha wants him to pay more than his back pay. They waited 45 days before contacting him. They told us we have to pay it within 30 days can they garnesh his ssd. All of his disabilty payments went to hospital bills.

    Another question is there a way to take over an employers life insurance policy. Hi employer is going to fire him due to being off. Work so long. Cancer treatment not working.

    Jess Daniel Mar 5, 2017  #825

  • Can a Disability carrier reduce your monthly benefit if you receive SS benefits for your children and require you to pay back the back installments?

    Matt J. Mar 3, 2017  #824

  • My Wife was receiving long term disability from Lincoln for various medical conditions in 2015. She is still currently receiving these but at a lower amount (see below). They encouraged her to apply to Social Security and they, SSI, approved her and paid her a lump sum payment in 2015. Lincoln lowered the amount they were paying her and demanded a large portion of the SSI lump sum payout which she returned to them in 2015. Our issue is with the taxes. Our 2015 income was grossly inflated by the SSI payout (most that went back to Lincoln) and we owed taxes for 2015. IS there a way to get credit in 2016 for this money paid back to Lincoln from the SSI lump sum payout? Thank you.

    Steven Mar 3, 2017  #823

  • I have a question that you may know the answer to. I have been received LTD since 2005. My husband was disable for 15 years and was receiving disability checks from SS. My husband past away in late 2015. I went to visit the Social Security Administration (Retirement, Survivors and Disability Insurance) letting them know about my husband pasting. I am now receiving monthly mother’s benefits from Social Security, will that affect my LTD checks? I am from Texas…. Thank You for your help

    Susie Mar 3, 2017  #822

  • Tracy, only if the SSDI award overlaps with the time frame the disability company paid you. However, if a potential award of SSDI does not come for some time the chances are your carrier would never inquire. Typically, when a claim closes they don’t conduct follow up.

    Stephen Jessup Feb 24, 2017  #821

  • Cooper Sr., it would be wise to let them know as the approval of SSDI would be strong contemporaneous information in support of your disability claim.

    Stephen Jessup Feb 24, 2017  #820

  • Carol, your claim certainly has a lot of moving parts. Please contact our office to discuss in greater detail so we can determine how we may best be able to assist you.

    Stephen Jessup Feb 24, 2017  #819

  • Hi. My question is regarding long term disability and SSDI. I only had 2 years of LTD which was up in November. I was denied SSDI during the time that I was receiving those LTD benefits. If I reapply for SSDI now could the LTD company come back and make me pay back any money? How long do they have after termination of LTD benefits to come back and try to collect SSDI? I live in state of Missouri. Thx.

    Tracy S. Feb 24, 2017  #818

  • Should I let my ltd company know that I was approved for ssdi while I was waiting on a appeal of my std wich was approved 7 months later? Now my ltd is under review for benefits… what should I do?

    Cooper Sr. Feb 23, 2017  #817

  • I have been on short term & long term disability claim with Guardian for a little over a year January 2016. I am the owner of a small business. All of the sudden in Nov they started holding back my checks saying they required all this additional documentation from the state to prove I wasn’t double dipping, which I obtained after a lengthy person, where the person st EDD asked to call Guardian because they said the case manager knew better, and that as an owner I was automatically disqualified to recieve that benefit from the state, now my insurance company is saying they can’t find the “certificate of insured eligibility” which would have been required to set up the account in the first place 0ver 3 years ago & without that my max benefit will be cut by 25% & finally they now want my last years tax returns to analyze them against what benefit level they are paying me at, even though for the last three years we have always been paying the corresponding premium to the income level. As an owner my income varies greatly and I take write downs for certain things. What do I do here? I go for my third major surgery in less than a year in less then 2 weeks, I have nuerological issues and I am in constant pain. I am about to lose my business, which means my health insurance, my home everything. The only thing that is keeping me going is that they have said my doctors, doctors notes & medical records are all in excellent shape. Any advice would be much appreciated.

    Carol Feb 22, 2017  #816

  • Abbi, I suggest you request a formal breakdown of the overpayment as they should have sent that to you. It can occur that a month or two can pass between receipt of the back benefit check from the SSA and notice from the carrier. If the carrier paid your full benefit during that timeframe that exceeded the period the back benefit check represents then they would be entitled to recovery of the overpayment for those months as well.

    Stephen Jessup Feb 20, 2017  #815

  • Vic, unfortunately, the policy language governing the claim would almost certainly indicate SSDI and DSSDI as a source of other income under the policy. I would suggest you request they withhold benefits until such time the repayment is satisfied. If you have any additional questions please feel free to contact our office to discuss.

    Stephen Jessup Feb 20, 2017  #814

  • I have been approved for SSI benefits due to an extended illness. My company paid STD for 9 months, then LTD disability kicked in at 10 months – 12 months. At which point, I was approved for SSI benefits.

    I received the lump sum payment, which I have kept and waiting for the company to complete their calculations. Today, I received the payback letter in the mail. The lump sum payment from SSI was one amount, and the company is requesting I pay the entire lump sum back AND an additional $648.36. I am willing to pay back the entire lump sum. But, am I required to pay MORE than what was awarded through SSI? I cannot see in the calculations provided how they came up with me owing MORE than what was awarded through SSI.

    Is this normal? Do I have a right to pay ONLY what SSI awarded and not a cent more?

    Abbi Feb 18, 2017  #813

  • My Dad was out of work after being diagnosed with Mantle Cell Lymphoma (rare cancer) and starting treatment. He went from STD to LTD. LTD was provided by The Standard. Soon after his LTD kicked in, they told him he needed to apply for SSDI. In my Dad’s words, they were nagging him and pressuring him to apply. He did and was very quick to get approved. He provided The Standard with the information from SSDI and they never reduced his LTD benefit payments. All money received from LTD and SSDI went towards living expenses as both he and my Mom were out of work on disability. They even had to borrow money from my brother and I during this time. My Dad used all of his vacation time saved over the 25 years he’s had with the town to help make up the 40 hours in his paycheck. As I said, The Standard never reduced their benefit checks sent to my Dad. They are now claiming he owes them $9k. The repayment was sent to a collection agency a few weeks ago. They have been calling and harassing my Dad. They agree to $6,500 but we just don’t have that. I moved home to help take care of my Dad and was without a job for some period of time. My Mom is out of work for her own disability reasons and lost her job. What we have is what we live on. There is no $6,500 in any single bank account or combination of all of ours. They would like an answer today from us. My brother and I can both contribute $1,000 each and $1,000 from my Dad. And can we repay the rest back over the next few years? The Standard is a very deceiving company. To put someone through this whom is just trying to enjoy the rest of the years he may have left and still dealing with his illness is just unacceptable. We are unsure of what to do and what questions we are missing that need to be asked. I just hate seeing him worry like this. Thank you for your help.

    Vic Feb 17, 2017  #812

  • Kenneth, yes, you can technically collect both, but the pension would likely be a dollar for dollar offset under the disability plan. Is his insurance company aware of the pension?

    Stephen Jessup Feb 14, 2017  #811

  • Have a weird question. My father worked for his company for 32 years. He was due to retire Oct. 1 of 2016. He was in and out of the hospital due to cancer. His company placed him on LTD, and he was receiving payments from that and they also started his pension payments. Can you be retired and also collecting their LTD payment? It’s kind of confusing as they say by all rights he is retired, but they’re still saying he is entitled to LTD.

    Kenneth Feb 12, 2017  #810

  • I paid a higher premium with Aetna for LTDI. I eventually made a claim and was subsequently approved for SSDI. Aetna pays the difference but because I pay taxes on my SSDI thus my take home is less than what I would have taken home if Aetna was req to pay the full amount, should Aetna be required to pay that amount. Asking because I did pay the higher premium expecting that would be my take home pay.

    Leah Feb 11, 2017  #809

  • Can I withhold taxes I will have to pay on ssdi lump sum from overpayment reconciliation?

    Robin nation Feb 1, 2017  #808

  • Kim, if the policy states the dependent SSDI is an offset, which it most likely does, they would have the right to offset. Many carriers would also assign an overpayment on the amount so if there is a positive they did not.

    Stephen Jessup Jan 27, 2017  #807

  • Wes, unfortunately, they would still have a right to seek repayment for any potential overpayment. How long ago was your claim denied by Guardian? Did you ever file an appeal of the denial? Please feel free to contact our office should you wish to discuss your claim further.

    Stephen Jessup Jan 26, 2017  #806

  • I’m gay and in 2011 gays could not legally be married but my company offered same sex benefits. I left my partner and I have legal custody of my son but he physically lives with my ex-partner and is and has received the SSDI check for him always. I receive SSDI and was receiving a monthly LTD payment. After 5 years of receiving these payments the LTD company wrote a letter and said that they won’t make me pay arrears but they reduced my check by the amount that he receives monthly. Can I appeal that decision and what would I say?

    Kim Jan 26, 2017  #805

  • I live in Illinois. I recieved 4 months of long term disability from guardian. Then I recieved ssdi so I understand the double dipping. The only thing is I never signed the repayment agreement and now they want me to sign it. Is that a loophole to not having to pay it back without getting into insurance fraud.

    Wes Jan 24, 2017  #804

  • Christi, your carrier would be entitled to repayment of any period of time they paid you a full benefit and the SSDI is now paying back benefits for- if those months all overlap you will owe the whole back benefit check.

    Stephen Jessup Jan 19, 2017  #803

  • Katie, as SSDI is paid in arrears this is a very common occurrence. Eventually the numbers will match up but not till years end. Unfortunately, there would be nothing we could do to get those benefits to match up as your carrier pays at the beginning of the month and SSDI at the end.

    Stephen Jessup Jan 19, 2017  #802

  • I too am confused. I was taken out of work Aug 1, 2015. I received ST and then LT with Sunlight Disability. I am in SC and I have heard so many different answers. I am waiting for my court date now after being denied the first go around. When I do finally get approved for SS Disability and my lawyer gets his 6,000 – will the remainder of my back pay go to my LTD? Or will a percentage of it go to them? Just trying to figure some things out and start preparing for that day!
    Thank you

    Christi Jan 18, 2017  #801

  • Greg

    I have stage 4 cancer have been drawing Long term disability I was approved for ss benefits. I returned the overpayment completely to the insurance company. Now I will get 11 payments this year from ss I was approved start in January which I will not get till February. So insurance company says they will not pay me full payment for January even though I’m not getting any funds in January from ss. Am I just out of that money? Should they not have to pay me until I start getting payments?

    Katie Jan 17, 2017  #800

  • Barry, the only way I could see Unum claiming an overpayment of $90,000 has to do with the date of the SSDI award. If the back benefit check was received by you in October, but Unum did not calculate the overpayment until January and forwarded your full benefit for the months in between they would be entitled to collect that period of overpayment. Additionally, please confirm they are appropriately allocating any attorney fee award as a credit to you. With respect to any tax implications you will need to consult with an accountant to determine your course of action.

    Stephen Jessup Jan 10, 2017  #799

  • I have been on LTD with Unum since 08/09. After a fail attempt at getting SSDI, I was finally deemed disabled by Social Security in 10/16 and paid retroactively to Nov 2012. I have since received a lump sum check for $80k which I wholeheartedly agree is Unum’s but they are saying I need to repay the $90k due to an “overpayment of Social Security Benefits”. How is this possible? How can I be required to repay over $10k in Social Security benefits that didn’t receive from the government?

    Also I just received a 1099 for $84k for my social security back pay. My Unum benefits were paid to me tax free due to how my monthly premiums were paid. How can I now be held responsible for the taxes on an award that I can’t keep for monies paid to me in a tax free format?

    Thank you in advance for your time.

    Barry Jan 9, 2017  #798

  • Tim, you will need to consult with an accountant or qualified tax professional to determine what can be done from a tax perspective.

    Stephen Jessup Dec 30, 2016  #797

  • Carrie, it could be very tricky. If the claim was denied in 2013, there is a 180 day deadline to file an appeal. Even in appealing the decision now Standard could refuse to accept an appeal due to the lapse in time. Second, most policies only have a 3 year statute of limitations to bring a lawsuit, and many courts consider the date of the denial the start of the 3 year period- so at this point your brother may be time barred for any legal recourse. I would certainly suggest you/he attempt at the very least to appeal the denial.

    Stephen Jessup Dec 30, 2016  #796

  • Ms Jenkins, your duty to repay the money to your carrier is written in the Policy, as receipt of the SSDI is a source of “other income” that offsets your benefit. If you are still on claim with your carrier you can request a repayment plan.

    Stephen Jessup Dec 30, 2016  #795

  • I collected LTD from a private insurance company who sent me a W-2 each year. Thus, I paid tax. I now got a lump sum from Social security but had to give it to the LTD company. How do I get my tax back? Thanks.

    Tim Dec 29, 2016  #794

  • My. Brother had a cerebral aneurysm , In 2013 he was sent a letter, I did not know about the letter , and he did not get filled out by a doctor neurologist they stopped sending him his benefits through the Standard Insurance Company He has been ill for the last three years do you think they’ll reinstate him?

    Carrie M. Dec 28, 2016  #793

  • I’ve been on long term disability since August 2013. I was just awarded SSI November 2016. I received the award letter on the amount of back pay I’m suppose to receive but confused on why I have to sign the whole check over if I paid into this poslicy while I was working. Also, what if I don’t pay the lump sum? Do I have other options? The LTD company stopped my income for 8mths for no apparent reason but later on paid me for the missed months. So my question is, why do I have to pay the full amount back and do I have other options to pay back the money owed?

    Ms Jenkins Dec 25, 2016  #792

  • Tony, under many policies it specifically states that VA benefits are NOT an offset. If you have a copy of your Policy look for the section pertaining to “Other Income.” The policy will list what sources of income are offsets, and those that aren’t.

    Stephen Jessup Dec 21, 2016  #791

  • Reliance stop paying my benefits back in december 2015, im still waiting for ssdi aproval and workers comp settlement, reliance paid me 2 years and about 10% of the last six months of the first year which std paid for around 50%, so my question is since the life of the policy is for 48 months ?? and reliance cancel my benefits last december which leaves 18 months left . if I receive any ssdi benefits or workers comp, should I pay them or can I deduct the 18 months left on the policy.

    joao vitor Dec 21, 2016  #790

  • Chris, your LTD should not impact your SSDI. With respect to how much money you can earn/receive without it affecting your SSDI you would have to consult with the SSA or a SSDI attorney as we do not handle those types of claims I would not be in a position to best advise you.

    Stephen Jessup Dec 20, 2016  #789

  • Are VA service related disablity payments consider a offset for LTD companies.

    Tony Dec 20, 2016  #788

  • Dear Sir,
    I have a quick question… I started receiving SSDI benefits and several months later started receiving long term insurance through my previous employer. The amount of my LTD benefits is less my SSDI benefits and I am receiving that difference until retirement age. My question is am I supposed to be reporting the supplemental LTD benefits to Social Security? I do declare it on my taxes because I received a W-2 for this LTD. and also do you know roughly how much or what percentage of LTB I am allowed to receive without it decreasing my SSDI? Thank you kindly…
    Chris S.

    Chris s Dec 17, 2016  #787

  • Tom, I would suggest you confirm if the $1522 was the gross benefit amount before any withholding for taxes.

    Stephen Jessup Dec 13, 2016  #786

  • I was recently approved for SSDI. The Standard sent me a letter demanding repayment of their LTD payments to me. Now here is where it gets interesting. I’m their letter to me, they state my LTD was $1522 per month. I never received that much from them. Their monthly checks to me were $1227 per month. This company is nothing but a scam.

    Tom Dec 10, 2016  #785

  • OhioChemist, Aetna would be entitled to recovery of an overpayment for any period of time that SSDI is issuing a benefit that Aetna issued a benefit. With respect to your son’s DSSDI- arguably under the policy they would have a claim for those benefits if the offset is enumerated. Please feel free to contact our office to discuss your claim, what your options may be in securing a buyout or to discuss monthly claims handling to provide a level of defense against Aetna.

    Stephen Jessup Dec 6, 2016  #784

  • Greg,

    I worked as a chemist at the same company for 13yrs. During that time, I had 3 neck surgeries and 2 lumber surgeries, all related to degenerative disease disease. I also has other surgeries not related to my disability…tubal ligation, hysterectomy, 2nd surgery to repair the first hysterectomy, and 2 breast biopsies). The two fusions in my neck turned out fine, no more pain there. I had lumbar surgery for a ruptured disc in 8/08 but didn’t fix issue still was in excruciating pain nearly every day. So I had the fixation/fusion done in 4/09. Three weeks after my surgery, I’m in a back brace, not allowed to drive and my manager wanted me to come up to the plant’s personel office to tell me they “eliminated my job”. I had 26 weeks of full salary continuance until it would get turned over to STD which paid 80% of my salary. The time limit for STD was 26 weeks before they handed it over to the LTD division of Aetna Disability. I have major back problems, nerve danagd, severe pain, weakness, on high doses of pain meds. After Aetna got all this info they approved my claim in 10/09. I tried to go back to workin Jan/10 in a temporary job as a part-time contract chemist. After a year, I couldn’t do it anymore. The temp job ended in Jan 11 but they wanted to hire me permanent but I was struggling to work even 4hrs w/o having to lay down to get them pain to subside. I’ve explained to them that this is a degenerative disease and is only going to get worse. Pain management is currently my only option.

    So I applied for SSDI in Jan 11. It was denied the first time, upon appeal they found me disabled to work in my field but claimed I could find gainful employment in another field. After this denial, I started having a lot of joint pain, inflammation, and weakness in my small joints (wrists, hands, ankles, feet, vertebrae and now elbow). My dr referred me to a rheumatologist who said I had severe generalized osteoarthritis of the small joints… he said it was the worst case he’d ever seen in someone my age (43) but my xrays looked like those of a 70 y/o. With time running out to file another appeal, it was this drs findings that convinced the administrative law judge that I was totally.

    Question 1: Aetna approved my LTD based on my spinal issues, but SSD approved based on the arthritis findings that were found in 6/13, but went back to 1/11 when I last worked to calculate my back pay. I feel Aetna is only entitled to offset back to 6/13 and not 1/11, if at all. Aetna based disability on a bad back & nerve danage, but SSDI based permanent disability on that plus the arthritis which was found later. Aetna’s criteria for LTD is that I’m unable to do the job I had before or one in my field w/ a salary no lower than 80% of my pay. And should I recover and there are no jobs like that within 50 miles of my home, they have to continue the disability payments. I don’t have to be fully disabled. What’s your take on the combined health issues and offset date?

    Question 2: My youngest son turned 18 after my SSDI was approved. So he filed for the family pay and received 15 mths of benefits. Since he was over 18, he received the check and SSD said it was legally his since he was an adult. He kept it, yet Aetna says they are entitled to it. I would agree had he been under 18 and I was receiving the benefits for his care.

    Question 3: Aetna is harassing me w/ phone calls and paperwork I fill out but they say they didn’t receive one of the forms, when I mailed them in the same envelope! How do I start the process of looking into getting a lump sum pay off? The policy says they pay me until I can receive social security which isn’t until 2032. I’ve got medical bills to pay. And need to have breast mammo/us and MRI every 6 months due to suspicious findings on my last biopsy. I can’t afford that!

    Thanks for the help… sorry its so long.

    OhioChemist Dec 5, 2016  #783

  • Larry, if you have not received benefits in over a year are you sure your claim was not denied? Most policies contain a minimum benefit that will pay 10% of your gross benefit or $100 in the even the offset is greater than the amount you receive. That being said so policies do not. I think it is important to find the status of your claim with your carrier. If you have not received a benefit and are not on SSDI there may be trouble.

    Stephen Jessup Nov 17, 2016  #782

  • What happen if my monthly award is higher than my LTD payment? I have not been receiving LTD payments for over a year. MY SSDI hearing is not for another two months.

    Larry Nov 15, 2016  #781

  • Tammy, yes. Most policies indicate that the insured has a duty to pursue sources of Other Income, with SSDI being the most common. Failure to do so allows the carrier to estimate the amount to be received and offset by same. I would suggest your husband file for SSDI, provide proof of filing to Principal and request that the estimate be lifted.

    Stephen Jessup Nov 15, 2016  #780

  • Hello My husband is receiving LTD from Principal Financial Group. They are now withholding over half of his monthly payment until he shows proof that he filed for SSDI. Can they legally do this. Thank you so much for your time.

    Tammy H. Nov 14, 2016  #779

  • Ms B, unfortunately, Hartford’s policy will not take the tax consequences into consideration. I do strongly suggest you speak to an accountant or tax professional as to what can be done in reporting to the IRS.

    Stephen Jessup Oct 27, 2016  #778

  • I have been on disability with the Hartford since March 2012. Applied for SSDI per the hartfords request in March 2013. Was initially denied and now after first hearing, was approved. I have never had to pay taxes on the payment from The Hartford, but will now have to pay taxes on SSDI, as I am married and my husbands income is over $45000/year. How do I get the Hartford to take this into consideration in repaying them the lump sum when it truly does not equate to equal dollars.

    Ms B Oct 21, 2016  #777

  • Lester, please contact our office to discuss how we can assist you in appealing the denial of your benefits. Please also note that you only have 3 years after a denial of benefits to file a lawsuit, not that you have to wait 3 years to sue.

    Stephen Jessup Oct 18, 2016  #776

  • Diane, if your policy contains language with respect to offsets due to sources of Other Income and those sources are listed, then yes- the carrier can demand repayment. Personal injury settlements are typically not as clear cut as Worker’s Compensation benefits, so please feel free to contact our office to discuss further.

    Stephen Jessup Oct 18, 2016  #775

  • My long term disability ime doctor stopped my monthly payments now I have to file a appeal I’m probably going to be awarded my SSD claim appeal will be long term disability insurance want that back pay and do I have to pay it since they already stopped paying me. I’m probably going to lose the long term disability appeal and I cannot sue them for 3 years.

    Lester Oct 15, 2016  #774

  • Can private disability income companies demand that I repay the personal injury award from workers compensation? I know they get portion associated with income.

    Diane Oct 14, 2016  #773

  • Eileen, unfortunately you will need to consult with an accountant or tax professional to determine what you will need to do with the IRS.

    Stephen Jessup Oct 13, 2016  #772

  • Anne, you would still have a legal obligation to repay any potential overpayment. That being said you also have rights to go after the insurance carrier to collect your benefit. When was your claim denied? You have 180 days to appeal a denial of benefits and failure to do so could prevent you from brining legal action. Please feel free to contact our office to discuss how we may be able to assist you in submitting an appeal.

    Stephen Jessup Oct 13, 2016  #771

  • Gordon, you will still be responsible to the LTD carrier for the overpayment. Often the carrier will reduce your monthly benefit or absorb it completely to satisfy same.

    Stephen Jessup Oct 13, 2016  #770

  • Marie, as long as the estimate is correct (as much or more than you received from SSDI) then yes, you would not have to return the SSDI back benefit check in the event you receive it. That being said, the SSDI process can take a very long time and you could be with substantially reduced earnings until it comes through if you allow MetLife to reduce your benefit while SSDI is pending.

    Stephen Jessup Oct 12, 2016  #769

  • While working I paid into The Standard for LTD insurance. I had an operation and it did not go as expected. I eventually was let go from my job after exhausting my FMLA and all my sick and annual leave. There was no wrong doing be the employer. They helped me apply for my LTD and I started receiving a monthly salary for The Standard. I applied for SSDI and was awarded in 09/2015. I received a back pay which the majority of the money had to be paid to The Standard per their policy. No problem. Now the problem is I have received paperwork from The Standard giving me information stating the money they had paid to me is now SSDI benefits. I received paperwork from SSDI showing my back pay was changing my pay to SSDI benefits. I received new 1099’s that broke the amounts out over just under a two year period. Do I have to re-file the previous years Form 1040’s changing my income status? Help, I don’t know if this changes my filing of taxes. Thank you. Eileen

    Eileen Oct 10, 2016  #768

  • My LTD insurance company suddenly denied my claim that they had been paying for 3 years. Since they severed ties with me, and I am no longer receiving any type of monies or benefit from them, am I still obligated to pay them back once my SSDI comes through? Any help would be much appreciated. Thank you!

    Anne K. Oct 7, 2016  #767

  • What happens if you spend some of your SSDI that is owed to LTD?

    Gordon Oct 4, 2016  #766

  • I am planning on applying for long term disability the group policy provided by my job. The language says the full offset. I also plan to apply for Social Security disability. I’m wondering if it is true that if I allow the long-term carrier to reduce my payments to what they estimate I would get from Social Security Disability, that remove their ability to take any back pay that I get from Social Security disability if I’m able to get on to it?

    Marie P. Oct 1, 2016  #765

  • Peggy, you will need to consult with a tax professional to have you question answered properly.

    Stephen Jessup Sep 28, 2016  #764

  • How do you show on your taxes that the lump sum from SSDI was paid to disability company.

    Peggy H. Sep 26, 2016  #763

  • Joao, I have encountered this very action with clients in the past. Provide all information that is outstanding on the SSDI that you may have. You could even write a complaint with your state insurance commissioner as to their actions in withholding the funds.

    Stephen Jessup Sep 22, 2016  #762

  • Leticia, an insurance carrier can unfortunately terminate a claim for benefits at any time it determines that someone doesn’t meet the definition of disability (which does not appear to be the case with your sister) or a certain policy provision is triggered. Typically retirement is a dollar for dollar offset to an LTD benefit, but I have not encountered where a claim is denied because of receipt of same. Please feel free to have your sister, or you, contact our office to discuss the situation further.

    Stephen Jessup Sep 22, 2016  #761

  • Donna, in my experience it would be related back to the underlying condition that resulted in the need for the ECT treatment- in your case depression, and in turn apply any applicable limitations for mental health conditions. Please feel free to contact our office if you’d like to discuss your situation further.

    Stephen Jessup Sep 22, 2016  #760

  • Im disable and receiving benefits from Reliance, at the begining I was told to apply for SSDI which I did,, and also receive an Agreement contract to sign, which I diD this contract was for me to agree in paying back any overpay only if I receive or been awarded from SSDI, which as of today Im still waiting to be approved by SSDI, what happen was ,Reliance receive the letter from me but still went ahead and old ten months of SSDI estimate, well with help of my wife we find out that this was wrong , and we ask them what happen, they start saying we never told them, over the phone, I said well I sign the contract and send it to you guys wasnt this enough? the claim adm. was surprised that they receive the contract but never did anything with. so they stop holding the estimate, but after I ask what about my ten months they are saying they can not pay because I knew it and they don’t have copy of the appeal letter to SSDI. they also told me reliance has a wright to hold estimate from SSDI with or without signing the agreement, well Im trying to find out what should I do in order to get my money back, I believe its my money, i bought the insurance , and my benefits its 60% of my salary and they only pay me half of that for the first ten months.

    Joao V. Sep 22, 2016  #759

  • My sister was diagnosed with AML and became disabled. She filed for short term disability at the beginning of her treatment for Leukemia and a year later was eligible for LTD benefits. She also is drawing her from her employer monthly retirement benefits. She just got a letter that they are stopping her LTD benefits due to her also drawing monthly retirement benefits. She is still disabled, going through Chemo treatments and under medical care. She filed for SSDI but was denied and an appeal is in the process. Can they stop her LTD benefits before she is approved for SSDI? Please advice as this is putting too much stress on her.

    Leticia F. Sep 21, 2016  #758

  • I recently had an ect due to suffering from extreme depression. I was wrongfully dismissed and in the process of fighting it. The ect has effected my short term memory. Would ltd consider this as a mental innury or physical

    Donna Sep 21, 2016  #757

  • Sheryl, without knowing more about the policy and the facts and circumstances surrounding your claim for benefits we wouldn’t be able to provide much direction. It is possible to be awarded SSDI, but denied under a private carrier. Please feel free to contact our office to discuss your situation and to review your policy with you.

    Stephen Jessup Sep 20, 2016  #756

  • Hi, I was recently approved for SS disability. I have contacted my insurance company regarding my disability and now have filed a claim. It has been 3 months and I seem to be getting the runaround. I paid this insurance out of pocket with my own private insurance company. Is there any reason they won’t have to pay me? Or is it even possible with my Social Security Disabilty check that they now don’t have to? Confused in South Carolina.

    Sheryl Sep 19, 2016  #755

  • Mark, if there is an overpayment they were not made aware of they could have the right to seek it. If she is still on claim they will likely offset the benefit. That being said, COLA increases are not subject to offset. Please feel free to contact our office to discuss your claim further.

    Stephen Jessup Sep 16, 2016  #754

  • My wife received Long tern disability form work and SSD (which was approved right way ) , both since 2010. She has received COLA increases , can a LTD(Prudential) ask for money back after 6 years.

    Mark Sep 13, 2016  #753

  • Katie, there may stand a chance your former disability carrier may never know. Typically any legal actions are limited to three years for an insured and arguably the same for the carrier in seeking the repayment. Although, the carrier would have a right to repayment, there stands a very real chance that they may never find out or go after you for the money.

    Stephen Jessup Sep 12, 2016  #752

  • I applied for Social Security while receiving LTD benefits through a plan with my previous employer. I was out of work for 2 years but eventually went back to work for a different company. At the time I went back to work my LTD case was closed and the disability company withdrew from the legal representation they were providing me in my social security case. Now, almost 2 years after returning to work I was approved for Social security for the closed period if time that I was not working due my medical condition. How do I know if the disability company will come after me for the back pay that i am goibg to receive? Is there a certain timeframe that I should hold onto that mibey and not spend it? When they closed my case, the legal representative told me they would not likely ask for money if i received it since my case was closed, but that was not definite. How do i know for sure if it is ok to spend the money I receive from social security.

    Katie Sep 8, 2016  #751

  • Concerned, what was your insurance carrier’s response to why there has not been an adjustment to your benefit?

    Stephen Jessup Sep 5, 2016  #750

  • Gerald, yes, Cigna, or any insurance carrier, can terminate disability benefits before a SSDI ALJ hearing if they determine you no longer meet the definition of disability contained in the policy.

    Stephen Jessup Sep 5, 2016  #749

  • I started a company in 2014 and provided LTD for my employees and myself a few months after the company launched.

    The company is an LLC that is treated as a Sub S.

    The LTD carrier is deducting start up costs that were incurred prior to the initiation of the policy from my income to determine my benefit.

    The rollover period occurred a year ago, and no adjustment was made to the premium/income level, it was submitted as the same amount; but the benefit has been reduced by 30% due to the startup costs.

    Concerned Sep 1, 2016  #748

  • Can Cigna stop paying my LTD benefits before my SSDI ALJ hearing (that Cigna is paying a third party to represent me)?

    Gerald Aug 31, 2016  #747

  • Loretta, unfortunately, we would not be able to give you such an answer. It is not unheard of for a carrier to send forms at least annually. If you do have questions or issues please feel free to contact our office.

    Stephen Jessup Aug 25, 2016  #746

  • Hi I’m 62 years old and recieve246 dollars a month from dearborn life and 780dollars a month for ss disability ltd is sending me forms for additional information phycsitons statement why after16 years?

    Loretta Aug 23, 2016  #745

  • Montana, I am not aware of any law that requires it, but it could be a requirement under the policy to apply and pursue any source of other income. I would have to refer you to the policy provisions for “Other Income Benefits” to determine what has to be done under the policy.

    Stephen Jessup Aug 16, 2016  #744

  • Hi. My husband is on LTD with Dearborne National. They are trying hard to find a way to offset their payments to us. They keep asking about SS disability and we have told them we don’t get it because the city doesn’t pay in to SS. We know this for sure no question. Now they want to know about TMRS (Texas Retirement System) retirement disability. Do we have to apply for disability through our retirement system? We have not taken regular retirement from TMRS. Is there a law that says we have to apply/take TMRS disability ?
    Thank you,
    Mrs. Layne.

    Montana Aug 13, 2016  #743

  • Caitlin, Social Security retirement is a typical offset in both STD and LTD policies so receipt of same would be an offset to both. There also stands a chance your severance could be an offset amount under the policy. As we do not handle SSA claims we would not be able to advise you as to your abilities to return the money.

    Stephen Jessup Aug 4, 2016  #742

  • I was on STD through my employer for approximately 9 weeks before being laid off and began receiving severance pay which lasts through 02/2017. On the advice of my SSA rep I applied for SSA retirement to provide additional income to pay for bills, etc. Because I was considered eligible for STD and LTD before being laid off I was required to maintain communications with the STD/LTD carrier (Liberty Mutual) to keep the eligibility in force. They have ‘preliminarily” approved me for LTD benefits to begin in September of $100 month which is their minimum. But, I still have severance for 6.5 months before the “official” full amount of LTD would begin to be paid. The paperwork I just received show that STD and LTD will be reduced and overpayment by Social Security benefits. (I knew about the LTD, but not the STD). Questions: 1. Are SSA retirement benefits calculated in any repayment to the insurer? Since I am within the 1st 12 months I can stop the retirement benefits and repay SSA that amount since I have not spent the funds. 2. Are STD benefits usually required to be repaid? 3. The form they sent me gives me an option that if I do not sign and return Liberty will estimate my SSDI benefit and reduce my LTD benefit by that amount. Please advise. Thank you.

    Caitlin Aug 2, 2016  #741

  • Lauren, Cigna is able to assert rights for repayment for multiple sources of other income to include both Worker’s Compensation and Social Security. However, I strongly recommend you request a detailed accounting of any asserted overpayment amounts.

    Stephen Jessup Jul 27, 2016  #740

  • My husband became disabled in June of 2013. He got hurt at work and settled in a lawsuit and at that time Cigna got a lump sum of roughly $16k. He just recently approved for ssdi and is get a retroactive payment over $50k. Cigna already collected for the lawsuit and now they are saying they are entitled to his retroactive pay as well. His lawyer for the lawsuit said there was something in the policy that says they can only collect one lump sum….. Does that include ssdi?

    Lauren Jul 20, 2016  #739

  • Lynne, Hartford would still have a right to recover any overpayment for the period of time overlapping between SSDI and the benefit they paid. However, they may not discover that you received SSDI to pursue same. Did you ever appeal their denial of benefits?

    Stephen Jessup Jul 12, 2016  #738

  • Of course they never tell you that you have to payback the social security BEFORE you win. Only after. These are crummy policies. It feels like nice people are always getting the shaft. How am I supposed to pay my doctors now? I was really counting on that money and thought I had protected myself by having a policy.
    On top of that, the insurance company has not been nice. Really sad. TJ

    TJ Jul 7, 2016  #737

  • I was receiving LTD from Hartford Insurance; however, they stopped my payments back in October 2015 (received benefits from June 2014-October 2015) due to them saying I was not disabled. I just recently got a favorable decision from SSD and received my back pay. My question is do I still have to pay them back for the money I received from Hartford even though they cancelled my benefits approximately 9 months ago.

    Lynne Jul 7, 2016  #736

  • K.Reed, the provision you are referencing as it relates to working and making up to a certain amount has to do with Return to Work/Rehabilitation Benefits under the policy, with specific rules about work earnings and effects on your benefit. Under the Policy SSDI is a defined source of Other Income subject to offset.

    Stephen Jessup Jul 7, 2016  #735

  • TJ, without seeing all the documentation we would not be able to properly assess what your rights are on the overpayment amount with respect to amout. I recommend you get a letter from the SSDI attorney/group who received the fee to verify the fee paid was $6,000.00. With respect to not signing the reimbursement agreement- the policy still contains language that allows them to seek it and/or pave the way for them to withhold benefits to recover it.

    Stephen Jessup Jul 7, 2016  #734

  • I am receiving LTD , of course when I was approved for ssdi my carrier offset the difference. ..my question is my LTD carrier stated if I had some other source of income up to 2k per month it would not stop my LTD from them. I worked all those years and paid into the social security program why isn’t that money considered income since it was derived from my contribution from me working. …it is income correct?……if that is income therefore I should be able to receive my (ssdi 1978.00 per month)and my full LTD amount …..

    K.Reed Jul 6, 2016  #733

  • By the way, I never signed the form stating I would payback my award.

    TJ Jul 6, 2016  #732

  • Stephen, they are calculating the backpay wrong. They took my award and reduced it down to what social security would have paid me (difference is $150). Thus, all the months x what social security would have given me. Then they only subtracted $5500 for atty fees, not $6000. What the heck? Shouldn’t I be owed my 55% plus the full $6000? I would never have paid for a “loan” and I am only $2000 ahead. Was not worth the surveilance, unannounced home visits, overall stress, harassing my doctors..Please advise as I am withholding payment until this is figured out and fair. Thanks.

    TJ Jul 6, 2016  #731

  • Mary and Randy, please contact our office to review the correspondence sent by the carrier to best discuss what can potentially be done to assist you and your husband.

    Stephen Jessup Jun 21, 2016  #730

  • JB, first, we are sorry for your loss. How long ago did you last hear from Lincoln? If it has been some time they may not respond and leave the issue alone although they legally may have rights to the back benefit portion. It is more a matter if they will pursue given the facts and circumstances.

    Stephen Jessup Jun 21, 2016  #729

  • TJ, the language establishing an offset due to SSDI would be in the section pertaining to sources of “Other Income.” Almost every employer provided disability policy I have reviewed has contained such provisions.

    Stephen Jessup Jun 21, 2016  #728

  • In June 2015, my husband woke up one morning with severe back pain. I took him to the hospital where they did a couple of xrays, gave him pain medication and sent him home saying that if he doesn’t feel better in 3 days he should see his physician. Well, he wasnt better so his physician ordered a MRI on his back. While reading the MRI the doctor questioned something they saw in his bones so blood work was ordered. He was diaginosed with chronic myleiod leukemia. He was put on short term disability, that his company paid 100% of his gross wage. It took the up until Late November before he was able to go back to work. In January, he was having severe chest pains so he was hospitalized to make sure that his daily chemo drug was not causing this. I failed to tell you that since he was diagnoised he was put on several different chemo drugs, trying to find one that wouldnt give him terrible side effects. Anyway, he was unable to go back to work so the insurance company assigned him a new claim number and he started receiving his benefits. He is ready to go back to work and is getting releases from his doctors. We got a call last week from the insurance company saying that they made a mistake and that he shouldnt have been receiving short term benefits but should have been getting long term disability pay. Now we are suppose to return the money to my husbands employer that we received since January. I realize that when he was applying for short term disability he had to sign a paper saying that if there was benefits paid by mistake that we would be responsible to pay those benefits back. But i believe that that paperwork was signed for the first claim. But seeing that the insurance company assigned it a new claim number no one caught it. And he did not sign any paperwork under the new claim number stating that he would pay back anything. Honstely, i feel that my husbands employer should go after the insurance company to get their money. The insurance company made a mistake and assigned it a new claim number. My husband and I and his employer were banking on the fact that the insurance company should know their job. Do you think that my husband and i should fight this?

    Mary and Randy Jun 19, 2016  #727

  • My girl friend who we had a child together, never married, when she was alive was being paid disability by Lincoln Financial because she was incapable of working. After she died I put in for social security benefits for my son. Social Security has been sending into my account each month a set amount, then they sent us a large check, about four weeks after we received the large check Lincoln Financial sent a letter stating that money was to go to them because on over payments to my girlfriend. I told them that my girlfriend had died and I was never a part of what ever agreement they had with her, and I was not going to send them any money back. I have not heard back from them, but if they do come back what is my recourse?

    JB Jun 17, 2016  #726

  • Dear Greg,
    How do I know if I owe my insurance company my social security award?? I called my former employer multiple times and even they don’t seem to know. I was counting on this money to pay bills. Being sick is awful. I cannot find any specific language that states a payback feature. I feel they are trying to screw me. Please advise before I do something stupid. Thanks TJ

    TJ Jun 17, 2016  #725

  • David, based on your noted medical conditions the only realistic ways I could see your policy only having a 24 month period of benefits are (1) if you are over the age of 65 at time of disability or (2) there is a limitation due to Neuromuscular/Musculoskeletal conditions. If those don’t apply then then 24 months period would likely just be the initial “own occupation” period, which after that timeframe you would have to show you are disabled from performing “any occupation” (however that is defined in your policy). Being denied with no advance warning is all too common. The denial letter will indicate rights to appeal. Please feel free to contact our office to discuss the denial and what we may be able to do to assist you in securing your benefits again.

    Stephen Jessup May 31, 2016  #724

  • Georgia, unfortunately, the carrier will request the whole amount back. As we are not tax professionals, you will need to speak with an accountant as to tax implications.

    Stephen Jessup May 30, 2016  #723

  • Kim, Liberty would be entitled to a repayment of any overpayment on account of receipt of SSDI. However, any money awarded to your attorney is exempt from the repayment.

    Stephen Jessup May 30, 2016  #722

  • I was approved for LTD in March 2014. In January 2016, I had a third hip replacement on my right hip; the 3rd total hip replacement on the same hip in 4.5 years. As of 27 May 2016, I am still under the care of my orthopedic surgeon, and recently was diagnosed by a vascular surgeon with peripheral artery disease and am scheduled for an angiogram/angioplasty on 8 June 2016. My LTD contract was for 24 months. All along, I’ve been told that as long as I was under the care of my doctor, and that doctor would not release me to return to work, I would be entitled to LTD even if it exceeds 24 months. Today I received a LTD check for half of the monthly amount and shows just 16 days of payment. The insurance company stopped my LTD without any notice. No phone call, no letter, no nothing. They cut me off 3 days before I was to see my orthopedic surgeon. The carrier knew when I was scheduled to see him. My carrier knew my orthopedic surgeon was not releasing me to return to work because of extended complications with my hip. Yet, the carrier just decided to stop my disability. I’ve not received any notice that I can appeal. Although the initial contract period is for 24 months, can an insurance carrier deny further disability payments without the right to appeal or request an independent medical exam?

    David B May 29, 2016  #721

  • My LTD policy was paid after tax so my payments are not taxable income. My SSDI payment was recently approved with 3 years of back pay of approx $40k, and auxiliary payments for my children totaling $20k. My husband is employed & exceeds $32,000/yr so a portion of my SSDI benefit is taxable. Will I be required to return all of the back pay & be left with the tax liability?

    GeorgiaPeach May 25, 2016  #720

  • I have been getting LTD from Liberty Mutual through my employer for almost a year. I’ve been denied SSD twice so I decided to get a lawyer that Liberty advised. If I am approved to get SSD will I have to pay the lawyer and money back to Liberty? That’s what they are saying. Trying to figure out if I’m putting myself in a hole by doing this.

    Kim May 23, 2016  #719

  • Scott, your long term disability carrier would only ever have a right to seek repayment for any period of time they paid you benefits and SSDI pays you benefits. If there is no overlap in those timeframes you would not have any overpayment.

    Stephen Jessup May 5, 2016  #718

  • Susan, it would rely very much in part on the language in your policy regarding offset for the SSDI. If you have a copy of your policy (or can secure one) please feel free to contact our office to discuss further.

    Stephen Jessup May 5, 2016  #717

  • OP, typically, we recommend the client send a check certified mail to the carrier directly, or if the carrier is amicable a wire transfer can work. You could certainly contact your husbands LTD carrier to discuss.

    Stephen Jessup May 5, 2016  #716

  • I receaved short term then it went to long term. I signed a paper saying if they helped me get my disability I would pay them back. Sence then they have cut me off i no longer receave ltd it’s been almost a year sence I have receaved any money. So I hired my own lawyer if I receave my disability will I have to pay back my longterm insurance sence they didn’t help me get it.

    Scott May 3, 2016  #715

  • I was diagnosed with thyroid cancer and had a thyroidectomy in July of 2013. I received short term disability, and was then approved for long term disability due to the fact that my body was not responding to synthetic thyroid replacement hormones. The LTD company made it very clear that I was covered only for this issue, as the rest of my medical problems were pre-existing conditions. They discontinued my benefits after 24 months, in October 2015. In April of 2016, an ALJ approved my SSD application ( after two denials ), and determined my disability date was July 31, 2013. The disabilities he took into consideration were the ones the LTD company specified they would not cover. Will I still have to pay them my entire back pay ? Thank you for your very helpful site !

    Susan May 3, 2016  #714

  • Thanks for the forum. We are wondering what the safest way to pay the overpayment is? My husband needs to pay his long term disability overpayment, and Allsup is the processing middle-man. We’re not comfortable with them withdrawing it directly from his account, in case that gives them free access in the future. Allsup seems very reputable, so I’m not implying anything, it just seems like a standard safety practice. Our bank says a wire transfer is safest, and the routing number given to us pulls up in their banking system. The LTD appeal attorney says to mail a cashiers check to them, so they can forward it to Allsup certified mail – that way Allsup can’t claim they didn’t receive it. He’s concerned they will put it in a drawer and not send it based on comments given in the past recommending withholding payment in case it goes to lawsuit, which he has no need for, he’s been approved for SSDI. Can anything go wrong with a wire? The bank says it’s safest because an unsigned certified check could be vulnerable if intercepted in the mail. Thank you for your advice.

    Overpayment Payment May 2, 2016  #713

  • Deb, yes, but if your disability policy is through your employer then your disability benefit will be offset (reduced) by the amount you receive from SSDI.

    Stephen Jessup Apr 26, 2016  #712

  • Abrum, although we certainly agree that it is unfair that the policies allow for this offset and courts uphold these provisions, Unum is legally able to offset your benefits by these funds. Until substantive change is made by Congress to address this issue these provisions will be legally enforeceable.

    Stephen Jessup Apr 25, 2016  #711

  • Can I collect ssdi and long term disablity?

    Deb Apr 24, 2016  #710

  • David, it sounds as if the carrier is arguing a pre-existing condition? Your fact pattern has many components. Please feel free to contact our office to discuss your claims with one of our disability attorneys.

    Stephen Jessup Apr 20, 2016  #709

  • I am on long term disability. The company (UNUM) required I apply for SSDI – which actually was approved first time through. (surprise). my child also receives SSDI. My child is required to file social security on the income and I am required to fill a form for government – showing how I spent the money or cared for my child with it (including put into savings account) – but UNUM feels it is their money. and so are withholding matching funds from my LTD claim. If the government sees it as my dependent’s money, how can the insurance state it is not? (I realize it is written into the contract they had with my employer, but they can also write in there that the sky is green – and it does not make it correct). How can I fight them on the ownership of the dependent’s money?

    Abrum Apr 19, 2016  #708

  • Jacqueline, unfortunately, the policies are typically written to allow for a reduction of your monthly benefit based upon dependent SSDI benefits, and courts have upheld such provisions as enforceable. That being said, please feel free to contact our office to discuss your claim in greater detail.

    Stephen Jessup Apr 19, 2016  #707

  • I was disabled originally in 2010 due to a neck injury received capturing a fleeing bank Robber (off duty P.O.). After many medical procedures I finally tried to see if I could physically work again. I went to work for an oil company. The entrance exam was so lax that I had no great problem slipping thru the process and my employer never asked if I had a disability or was on disability. I slipped by at work because my co-workers covered for me. How ever-changing attempt to become a productive worker failed and I ended up hurt once again.

    I awoke from a prostrate operation with a broken left thumb and a torn left rotator cuff. I asked the doctor if they dropped me and he said it could have happened on the way to recovery-but he didn’t do it-and I’d never be able to prove anything anyway. Right he was.

    Anyway, there I was…receiving LTD for my neck,as I had done for the previous 2 years and also a work check. I thought that my LTD had provisions that allowed me to try and see if I could work. Out of about 1200 hours total work, I spent about 505 hours at the doctors or off due to pain.

    When I went on STD for the shoulder injury. I could no longer do the job cause I physically was getting worse.

    So now my income was gone and I was left with two disability checks. Each attributed to different parts of my body.

    12/31/15 I went thru shoulder surgury. I figured this wouldn’t take too long, then I would have my hand fixed. After that the one insurance would drop and I would be on disability for my neck.

    Well, that’s where the honey turned to crap.

    My LTD sent me a letter cutting me off as of my 1st day of employ. This despite the fact that their main lawyer told me (talked to him after I received the letter) it was okay if I tried to go back to work-many try. He also said that there was ample medical documentation to support my disability. I explained to him that although I was “at” work- I could not do the work-hence the “new” disability.

    Then, without even giving any options, My LTD was cut off. The cutoff date set the first day of employ. I at least thought they would take some kind of payments out of a reduced continued benefit. Nope. Pay it all back. Disabled or not. Forget your future neck surgury cause it ain’t happining.

    Now my Disability with the shoulder calls today and says that they too are cutting me off. I explain that I cannot move my left arm, and that my doctor just sent them notice that I could not work, not to mention a hand that is useless.

    They calmly stated that I hadn’t worked long enough to receive LTD thru them. Most people work more than that before they get an injury. I tell them that due to my position-I was fully covered on the very first day of employ and paid my premiums faithfully. This doesn’t seem to matter and my caseworker said they will terminate my benefit this week.

    So here I lay. Neck issues and great pain- for the rest of my life AND an arm and hand that I can no longer afford to treat. So medically jacked up that I couldn’t possibly even attempt to obtain a job. Just before they cut off my neck benefit the doctors found additional problems in my C5 and C7. Go figure.

    I have the option of appealing the LTD neck issue. Do I need a lawyer?

    How can the current disability cut me off while I am still in recovery? In spite of the doctors saying I can not work?Despite the fact that I was fully covered my first day of employ and paid my premiums?

    One more thing. What can the LTD folks come after? Too big and too powerful for the common man to prevail against. Can they come after my wife’s money? Can they come after my wife’s companies revenues?Can they come after my wife’s land?

    Any help, advice or insight would be appreciated.

    David Apr 19, 2016  #706

  • I worked for my law firm for 10 years until I suddenly became stricken with horrible migraines/Occipital neuralgia/Cervicogenic headaches, Rheumatoid arthritis, fibromyalgia, osteoarthritis, cervical myolpathy, cervical spondyliosis, lumbar myopathy, DDD…
    I worked under these conditions for over a year until it became unbearable and too many doctors appointments, pain and surgeries began affecting my work.
    I went on STD disability through the company my office provided which ultimately led into long-term disability. I filed for SEX benefits and was finally awarded permanent disability 2 years after my official last day of work with a award date of 1 year after I stopped working. So i knew that back pay was imminent. However, my LTD company was initially paying me 40% of my monthly income every month and that was paid to me directly. Once my children started receiving SSDI benefits on my behalf it was made payable to each of them directly to each of them and filed under their SS number. Keep in mind they are 7 and 9 yrs old. So if my LTD company was initially paying me only/directly based on my full salary amount from my employers choice to carry this coverage for their employees. Why does the LTD company now state they are entitled to the money my children receive separately as back pay as well as deducting it from my original 40%. Initially LTD paid me to my ss# $2219.00 a month. Now I receive 1299.00 from SSD monthly to my ss# and each of my children receive $355.00 separately to each of their SS#’s leaving only 219.00 a month coming to me from LTD. Which in 2015 completely changed my tax filing status because I was no longer receiving sick pay as stated on my LTD w-2 and I didn’t receive the 219.00 monthly because it was being used to payoff my back pay. This year I filed my taxes based on my DAD income of 1299.00 a month had 21000.00 medical expenses, could not receive the child tax credit…nor receive credit for any other expenses like interest, taxes… Last year when filing using LTD INCOME MY RETURN WAS $7500.00 THIS YEAR MY EXPENSES are actually more but my refund is only $48.00. Sorry for the 3 part question but I am a recently divorced, disabled and single mom of 2 children. I don’t have any other way of income and was counting on my income tax returns. Plus I don’t believe that the money my children receive separately from ss on my behalf should be excluded from the amount my ldt company sends me monthly especially if I am receiving that money for them under their ss# for the soul purpose of using it to help me provide for them. I even have to have separate accounts for them and filed out a form at the end of the year allocating the money and showing leftovers. I can’t even file their money on my taxes as it’s not my income.



    JACQUELINE Apr 18, 2016  #705

  • Ann, if you do not have an active claim for benefits I wouldn’t imagine the carrier would bother you or request information unless they were investigating any potential overpayment issues prior to the claim ending. Is your carrier requesting your taxes since your claim closed?

    Stephen Jessup Apr 15, 2016  #704

  • Trevor, the carrier would be allowed to reduce your benefit due to a source of other income, in this case it appears SSDI, and withhold payments until the overpayment is repaid. They should have explained everything in writing. If you have received a letter please feel free to contact our office to discuss, and if not, I suggest you request their explanation in writing.

    Stephen Jessup Apr 14, 2016  #703

  • If you are well enough to be off of LTD can the LTD still hound you for your taxes when its a closed claim? Or can they give you problems with anything through the years you were on LTD? Thank you for answering these questions and for having a site like this.

    Ann Apr 13, 2016  #702

  • Jennifer, for purposes of the policy it would likely have the same net effect with respect to offset income if your disability is due to the negligence of a third party (i.e.- auto accident)

    Stephen Jessup Apr 13, 2016  #701

  • Was award full disability 1800 a month after sometime received a letter stating that I was over paid an cut my check down to 349.00 a month an received this amount now for a year. In March did not receive my check called them they stated that I would not receive any until 2022 that’s when my over payment will be caught up.My question can they just do this I have no other means of paying my bills leaves me with nothing and a child to raise?

    Trevor B. Apr 13, 2016  #700

  • My Mutual of Omaha LTD policy states that my benefits may be reduced by the following ‘Other income benefits’:

    Any amounts received by a compromise or settlement of any claim for permitted offsets (less attorney’s fees).

    I have a pending lawsuit for my injuries. Is a ‘compromise or settlement’ the same as winning a lawsuit/going to trial?

    Jennifer Apr 11, 2016  #699

  • Ann, I do not think you need to worry about the carrier taking any action or making inquiry on the loan as it is not earnings in the context of work of income sources that would be considered an offset.

    Stephen Jessup Apr 11, 2016  #698

  • And would there be a penalty for not writing the loan down when the ERISA had declined benefits that year so i didn’t receive any paper work for benefits. Then I won my benefits at the end of that year. It was every confusing

    Ann Apr 9, 2016  #697

  • No I have an ERISA. I’m out on a mental condition and didn’t realize I may have needed to put it down on the annual paperwork. Will that cause problems with my claim if I report it or should I just let it be?

    Ann Apr 9, 2016  #696

  • Ann, a loan would not qualify as income that would be subject to an offset provision in any insurance policy I have seen. Is a carrier asking?

    Stephen Jessup Apr 5, 2016  #695

  • If you had a loan and left work and couldn’t pay it all of. Having that part of the loan on your tax return is that real income that your LTD will want?

    Ann Apr 2, 2016  #694

  • Dawn, I would have to defer to the language of the MetLife policy. However, it is most likely that the policy will state if you draw any retirement from an employer plan that it would be deemed an offset under the plan. Therefore, review what it indicates as sources of other income, and you can even go so far as to ask MetLife to answer the question in writing.

    Stephen Jessup Mar 30, 2016  #693

  • Amazing! Almost everything I’ve read on here shows that the LTD benefits don’t have to pay if there is some other source of income from another entity that the payer of the insurance also paid into which makes this insurance quite the scam, at least morally. What someone has paid into should be theirs regardless. An “offset” clause is a scam and immoral. It’s hurtful to those participating via premiums paid and are legitimately disabled. I guess in LTD cases, folks typically “DON’T get what they’ve paid for.” This needs to change and fast. Thank you for you expert advise that has brought all this to light.

    Enlightened in Texas Mar 30, 2016  #692

  • Nancy, an insurance carrier can request tax returns in order to verify whether you are receiving sources of other income. Generally speaking the insurance carrier will request the tax information from the insured directly.

    Stephen Jessup Mar 29, 2016  #691

  • Nancy, there does stand a likely chance that they will consider it an offset under the policy if the funds originated from a pension or retirement from your employer. However, if it did not, it may not be subject to offset. Please feel free to contact our office to discuss further.

    Stephen Jessup Mar 29, 2016  #690

  • My husband is on LTD through Metlife he has been since he got nerve damage in his spine. Today we got a letter from Empower about his savings an investment plan, telling us what is in it and our options of what to do with the amount that is in it. I am wondering if we do take that money does it affect his LTD he gets from Metlife. We really could use it for bills but don’t want to take it if it will mean he will no longer get his money LTD check. Could you maybe shed some light on this for me?

    Dawn Mar 28, 2016  #689

  • Hi can your LTD ERISA look into your taxes? Do they have to ask you at any given time. And do they ask for your copy or right to the IRS?

    Nancy Mar 26, 2016  #688

  • My financial advisor told me I could take money from my IRA to buy a bill off. I being bipolar never thought that that isn’t right. Now I don’t know if my mental condition would be consider When I tell my LTD of the over pay. And if they would reduce my monthly payment from them or have it in a lump sum?

    Nancy Mar 26, 2016  #687

  • Sandy, have you received the official award letter? If so, have you provided it to Cigna? Based on your fact pattern I do not know how Cigna can claim entitlement to money that was never paid.

    Stephen Jessup Mar 24, 2016  #686

  • Pat, the carrier would arguably have rights to any money paid due to SSDI for the period of May 2013-2015. However, as it has been almost a year since your claim ended I am not sure how likely it is the insurance carrier contacts you regarding the overpayment. Did you use the carrier’s designated service or your own attorney?

    Stephen Jessup Mar 23, 2016  #685

  • Bee, it would depend on the timeframe of the recovery. It if is well before your disability and the amount wasn’t used to determine Pre-Disability Earnings (which arguably it wouldn’t be seeing as the employer didn’t pay you the money) I don’t know if you would have a problem. Additionally, it would arguably be for earnings prior to disability anyway, so not a situation creating an offset on account of work earnings. Of note though, as your disability benefit is based on the pre-disability earnings it may create a situation where the insurance company may be underpaying you. However, without more detail though we would not be able to say. Please feel free to contact our office to discuss further.

    Stephen Jessup Mar 23, 2016  #684

  • My husband was injured at work and had LTC with CIGNA. They hired a company ALLSUP to assist my husband in qualifying for SSIDI. Once he was awarded his disability the judge did not award him back to the date he was eligible to draw this 1/1/2013 instead awarded it to him 8/1/2013. Cigna is attempting to collect money related to offset during above time period for money he never received. How can this be legal?

    Sandy Mar 22, 2016  #683

  • Hello

    Received LTD for 24 months at amount of $3790.15 per month from May 2013 thru May 2015. Just received letter from SS that I was approved for SSDI in the amount of $1780 month. The SSDI back pay amount will be $59,800. Since I no longer have LTD insuraance, is the insurance company still eligible to collect my back pay?? If so can they request the whole $59800 or will the only collect the over payment amount during the time of I was receiving my LTD??

    Pat Mar 21, 2016  #682

  • I’m expecting back-overtime pay from a misclassification lawsuit from my ex-employer from several years back before my disability. Will my LTD insurance company be able to claim an overpayment? Here is the language of the policy that I think applies:

    “Any earnings or compensation included in Predisability Earnings which you receive or are eligible to receive while LTD Benefits are payable.”

    Thank you!

    Bee Mar 21, 2016  #681

  • Sherry, if SSDI awards you more than your LTD benefit, you would only be responsible for refunding the amount the insurance carrier paid you ($1,000/mo) for any overlapping months. With respect to your LTD benefit, it would be $0 after an offset unless your policy has a minimum monthly benefit, which is usually around $100.00. So SSDI would pay you $1500 and your carrier would possibly pay you $100 a month. I hope this answers your question.

    Stephen Jessup Mar 17, 2016  #680

  • Adam, you would only be obligated under the policy to repay Standard for any period of time they covered you. So yes, you are correct. Although your claim was denied again on appeal you would still have rights to file a lawsuit in federal court. If you are interested in discussing that possibility, please feel free to contact our office.

    Stephen Jessup Mar 16, 2016  #679

  • I have been receiving LTD since 2013 from an insurance co. If i was receiving 1000 from them each month and ssdi awards me 1500 a month plus backpay, would i be able to keep the difference and just pay what the insurance company paid me.

    Sherry G. Mar 15, 2016  #678

  • I was cut off from LTD by the Standard in May, 2015, despite appealing their denial. I began receiving Long Term Disability in January, 2013. I was, however, approved for Social Security on February 25th, 2016 with an onset date of August, 31st, 2012.

    I understand that I owe the LTD company “overpayment” for what they’ve paid me from my SSDI back pay. However, do I owe LTD the backpay from when I was NOT covered? Since they stopped insuring me in May, is it safe to assume that I should be able to keep my backpay covering May 2015 – February 2016? I am in desperate need of this money, as I have lost all income for almost a year now.

    Adam Mar 15, 2016  #677

  • Scott, you will need to consult with a Texas based family law attorney to determine what your rights are.

    Stephen Jessup Mar 14, 2016  #676

  • Help in Texas.
    I have a long term disability policy with Cigna. It was paid for by my employer and the payment removed from my check. I also receive a social security monthly payment. I am a 3 time cancer survivor who suffers from a number of issues. No left lung, 3rd rib removed. #1,2 & 4 ribs have a compound fracture since 2010. They won’t heal correctly because of too much radiation. I am going through a divorce. My soon to be ex wife and her attorney have found “case law” in Texas that says she’s gets 1/2 of my Cigna disability payment. That seems so absurd to me. To make matters worse “if” I could work I am being told that I can’t because I would be in direct violation of the court order for me to pay her 1/2. If I report any income Cigna will reduce the amount they pay me and ultimately pay her.
    Is there any law in my favor? I agreed to pay her what she originally asked for but now she wants triple that amount. Any direction would be great.

    Scott C Mar 10, 2016  #675

  • Gyg, I doubt it would be considered income, but they would certainly look at it as potential evidence of ability to work. MetLife is beginning to offer lump sum buyouts on claims- it may be worth considering. Please feel free to contact our office if you would like to discuss.

    Stephen Jessup Mar 4, 2016  #674

  • Kathy, as we are not tax professionals we cannot give you any advice. Please consult with an accountant or other qualified tax professional to discuss your tax implications.

    Stephen Jessup Mar 3, 2016  #673

  • I have been receiving SSDI and LTD thru metlife and I live in Tx. My medical conditions will get worse over time. My employment was terminated of course. If I attempt to work for 1 hour I will lose my LTD/ METLIFE benefits. I would like to try to transition to a field that I may be able to do before I am fully incapicitated. If I work out with an employer to not take a salary but accept their benefits and exchange salary for education and training is this considered income that I must report to the LTD/metlife. SS would be very happy for me to try this.

    Gyg Mar 3, 2016  #672

  • In March 2015 I received my Social Security Disability lump sum check. My long term disability insurance took their portion.
    Problem comes in when I received my form for filing my taxes this year. I already paid taxes on the portion my long term disability insurance company took, but the form showing my total income for 2015 from social security includes everything that my long term disability insurance took.

    Kathy M. Mar 1, 2016  #671

  • Harold, Cigna would only ever had rights to collect a repayment for any overlapping period of time in which they paid your benefit and SSDI has awarded benefits.

    Stephen Jessup Feb 29, 2016  #670

  • My employer only offers through Cigna a short term disability policy. 10 months ago my two year plan ran out and I have since had no benefits. 1 month ago I was approved at my Social Security hearing for Social Security disability. My question is; is Cigna entitled to all of my back pay or is there some way that for the last 10 months that portion of my back pay would actually come to me?

    Harold P. Feb 28, 2016  #669

  • FSC, that is definitely an interesting pattern. Arguably, if your dependent received a benefit based on your disability then the carrier would have a right to offset. However, if the SSA is arguing money is owed back to them as your child should have had their own benefit then there is some argument to be made. Regardless, if your child aged out of DSSDI, then the carrier needs to pick up that tab. If you would like to discuss further please feel free to contact our office.

    Stephen Jessup Feb 17, 2016  #668

  • As I understand it, the carrier is no longer withholding the DSSDI offset (they have increased payments by the original amount Social Security paid my dependents before COLA increases). The new benefit payment amount was started eleven months after my last dependent would have aged out of DSSDI — that is more than thirteen months after they were notified. I first notified the insurance carrier about the upcoming change about eighteen months ago.
    So, the real question is, since Social Security has now declared that my youngest child’s DSSDI was really his own SSDI (retroactively from birth), should the insurance carrier pay back all money offset for his Social Security payments, or just for the eleven months (payments missed since the time he would have aged out)?

    FSC Feb 17, 2016  #667

  • FSC, are they still withholding any portion of your monthly benefit? How long ago did you notify them?

    Stephen Jessup Feb 16, 2016  #666

  • I am a disabled man with five children. All of my children are now aged out of eligibility for DSSDI. I notified my insurance carrier of a change in status (as required) before my last child’s 18th birthday. The insurance carrier stated that they required a DSSDI termination notice from Social Security before they would adjust benefit payments. Social Security then determined that the last child was disabled and qualified for their own SSDI from birth on. Social Security produced a letter saying that the child qualified for their own SSDI, but would/could not produce a benefit termination letter since the individual, from their perspective, was still receiving benefits. After sending the carrier available documentation for many months, they adjusted my benefits payment — but did not pay for any of the missed months.

    Technically, I strongly suspect that the carrier owes me for all of the missed months following my fourth child aging out of DSSDI (since according to Social Security I stopped receiving DSSDI payments attributable to my disability when my fourth child aged out). I notified the carrier that I had sent their required status change notification, and that the benefit adjustment should have started at that point — I received no response. What should I do next?

    FSC Feb 16, 2016  #665

  • Ellen, many policies will indicate that the carrier has a right to seek repayment of any overpayment even if it is a mistake on their part. I assume you advised them that your child was receiving the DSSDI benefit?

    Stephen Jessup Feb 9, 2016  #664

  • Kimmy, some policies do state that overpayment repayments can be required even if the mistake is with the insurance carrier. Please feel free to contact our office when you receive the letter from them so we can discuss to let you know your options.

    Stephen Jessup Feb 6, 2016  #663

  • My question is where here is my situation. My long term disability company overpaid me for the last 6 years because they did not deduct my question is were here is my situation. My long term disability company over paid me for the last 6 years because they did not do. Children’s benefits. They have said it is their fault however are still asking for a repayment which equals $54,000. My question is give Hannah they have stated it is their fault are they allowed after 6 years to ask for a repayment of this kind of money. I have spoken to many people at my long term disability company who have definitely said it is their faults engine oversight on their part. Can they can’t hold me liable for their mistake? Thank you

    Ellen Feb 5, 2016  #662

  • My husband went on std in Aug 2014 and after 6 months was put on ltd. We just got a call from the carrier that there was a mistake they made with the initial claim and that he should not have been eligible. They are telling us we have to pay back all of the std and the ltd benefits. Can they do this to us being this was clearly their mistake?

    KImmy Feb 5, 2016  #661

  • Francis, under the policy if you exercise any portion of the pension and receive funds it will most likely be an offset. Double check your policy as some explicitly exclude 401(k) and other deferred compensation plans from offset.

    Stephen Jessup Jan 27, 2016  #660

  • Joao, if you received a letter that your benefits are being terminated you will have to go through the administrative appeal process to try to secure benefits again. Please feel free to contact our office to discuss same, as well as the issue regarding the estimated SSDI offset Reliance withheld.

    Stephen Jessup Jan 27, 2016  #659

  • I am currently on LTD from MetLife and had to resign from my job. I have a pension and my company wants to know what I want to do with my pension, roll over, cash out or? I have contacted MetLife to find out what would happen if I cashed out to my LTD benefits and was informed that it would be considered an offset. My question is what if I were to roll it over to a 401k, could I get a loan on it and have it not be an offset? I could really use the money right now.

    Francis M. Jan 26, 2016  #658

  • Hi. Last month I receive a letter from Reliance saying that it was my last payment due to a surveillance from back in august there dr decided that I was able to work. Well I call them and told them that what I was doing it was part of my rehab. From my dr. I did physical therapy several times and went trough pain managemnt classes, so that was part of my progress and because of the pain I had to stop and only taking medication to deal with the pain. I also ask them one more time about my money that they were off setting for estimating for ssdi which I never was awarded. My case has been denied by the judge and we have apealed again for the second time, I was told that since my first appeal was denied by Reliance on december 2014 that I have to write them another letter. I told them this was there mistake, I signed a reembursement letter on 2013 for them not to hold any money because of financial hardship and still they went ahead and did it, they even told me they never received my letter and when I ask them to check my file, the letter was there and they apologize but only stopped the holding the estimate but never paid me back the balance. That’s 10 months and I hope I don’t have to pay attorney fees to recover that money. Any toughts. Please help.

    Joao V. Jan 26, 2016  #657

  • Valeri, they were deducting it as tax withholdings? If so, you will need to consult with them with respect to the fact that you do not pay into Social Security or Medicare.

    Stephen Jessup Jan 24, 2016  #656

  • I am city employee and I don’t pay into social security or Medicare. I received LTD and they deducted both social security and Medicare from my payments/checks. Is that ok? And why? If I don’t pay into thie why would they deduct and send money?

    Valeri Jan 23, 2016  #655

  • Ellen, your employer policy almost certainly requires you to apply. If you fail to do so the insurance company would be able to estimate what you would receive from SSDI and reduce your benefit by that amount.

    Stephen Jessup Jan 22, 2016  #654

  • Can an employer group based long term disability insurance company require a claimant to file for SSDI, or the claimant will be denied benefits?

    Ellen Jan 22, 2016  #653

  • I am trying to understand all of this. My husband’s employer forced him to leave work because of disability from his back over 2 years ago. After a few months he did start getting a disability check from Cigna which has been stressful because of their frequent threats to discontinue. He has been also fighting SS disability because cigna also pushed that. He is almost 62 years old. Social Security has still not started and Cigna recently sent a letter telling him they were cutting off checks.

    Where are the rights of the disabled person? Social Security leaves you hanging and disability holds all the cards. On top of this if a person is awarded any back pay from social security now I am hearing this all has to be given to disability insurance. This part I really don’t understand because if a person has disability insurance it is there to give you peace of mind during the time you can’t work and have no income. But what I am hearing is that it is a loan and they want the money back at the end of it all. It all sounds to me like another way the insurance companies come out ahead and the person unable to work is left with nothing. To me, this seems unethical and immoral… I am sorry, but it makes me very angry. Insurance companies are out for themselves. You are backed in a corner… can’t work… still have bills… you have to take it… it’s been paid for you to use… but wait a minute… you have to pay it back at the end of the day… so it’s not really insurance, it’s a loan… people go through emotional stress, financial disaster and ruin… not to mention pain and suffering… they get harrassed from bill collectors… they lose homes and vehicles… and once it’s all said and done… they have to give the “poor” insurance company money back. Not like the insurance company was paying anyone enough to actually live off of… it’s all a shame… so the rich get richer and the poor get poorer and the working man continues to work until he either drops dead or has to go through all of the above. So much for the American dream…

    Gwen H. Jan 9, 2016  #652

  • Anthony,

    In your scenario they would most likely recover it all in one month. However, since there would be a right to offset it may not make sense to draw on any accounts as it would essentially be the same as handing the money over to Standard as opposed to keeping it for your retirement.

    Stephen Jessup Jan 7, 2016  #651

  • Gary,

    If SSDI is paying $1356.00 a month, the overpayment would be that amount, not the difference of $510.00. If there was an attorney fee awarded to your SSDI attorney notify the carrier as that should not be part of any overpayment calculation. Additionally, please be advised that if the carrier paid additional months at the full amount it could result in a great overpayment amount than the back benefit check.

    Stephen Jessup Jan 6, 2016  #650

  • Standard Insurance Language “If you are paid Deductible Income in a lump sum or by a method other than monthly, we will determine your LTD Benefit using a prorated amount. We will use the period of time to which the Deductible Income applies. If no period of time is stated, we will use a reasonable one.”

    If I draw a lump sum from my investment account (rolled over from retirement to investment plan) will it be divided by the amount that they would pay me or will it only affect 1 month. For instance if they have to pay me $500 a month and I withdraw $5000, does that mean they can count the amount against 10 months or only one month?

    Anthony Jan 6, 2016  #649

  • I was getting $1,866.00 a month in LTD benefits, going back to December 2013. I was awarded SSDI in August of 2015. My SSDI amount would be $1356.00 a month, retroactive backpay would go back to December 2013. If the calculation is right, would that be an overpayment of $510.00 a month from LTD? Now the LTD company wants back about $7,000.00 more than what I got back in SSDI backpay. I can make payments, but would it be best to get an attorney. The employer that handled the LTD paperwork, also got a paper stating that work stress made my symptoms worse(mental).

    Gary B. Jan 5, 2016  #648

  • So Tired,

    Standard policies almost always allow for offset (and back pay recovery) for primary and dependent SSDI claims. However, if your claim is already being offset by retirement they would be limited as to what they could recover in that the math shouldn’t work out that you would owe the entirety of the SSDI back pay. Your policy also most likely contains a minimum monthly benefit amount that Standard would have to pay regardless of all sources of offset. This is usually $100 a month. You would still be entitled to that amount. Your decision is to continue to pursue the LTD claim through appeal, or walk away from the Standard claim if it isn’t worth the headache for the amount to be paid. However, please note that Standard would still have rights to recover of any applicable SSDI back pay regardless of what course of action you decide to take.

    Stephen Jessup Dec 22, 2015  #647

  • Hi & thank you in advance for your time. I received supplemental LTD for 3.5 yrs through Standard (possibly non-erisa…government entity) that I paid the premiums on. Standard recently stopped paying a month before my ssdi hearing (that they knew the exact date of) stating that I could go back to work doing sedentary work. All my doctors & specialists say I can’t. The alj approved my ssdi claim during the hearing but did not set an onset date. Would Standard be able to seek my backpay, if any? They already offset my retirement pension lump sum for the monthly payments over the years also. Also if my anticipated backpay covered what they actually paid me, could they seek my children’s backpay? Thanks!

    So Tired of Standard Dec 20, 2015  #646

  • Zach,

    Have your father obtain a copy of his Aetna policy. All enumerated sources of Other Income will be set forth. Quite often, VA benefits are not an offset, but this is dependent on the policy provisions.

    Stephen Jessup Dec 14, 2015  #645

  • Vicki,

    Your disability policy will dictate the what is subject to offset and how it is recollected. The language usually states the amount received from SSDI (so it does not take into account SS or medicare taxes) but will almost always indicate a COLA increase to a source of Other Income is not subject to offset.

    Stephen Jessup Dec 14, 2015  #644

  • My father, a Vietnam Vet, has been receiving disability compensation from Aetna. Recently, he has been awarded VA disability compensation. He is concerned that Aetna will require him to pay back the compensation amount they have paid him in light of his recent VA compensation. Is there anyway to avoid that happening?

    Zach Dec 13, 2015  #643

  • Hi. I know i will be paying ssdi back pay to my ltd carrier. But why isnt that amount reduced by the ss and medicare taxes i paid out of the ltd ? Second, why not also reduced for any COLA from ssdi back pay? Finally, if the overpayment was by an employer rather than ltd, repayments in same year are supposed to be for net and not gross while repayment for prior years is for gross (minus the ss and medicare taxes)- does ltd for reimbursement behave the same way for overpayment in the same year? (Note that for these questions i am NOT talking about federal taxes paid on past LTD – i know how to recoup those). Thanks much

    Vicki Dec 13, 2015  #642

  • Dawn,

    No- your claim will still be governed by the original policy with the original company in place when you went out on disability.

    Stephen Jessup Nov 30, 2015  #641

  • Hello I have been receiving LTD and have the employer plan of until I am 65. I have been on LTD for about a year and a half. My company is changing insurance companies as of January for their benefits and I see they only show a short term disability carrier and it is not Metlife. Does that mean my benefits will be taken away from me? I have received no letters from anyone stating my benefits will stop..
    Thank you, Dawn

    Dawn Nov 29, 2015  #640

  • Eddie,

    Receipt of SSDI does not mean that MetLife will have to also approve your claim, but it does have to consider the information from the SSA as part of its global review. Needless to say though, receipt of SSDI is strong evidence of disability. Has MetLife formally denied your claim? Have you appealed? Please feel free to contact our office to discuss your claim in greater detail.

    Stephen Jessup Nov 24, 2015  #639

  • My employer has approved my disability via the ADA. Metlife is refusing to approve and pay me on disability, but it looks like SSD will approve me for disability. If SSD approves me, will Metlife have to abide by NY state’s SSD decision, approve my disability and then give me my back pay? I don’t want to have to hire an attorney, but if the state decides that I’m disabled and Metlife doesn’t give me my back pay, I will take them to court.

    Eddie Nov 24, 2015  #638

  • Tina,

    You will need to consult with an accountant or other tax expert as to your questions.

    Stephen Jessup Nov 23, 2015  #637

  • I receive private insurer (MetLife) disability payment – not taxable, I have also recently been approved for SSDI and sent back payment for 3 years (large amount) to Metlife. Social Security is going to report this as income. I sent this money to MetLife, can I deduct (from my income taxes) this amount since I paid to Metlife? Also can I deduct future offset due to SSDI from my income taxes? I have contacted Metlife and they have repeatedly said they cannot issue me a tax document to offset the income reported by SSDI. It doesn’t seem like I should not have to pay income taxes on money I reimbursed to a third party whose payment to me is not taxable.

    Tina Nov 23, 2015  #636

  • Angie,

    Your carrier will certainly request at the least an annual financial update form and request information regarding your benefit. The policy would not allow them to offset any COLA increase, but they would be entitled to an overpayment based on the re-calculation of benefits.

    Stephen Jessup Nov 18, 2015  #635

  • I became disabled in Sept. 2014. I began receiving long term disability insurance payments in Dec. 2014 after my sick leave and vacation pay ended. I applied for SSDI in Nov. 2014 and was approved in Jan. 2015 (very fast), effective March 2015. In March 2015 my LTD insurance company reduced their payment by the amount of SSDI I was receiving. All this is fine, and I understand it, and have no problem with it.

    But today I received a letter from Social Security saying they miscalculated my SSDI payment because they did not have my 2014 income figures available, and because I got a raise in 2014 they underpaid me for 11 months by $50 per month. They are sending me a check in Dec. 2015 that includes the $450 underpayment, plus they are increasing my SSDI check by $50 per month effective Dec. 2015.

    My question is: will the LTD insurance company know about this and ask me to reimburse them $450, and will they decrease my LTD check by $50 per month in future? In other words, does Social Security notify them of the underpayment, and am I required to notify them of the underpayment? As far as I can tell from reading through the documents I signed for the insurance company, they are not notified by Social Security of changes in my approved SSDI payment, and I am not required to inform them of any corrections in SSDI payments, but I wanted to ask an expert about this.

    Angie R. Nov 17, 2015  #634

  • Vic,

    Many disability policies contain a provision in the Other Income section that indicate proceeds of a settlement stemming from the negligence of a third party (car accident for instance) that led to disability is an offset under the policy; or the policy may contain a clear right to subrogation later. If the policy indicates that the carrier can reduce the benefit by the aforementioned then it is legal for the company to do. Please note that it is not always clear cut and if that is the case it is very much worth challenging. Please feel free to contact our office to discuss the situation further.

    Stephen Jessup Nov 17, 2015  #633

  • Hi,
    Recently my mom was awarded a settlement for the disability claim she filed for her injuries sustained. Now a month after her LTD is notifying her that because of the Settlement her monthly payments will be reduced. Is this possible or legal? I went through the wording of her plan and saw no language reflecting this. Is it possible that it is a California code that allows them to issue a claim on her settlement? Thank you for your Time.

    Vic Nov 16, 2015  #632

  • Stephen,

    If you do not have a private or employer provided disability policy then we would unfortunately not be able to assist you. Your only option for coverage may be Social Security Disability.

    Stephen Jessup Nov 14, 2015  #631

  • I recently was diagnosed with cancer and it’s spreading. Before that I bought a new vehicle so bills are piling up. I do work full time but my dr wants me to go on disability. I have no idea what insurance co. Can help with my issue?

    Stephen Nov 13, 2015  #630

  • Mike,

    If your claim was initially denied over three years ago your statute of limitations to file a lawsuit may have already passed.

    Stephen Jessup Nov 9, 2015  #629

  • I’m suppose to be receiving ltd benefits through Cigna insurance company. I was a contractor for the government and was injured in Iraq in 2008, I receive benefits from social security had a settlement from insurance company thought those benefits ended because of settlement. But found out that I should be receiving them I filed appeal and was denied they say I’m 80% able to work which is not the case I still receive benefits from social security and per the ltd contract if social security says I’m disabled they are suppose to agree with what they say. I never got any letter stating they terminated my benefits the lawyer I had for my case is no help now he made his money cigna said they sent him letter he said he never got a letter from them. I have no clue what to do its been 3 years now I haven’t been receiving those benefits. I can use some help, thank you.

    Mike M. Nov 8, 2015  #628

  • Bill,

    Please feel free to contact our office in the future should you need any assistance or have any questions.

    Stephen Jessup Nov 6, 2015  #627

  • Not much has changed since the first appeal. other than my Kidney Doc upgraded me from stage 3 to stage 4 CKD. I was told even if I didn’t submit anything but a letter requesting the appeal, it would be reviewed by a different team. So I have a letter of support from my RA Doc and I plan on getting one from my PCP, pulmonologist, and Kidney Doc. and submit that as my 2nd appeal. If that appeal is not successful I will have to hire a law firm to file suite. I plan on submitting the 2nd appeal within the next 2 weeks.

    Bill Nov 3, 2015  #626

  • Bill,

    Have you already submitted your second appeal? As for the offset issue- in many policies 401(k) or other deferred compensation plans are not considered source of Other Income subject to offset. However, you will definitely need to review your policy to determine how Prudential is defining it.

    Stephen Jessup Nov 3, 2015  #625

  • I became disabled in Jan. 2013 and filed and received my std benefits. Then after 6 months I filed for LTD benefits and and they started paying me. I filed for SSD and was approved and everything was fine. I paid Prudential the offset funds received from SSD. Then in November 2014 Prudential decided I was no longer disabled but could do a desk job. I have appealed and they upheld their decision to deny my ltd benefits. I am in the process of my 2nd appeal. I have really had it rough living on only SSD and have not drawn any money from my 401k for fear they would offset any money I would get if my appeal was successful. I have been supplementing my income with credit cards. I am disabled because of RA, OA, Kidney failure upgraded to stage 4 within the last month, (it was stage 3) , and sleep apnia. I am looking at at least another 45 days or 2 months if they approve my appeal and even longer if I have to hire an atty and sue them. I have now used up most of the credit I had in cards to live on. My question is if I take money out of my 401k to live while appealing or even if I have to file suite, can they offset my award of back benefits by what I take out of my 401k? They really have me in a bind financially. Is there any way I can access money in my 401k (IRA) to live on and not have my back pay from prudential offset? (when I retired my 401k was rolled to a mutual fund IRA) I am 63 years old.
    Thanks ,

    Bill Nov 3, 2015  #624

  • Jon,

    As indicated throughout our site, employer provided disability policies require insureds to pursue sources of other income – such as SSDI, as it is an offset under the policy. The policy will also indicate that failure to seek sources of other income, in this case SSDI, will result in the carrier estimating what the amount would be and offsetting the benefit – so it is very much in your relative’s interest to apply for SSDI on account of same.

    Stephen Jessup Nov 2, 2015  #623

  • A Relative of mine is receiving Employer Long Term Disability Payments through MetLife…MetLife is now insisting they apply for SSDI…is this a good idea?

    Jon Oct 29, 2015  #622

  • Otto,

    Aetna will more than likely not consider any buyouts while SSDI is pending.

    Stephen Jessup Oct 19, 2015  #621

  • I am interested in a buyout of my long term disability plan with Aetna. I hat applied for SSDI and they’ve appointed Allsup as my representative. I’m currently waiting to see an ALJ which here in Ga. I will have about 15 to 20 months to. Do you think that Allsup will drop my case? I only receive 1901.00 a month from Aetna. I’m the only one that receives an Income in my house hold.

    Otto R. Oct 18, 2015  #620

  • Good question Eddie….

    My husband was awarded a large back pay amount for SSDI, but we had to pay back MetLife. We had paid the taxes on the MetLife payments from the two prior years, but this past year (2014 taxes), we were taxed AGAIN on the back pay. We had proof that it went back to MetLife, but how is it fair that we paid taxes for all of that in 2012 and 2013 and then owe even MORE in 2014 since the amount was large? We went to Jackson Hewitt and they said that it is just because they are seeing it as income, even though we did not keep it. Makes me sick!

    Jeannie Oct 15, 2015  #619

  • Ed,

    Unfortunately, as we are not tax professionals we cannot give you any advice as to preparation of taxes. You will need to consult with a tax professional as to same.

    Stephen Jessup Oct 15, 2015  #618

  • I was awarded ssdi and had to pay back my overpayment to my ltd insurance company my question is, is the amount I paid them back is deductible at tax time. Thank You Ed

    Eddie Oct 12, 2015  #617

  • Liz,

    Please contact our office so we can review the letters from MetLife regarding the overpayment. MetLife cannot demand more money back from an offset than what you (or your dependents) received from the SSA.

    Stephen Jessup Sep 29, 2015  #616

  • I received my Social Security Disability back pay. I was told to hold on to it becaruse MetLife long term disability would be asking for it. I received a letter from MetLife saying I owed an over payment of $7213. The next day I sent a cashiers check for the aformentioned amount. It was followed up with a letter that my over payment was paid in full. Four months pass and with the remaining balance I helped family members and grand childred with college. I was told i could not have more than $2,000 in my account when on disability. I no longer have any of the ss disibility left. I received a letter 4 months later from MetLife saying that I now owe them 28,562. Well I called them and ask if I could make a payment plan with them. There response was no and they sent me to collections. What can I do. I don’t have the money, Im willing to make payments. Help……….. Stressed out

    Thank you

    Liz S. Sep 25, 2015  #615

  • Cheryl,

    It should have no effect on your SSDI claim/benefits if you do receive the Prudential benefits owed.

    Stephen Jessup Sep 11, 2015  #614

  • I had to leave my job due to “seizures and cognitive issues” and and the first six months (during the short term disability phase) the paid my claim til Sept.2014, then at Oct 1st when it was to go into LTD they stopped paying altogether..(this was my employer insurance I had carried Prudential.) I had lost my medical insurance and couldn’t get a neuropsych skills they were wanting; and they said that’s why they weren’t paying anymore is bc they couldn’t gauge the serious of my cognitive disorder; even though it was stated from my neurologist and I was still having seizures. Social Security had me do 4hours of testing in Feb.2015 and I was approved 3 weeks later for my SS disability. I am now trying to go back and “appeal” with Prudential for my lost wages from Oct, 2014-March 2015, will this affect my ss disability check income at all if this is awarded? it is not that much money and I don’t want to jeapordize my income each month. Prudential has been such a hassle but this has been money I have paid in, incase this happens and I felt they have really wronged me not paying my LTD benefits. Thankyou for any help.

    Cheryl Sep 10, 2015  #613

  • Paula,

    You will have to discuss your concerns regarding your medical coverage with your employer. Additionally, you can also inquire if you have a disability insurance policy (as opposed to a formal disability retirement plan). If you are disabled and have sufficient work credits you can make application for SSDI benefits.

    Stephen Jessup Aug 12, 2015  #612

  • Elizabeth,

    Yes, if it is an enumerated source of other income subject to offset under the policy.

    Stephen Jessup Aug 11, 2015  #611

  • I am offered disability retirement through my place of employment. I am on a FMLA now. I was told that when I get my letter of acceptance I am to come in and resign from my present position. If I do this who will pay for my medical bills. I will no longer have any sick leave after Sept. I am not sure if I am to apply for SSD. Help I do not know what to do. I am waiting t o see if I can get some help from the people in Humane Capitol at my job, but it seems as though there is an individual there who keeps giving me the run around.

    I thank you for any help that you can offer.


    Paula Aug 11, 2015  #610

  • Can my long term disability insurance company ask for money pay back if I get a lum sum from my pension? They got the ssd money.

    Elizabeth Aug 10, 2015  #609

  • Rick,

    Unfortunately, you find yourself in a situation that many people do. Aetna will be able to enforce the provisions of the policy relating to the offset for the DSSDI benefit. As your ex-wife is now receiving an additional $900 a month for your child you may be able to adjust any type of support orders (if any) entered by a court regarding alimony or child support. You will need to discuss with a family attorney as to same.

    Stephen Jessup Jul 28, 2015  #608

  • Aetna was paying 2800 in LTD benefits to me. I was awarded 1700 Fromm SSDI. Aetna offset and decreased their payment to 1100. Then my dependent child was awarded SSDI through my SS in the amount of 900. Now Aetna is deducting that much as well. Problem is I’m not his custodial parent. My child lives with my ex wife. And she is the payee. Twice I was told by an Aetna Rep to send in documents showing that I’m not the payee and they won’t deduct that amount but now they have goobers backwards and state that that is part of the policy and it does not matter who the payee is. How can they take money out of my household that I never see? Now I’m down to 1900 per month. They might as well had told me to abandon my home and sell everything I have and go find a bridge.

    Rick Jul 27, 2015  #607

  • David,

    Please contact our office to discuss in detail your claim with one of the disability attorneys.

    Stephen Jessup Jun 28, 2015  #606

  • Mr Jessup

    Technically I am still in the first appeal, they tried to tell me that the concerns I had would be the basis for my second appeal, but I strongly told them that if they could not guarentee me that all the information sent would be reviewed and looked at properly by a doctor with appropriate medical training then there was no need to have a second appeal because they have all the information they need. I told them their screw ups and negligent review of the documentation is not my problem but theirs. At that point the supervisor of the senior appeals reviewer sent it back for clarification and review specifically addressing the issues I sent them, as well as the claim of documentation from my PCP on 3 separate occasions when only one actually took place. What would my options be under these circumstances

    David K

    David K. Jun 27, 2015  #605

  • David,

    First and foremost, what is the current status of your claim – is it in second appeal? If your policy is governed by ERISA, and chances are it is, your only actual legal remedies under the law are for unpaid benefits – so there is really no legal recourse for Prudential’s improper actions outside of unpaid benefits. Please feel free to contact our office to discuss your claim in further detail.

    Stephen Jessup Jun 25, 2015  #604

  • I was terminated from LTD benefits from Prudential because treating doctors did not send acceptable information, or timely information to prudential. I filed an appeal which included all necessary information and again denied me. This time they did so by ignoring specific information in documents my doctors sent. Additionally, they used the negative results of tests for neuropathy in my hand to offset the positive results in my feet, even though there is no medical connection between the two. They also claimed that my psychiatrists diagnoses were unsubstantiated because my gastroenterologist made no comment about my mental status in his treatment of my ulcerative colitis (a stress related condition). Since they felt they eliminated those diagnoses they used a PCP office visit to claim there was nothing at all wrong with me. The note was 6 pages long and was generated by a new computer program. The first 5 pages list 9 different diagnoses with specific description inputed by the doctor, along with referrals for follow up treatment and tests and medications. In 3 separate sections specific symptom description was entered. The final section did not have anything checked off as abnormal with a program generated list of what normal behaviors or feature would look like.

    The Prudential medical reviewer cited this last section as proof there was nothing wrong with me, making no mention of the other information in the same document, and then stated that my PCP made such claims on 3 specific dates with in an 18 day period even though I was there only once. I called them immediately and demanded they review this infomation and correct their decision, to which they told me that was the basis for a follow up appeal. When I told them a follow up was not needed because they already had the information and simply misused it they agreed to send it back for reconsideration with clarification of my concerns. Is this not grounds for some suit, the downright lies about appointments, ignorance of supportive documents while trying to use other information from the same document and a “Board Certified” physician reviewer not knowing that tests on separate parts of the body do not cancel each other out they simply identify where in the body damage exists.

    David K. Jun 24, 2015  #603

  • G Burns,

    You will need to discuss with the carrier. Typically, they only withhold applicable federal or state tax.

    Stephen Jessup Jun 22, 2015  #602

  • I’ve been approved for private LT Disability from a large national insurer. My monthly payment being determined. Do these insurers allow for any pre-tax deductions to pay for Health Saving acount, healthcare insurance premiums? I know they take out SS, they’re letting me decide on my FIT deduction sice 15% wont be taxable.

    G Burns Jun 21, 2015  #601

  • Richard,

    Please contact our office. We will need to look at both of your policies. Chances are that the Paul Revere policy is an individual disability policy so it will more than likely NOT have a offset provision. However, the Prudential policy could very well contain offset information as it relates to the settlement proceeds.

    Stephen Jessup Jun 16, 2015  #600

  • I have 2 policies for disability a 15000 prudential and an 8000 revere unum if I have a perSonal injury suit a d win or settle it can the aettkeme. Be structured to not be an offset?

    Richard M. Jun 15, 2015  #599

  • Carrie,

    MetLife cannot specifically garnish your SSDI benefits, but they can withhold paying you your monthly benefit to satisfy any applicable overpayment.

    Stephen Jessup Jun 10, 2015  #598

  • Can Metlife garnish ss wages?

    Carrie Jun 9, 2015  #597

  • Raymond,

    You will only be responsible for a repayment for any months that an actual SSDI benefit is paid out for.

    Stephen Jessup Jun 4, 2015  #596

  • I started receiving ltd from MetLife in June 2014 but my ssdi was just approved in May 2015 but my back pay will not start for my ssdi until August 2014 because my disability was said to start in feb 2014 so am I responsible for ltd payments that I received in June and July 2014 as far as over payment is concerned because my ssdi would not actually pay until August.

    Raymond Jun 3, 2015  #595

  • Rick,

    If dependent social security is a listed source of other income under your policy, then yes, the carrier will seek to offset your benefit by same.

    Stephen Jessup May 16, 2015  #594

  • My ins carrier has been paying LTD monthly to me. I was recently awarded SSDI. I am aware that an offset will occur of what they will pay going forward. Now my dependant child, who does not live with me and I have been paying child support for, will be receiving $350 more per month than the child support. Will my carrier also deduct the amount paid to the child’s guardian from the amount from my payment from them?

    rick May 15, 2015  #593

  • Pam,

    Your policy will allow Hartford to reduce your benefit by sources of “Other Income” with the most common being SSDI benefits. Failure to apply for the source of other income (SSDI) could trigger policy rights allowing Hartford to reduce your benefit by the amount you would be estimated to receive. Your duty is to apply – if you do return to work prior to the end of a year out, then SSDI will almost certainly not be approved. You do not have to use the company suggested by Hartford and can certainly retain your own attorney. We do not handle SSDI claims, but if you do need assistance in locating a SSDI attorney please feel free to contact our office and we can assist you with finding one.

    Stephen Jessup May 10, 2015  #592

  • Hello.

    I am on short term disability for for breast cancer. Hartford is requiring me to apply for Social Security disability to get the next few months of LTD pay even though I will be going back in less than a year. Are they are allowed to do this? And why do they have this requirement. They said it can take up to a year to get approved for SSI, and I will already be back to work by then. Also they want me to go through a 3rd party attorney, and sign an agreement for back pay.



    Pam May 9, 2015  #591

  • Kathleen,
    Please feel free to contact our office to discuss your claim. Quite often an insurance carrier will challenge disability when cancer is in remission. In doing so they essentially argue that no active cancer means no disability, and will work to assert all of your complaints of pain and cognitive difficulty are subjective in nature.

    Stephen Jessup May 4, 2015  #590

  • I had stage two colon cancer back in 2010. Doctors stated cured but cancer spread to lungs in 2013. Approved for LTD with MetLife in June 2014 and social security December 2014. MetLife got last two doctors reports form oncologist and because information not accurate about my ability to return to work, and because I am in remission from stage four cancer. They are trying to get me, to come back to work. On these reports I informed the doctors assistant that I had bone, muscle and joint pain and memory and thinking issues. Last appointment I even let my doctor know that I could not work. MetLife stated sending me copies of this paperwork. I am afraid they are going to terminate my benefits. My condition has not really changed. I can not be cured now per my doctor maybe I can be put into remission for periods at a time. All of this chemo has done damage to my body. I have also been depressed and anxious too. My husband passed away from cancer in 2011. all of our savings went to paying bills when we were ill and funeral costs. I even called up my employer and informed them of my social security award and paid back my over payment. Since I got the award last two weeks in December, and informed them at the time, they did not give me an amount to payback until March 2015. This caused me to pay taxes on money that was not mine and had to be paid back. I will not get Medicare until April 2016. If they cancel my disability I will have no medical insurance and I wont be able to pay my bills with just my social security payment. Is there anything that I can do. Would appreciate any advice

    Kathleen May 3, 2015  #589

  • Karie,

    Typically no as your husband’s claim with Cigna is most likely in the “own occupation” definition of disability, which differs from the any occupation standard utilized by Social Security. They will want your husband to appeal the SSDI denial. If you need assistance in finding a SSDI attorney, please feel free to contact our office and we can help get you in touch with one.

    Stephen Jessup Apr 28, 2015  #588

  • My husband had tongue cancer and was treated with chemo and radiation. He tried working and used up all his sick leave. At his doctor’s request he finally went off work. He has Cigna LTD with a 6 month waiting period. Cigna required him to file a claim with social security. We received a letter today that social security has denied him. He has hearing problems, chemo brain and a damaged thyroid they are trying to get under control. Cigna approved him right away back in Nov. Now that it is getting close to time to pay they say they are awaiting social security results. Will Cigna automatically change they approval to denied as a result of social securities denial?

    Karie Apr 27, 2015  #587

  • Pamela,

    The overpayment is stemming from the receipt of SSDI benefits. With respect to the liabilities of the estate and what to do, you will really need to consult with an estate attorney. Please feel free to contact our office to see if we can assist you in contacting one.

    Stephen Jessup Apr 20, 2015  #586

  • My sister evidently had long term disability coverage with CIGNA. At some time she started to receive SSDI.

    I received a phone call from someone asking to speak to my sister. After telling them that my sister passed away in January they said she owes CIGNA $34,000+ dollars.

    My sister passed away 1/6/15. I am the executor of her estate. Until a couple of weeks ago I had no idea of this debt. I’m not even sure of the reason why she owed this money to CIGNA. They are claiming over-payment. This debt has been turned over to a collection agency. The “estate” does not have $34,000. What am I supposed to do? Should I offer them the balance of her estate, approximately half of what they are asking for? Will I be responsible for the difference?

    Pamela Wintter Apr 19, 2015  #585

  • Mark,

    Not all policies have clear cut rights to subrogation for funds received from an auto accident claim. Please feel free to contact our office with a copy of your policy to determine if there is a way to circumvent MetLife’s attempts to recover from the accident case.

    Stephen Jessup Apr 17, 2015  #584

  • I am receiving LTD from MetLife from a work related auto accident. I was awarded SSDI and MetLife put their hands out but since my disability was from the auto accident there is a third party settlement coming – Atty told me that they are liening the 3rd party claim and want every dime they spent back. If they get paid out of the third party claim can they still put a lien against SSDI that ran during the same time.

    I also paid for this pollicy through my employer with my money and their rates and I would have never done so knowing how greedy and lame these folks are – I now hate snoopy and anytime I see a peanuts special I want to puke!

    Also I should add for the last 9 months they havent paid me anything due to the ongoing case but now my atty is fixing to dispurse the 3rd party settlement and telling me they want all they paid me so there have been many months I haven’t received anything I was suposed to and scraping by on SSDI.

    Mark Crawford Apr 16, 2015  #583

  • Penny,

    The carrier will provide you with a detailed breakdown of how it calculated the overpayment. There are times where a carrier does make an error in the computation of same, but from my experience these occurrences are typically resolved.

    Stephen Jessup Apr 9, 2015  #582

  • Ginger,

    Unum would be entitled to seek a repayment of any overpayment of benefits for a time that coincides with any overlap between social security and what Unum was paying.

    Stephen Jessup Apr 9, 2015  #581

  • I understand that a person that had been receiving Long Term Disability and then was approved for Social Security Benefits will most likely owe an overpayment to the Long Term Disability Insurer.

    My question is… can the amount of the overpayment be more than the amount of backpay they receive from Social Security? Where would they turn to have the calculation/amount of overpayment verified to be the correct amount? What legal recourse do they have, if any? Or do they just trust that the Insurer has made the correct calculations?

    Penny Apr 8, 2015  #580

  • My mom was diagnosed with mild cognitive disorder in October 2013 and my dad on September 18th, 2013 was diagnosed with a glioblastoma stage 4. They both quit working the same day my dad was diagnosed… My mom was put on short term disability from the school that they worked at. She turned 65 a week after September 18th and was able to get social security checks. Her long term benefits thru Unum started in December and she was diagnosed by neurologist in October, she was already 65. We filled out my mom’s Unum paperwork and put the date of disability as September 18th which that was the day my dad was diagnosed and that’s the last day that they worked at school. They have made her pay back all of her social security and I do not believe this is right since she was actually on short term disability through school and when she was seen in October by a neurologist that is when she was first diagnosised. We did put the initial date down wrong but this was because that was the last day she worked and Colonial Hills put her on short term disability using up her personal days and other things that she had accumulated for time off. I believe after reading everything about this that we are correct and I need to know what our next step should be.

    Ginger Pash

    Ginger Lee Pash Apr 8, 2015  #579

  • Rosario,

    If your policy indicates that your benefit can be reduced by Social Security benefits, which it more than likely does, Sun Life does have a right to collect any applicable overpayment on account of the Social Security.

    Stephen Jessup Apr 3, 2015  #578

  • I went on FMLA leave and was found to be on LTD, SunLife has been paying me every month, I was approved to be disable by Social Security recently. LTD stated that when I was to get approved, I needed to let them know, because then my LTD would stop and I would need to pay them back. In this case should I pay them back or seek an attorney? I am a single mom with five children. Mind you that I can’t work due to my disability. I have had several operations and presently have a neuro stimulator and a battery implanted in me, and it is not working well. Only medication is working now. Can you please advised me of what I should do in this case? Thank you in advance.

    Rosario Apr 2, 2015  #577

  • Darryl,

    We would definitely want to see the policy and any correspondence from Prudential as to this issue. Please feel free to contact our office.

    Stephen Jessup Mar 2, 2015  #576

  • I reside in Baltimore, Maryland was approved for STD in 1999 and later approved for LTD; which I am currently receiving until 2026 and 11 months. Approximately 5 years ago I contacted Prundential Insurance to inquired how long I would be receiving LTD Benefits. I was informed of the above information. I was asked if I had the initial LTD booklet; I stated no. The Claims Adjustor agreed to forward a copy of the booklet for me for review.

    Upon receipt, I reviewed the area that I initially contacted Prudential about. After reviewing that area, I continued reading and came across an area about cost of living adjustments (COLA). Unaware of this, I contacted the claims handler to obtain further explanation of the information reviewed in the booklet sent by her regarding a COLA adjustment. She stated she was not aware of this type of adjustment and she would need to check with her supervisor and she would get back with me.

    A call was received about 3 weeks later. I was informed that they do not offer COLA adjustments any longer. I responded by asking if my employer entered into a STD/LTD contract in 1999, any changes in their policies has nothing to do with my 1999 disability claim.

    Should this matter be pursued further. Prudential was in a contract with my employer regarding the COLA adjusment included in the received employee booklet, and part of my benefits; per the employee benefit booklet received from Prudential.

    The booklet states that I should have been eligible for at least 3 COLA Adjustments.

    Ex… $1112.99 current monthly payment times 4 % = $44.52 increase per month ($1112.99 + $44.52 = $1157.51)

    $1112.99 (current monthly) x 12 months x 16 years (1999 – 2015) = $213,694.08

    With approximate Cola
    $1112.99 current monthly + $44.52 monthly cola increase x 12 months x 16 years = $222,241.92
    Difference of $8,547.84 (this includes only one COLA increase).

    This may seem petty but my approximate calculation of entitled benefits to include 1999 thru 2026 and 7 months, would be no less than $13,000… not including the additional 2 COLA entitlement.

    Do I have any options to pursuer my entitled benefits? Thanks in your review.

    Darryl Mar 1, 2015  #575

  • Benny,

    Your issue as it relates to SSDI is not uncommon given the fact SSDI is paid in arrears. Unfortunately, there is no outside party to appeal how MetLife applies the application of the offset for SSDI. With respect to your severance, depending on the language used it is not typically a source of “other income” as defined under the policy.

    Stephen Jessup Feb 1, 2015  #574

  • Angela,

    You would only be responsible for any potential overpayment for the period of overlap between receiving benefits from USAble and SSDI. Typically, fees paid to your attorney are not subject to repayment. With respect to your policy, if your received it through your employer it is technically your employer’s responsibility to provide the policy. You can request a copy from your HR department.

    Stephen Jessup Jan 31, 2015  #573

  • 1st issue:

    I have been receiving LTD from MetLife beginning 12/2013. I was awarded SSDI in 05/2013 with back pay to 12/2014. I provided all the information to MetLife. MetLife calculated my SSDI offset to include one month more than SSDI paid because I was awarded the back pay to 12/2014 but SSDI is paid one month later. At the same time MetLife offset my monthly payment by the SSDI amount. So, MetLife is requesting I pay them one month of SSDI benefit I have been awarded but can not received because MetLife is concurrently offsetting the monthly SSDI amount.

    I have sent several letters to MetLife and they have only responded once indicating the calculation is based on the SSDI award amount and not the amount SSDI actual paid. In 09/2014 MetLife stopped paying my claim (the claim statements show the same monthly claim amount but a payment of $0). I requested MetLife provide specific information regarding why the claim is withheld and how much has been collected and how much is owed. They have not responded.

    Is the calculation industry standard and can I dispute/appeal the calculation with anyone other than MetLife? The disputed amount for me and my dependents is $3300.

    2nd issue:

    I am also concerned MetLife could attempt to collect my severance for the same period (12/2013 – 05/2014) although I have a signed letter from my company stating they would do everything possible to have the severance treated like it was paid 09/2013 before the LTD began. Termination with severance was previously scheduled for 09/2013 due to plant closing but the company kept me active until LTD began, presumably because the terms indicated severance would not be paid if the employee is on LTD. The company could have a standard practice not the terminate employees on STD however, the STD/LTD policy would continue for an employee who is out on disability. Either way, I contacted MetLife for clarification in 09/2013 while on STD and they confirmed that if payment for severance is paid in full prior to beginning LTD it would not be offset. After several correspondence with the company severance was paid in 01/2014. The severance period is 12/2013 – 05/2014.

    Benny Jan 31, 2015  #572

  • My situation is different from the others I have read. I had an accident on Aug 11, 2013 and was unable to work until May 21, 2014. I was paid $800 a month by Usable under a STD/LTD policy.I returned to work on May 22, 2014 but at a different job. My Usable policy was therefore terminated. I filed for SSDI while I was off work which was denied and appealed. A ALJ ruled that I was disabled for a closed period. The period was Aug 11, 2012 to May 21, 2014. I am now waiting on SSA to determine the benefit amount. I expect my SSDI benefit to be larger than the STD/LTD benefit because the job it was based on was one of the lowest paying jobs iI had ever had.

    My first question is, will I have to pay usable for the total time the ALJ determined or just the time period i actually get paid for? SSDI only pays for full months as I understand it, plus the 5 month waiting period.

    Question #2: will the lawyer fees come out of the amount usable gets or the amount that is left over (my part)?

    Final question. I do not have a copy of my policy. I called usable to request a copy and they informed me that I should get it from my employer. I called the employer and they do not retain copies of the policy. I called Usable back four times and they have stated that they will not send a copy of a terminated policy. I explained that I do not know the language in the policy that would determine the overpayment amount and would not pay them unless they sent me a copy of the signed original policy. They had no response other than they would not send a copy of a terminated policy. What are my rights on their refusal to sent me a copy?

    Angela Jan 30, 2015  #571

  • Beth,

    Our focus is on private disability insurance policies. As such, unfortunately, you will need to direct your question to an attorney that specializes in Social Security claims.

    Stephen Jessup Jan 25, 2015  #570

  • My husband was collecting disability payments before we got married and the year I filed my taxes they sent him a notice of over payment and when I filled my taxes after a year of marriage with him. They took all my tax money and I found out I was able to file an injured spouse form to at least get half of my tax money back. My husband hasn’t worked a day in his life since he lost his disability and here I am paying back the money from what I make each year to the SSDI for his debt. Is it my responsibility to pay back his debt to SSDI? We were not married at the time he received his benefits of DDSI. Need answers.

    Beth Jan 24, 2015  #569

  • Gary,

    Although I do echo your sentiments as to properly weighing SSDI determinations, the law is quite clear that receipt of SSDI is not a guarantee to continued coverage under a disability insurance policy, it is merely a factor to be used in review of the claim. Unfortunately, under ERISA, an insurance carrier is not legally accountable for any psychological distress you experience.

    Stephen Jessup Jan 18, 2015  #568

  • I am currently receiving benefits from a LTD policy that I was paying for at work and they do deduct what I get from SSDI. The problem I have with this is they required me to apply for SSDI and appeal if denied but, “they do NOT use the same guidelines that SSDI uses when they’re deciding to approve or re-approve me for continued benefits”, which they’ve been doing every six months for two years. It seems to me that if they can legally require you to apply for SSDI then they should legally be required to follow the same rules as the government when reviewing your claim for LTD benefits.

    So the way I see it is they’re stealing from the government and then trying their best to disqualify you from getting the small percent of what they do give you. The LTD company sends me letters and forms to have completed by my doctor every six months which causes me a lot of anxiety. This action by them causes me to need anxiety and anti-depressant medications as well as much lost sleep. The last letter stated that they approve me up to and beyond Feb. 13, 2015 (2 years on LTD) but it still states that they may request doctors review at anytime, which I’m sure they will. If they continue to require doctor’s reevaluation can I sue them for psychological distress caused by their continued harassment? Also note that I was approved for SSDI within six months of filing for the government benefits due to the severity of several medical issues that make it impossible for me to work.

    Gary Jan 17, 2015  #567

  • Robert,

    Unfortunately, Prudential would have rights to recover any overpayment of benefits on account of receipt of SSDI. The debt would not be considered a medical debt. Prudential may be willing to negotiate a repayment plan in lieu of collection, or there may potentially be the possibility of securing a lump sum buyout from them. Please feel free to contact out office if you would like to discuss your claim further.

    Stephen Jessup Dec 24, 2014  #566

  • I would appreciate your expertise on two questions:

    1) Prudential disability insurance company, claims an overpayment once a I was approved for social security disability income benefits, but I am diagnosed with cancer and used some of the money to pay for my medical expenses. How can I find some reprieve from Prudential?

    2) Prudential is threatening to turn my file to a collection agency. Is that considered medical debt?

    Thanks for your help.

    Robert Dec 23, 2014  #565

  • Kay,

    They may or may not depending on the policy language and applicable laws. We would really need to see a copy of the policy to have a better idea of what your rights are. Please feel free to contact our office to review and discuss same.

    Stephen Jessup Dec 12, 2014  #564

  • In 1990 I purchased life insurance containing disability premium waiver clause.

    I became fully and permanently disabled in 1996. I did not realize that I my policy had the disability premium waiver clause and continued to pay regular premiums up until recently (November 2014).

    Now I know my insurance has the clause and I notified the insurance company but they are very sketchy about reimbursing me for all these years I was paying but should not be paying (18 years!).

    Do they have to reimburse me for all 18 years?

    Kay Dec 11, 2014  #563

  • VC,

    MetLife will not look to seize any of your physical assets. You can contact them to discuss a repayment plan of any overpayment to include the possibility of having MetLife withhold your monthly benefit check to put towards the overpayment.

    Stephen Jessup Dec 5, 2014  #562

  • I have a company paid LTD with MetLife. I was finally awarded SSDI and received my back pay along with my minor children. I received notice from MetLife of what my repayment to them would be and my question to you is this: the first calculation I received was based on my SSDI back pay and then I received a revised figure based on my daughter’s SSDI back pay. I had saved the original amount but used my daughter’s to catch my mortgage, vehicle, school tuition, bills up. I don’t have that extra money left and I’m not feeling inclined to repay any of it now. I have very, very expensive monthly meds and am sick quite a bit. Our expenses are high and I have already been turned over to a collection agency. my credit is already shot. I can keep only 2 months SSDI funded money in my husband’s and my joint account, use the other account to cash his payroll checks. My mortgage is only in my name but 2 vehicles are in both. 1 motorcycle is in mine and boat and RV are in his only. It sounds like a lot of assets but none are that expensive – can any assets in both our names be seized and if I’m willing to live with the credit consequences then really what do I have to lose? I’ve already almost died once and my lifespan will probably be shortened considerably just based on the toxicity of my meds. I’d like to leave my family with as much as I can. What are the consequences to my actions other than harassment and I don’t answer the phone anyway?

    VC Dec 4, 2014  #561

  • Steve,

    Yes. An insurance company can deny your claim for benefits based upon a file review conducted by a physician who never examined you. That is not to say that the denial will be upheld on appeal, but it is enough to initiate a denial. If your claim has been denied and needs to be appealed please feel free to contact our office to discuss how we may be able to assist you with respect to same.

    Stephen Jessup Nov 25, 2014  #560

  • Can a LTD insurance carrier deny your claim if they never asked you to see there doctor, while my 3 doctors all want to put me on disability?

    Steve Nov 24, 2014  #559

  • Lydia,

    Our your daughter’s benefits based on your disability or does she receive them from the SSA on account of her own disability? If it is the latter, then Prudential should not have a right to offset your benefit.

    Stephen Jessup Nov 21, 2014  #558

  • I am approved for LTD benefits through Prudential. I also receive SSDI and dependent benefits for my children. My daughter is permanently disabled with Down Syndrome. Once she starts receiving disabled adult benefits will Prudential continue to use that income as an offset to what I am to receive from them?

    Lydia Young Nov 20, 2014  #557

  • Evette,

    There is no such thing as “permanent disability” as it relates to a disability insurance policy. Review for entitlement of benefits is a month to month process and benefits can be terminated if an insurance carrier believes that you no longer meet the definition of disability. I would strongly suggest you request a copy of the denial letter if you have not already received one and inquire as to whether or not you have the ability to appeal the decision despite the fact the 180 deadline has passed.

    Stephen Jessup Nov 13, 2014  #556

  • I was employed by the state government; I went out on leave unrelated to the job Oct. 2009 and The Standard Insurance Company was my STD and LTD provider. I went from STD to LTD and in Dec. 2011 I was awarded SSDI for permanent physical disability as well as depression. I was garnished by the insurance company for an overpayment and the insurance company informed me that they would be withholding my payments until I repay them the offset amount. I was fine with that my problem is I didn’t think anything else about it until I called recently to see if I was done repaying them and they told me that my payments had stopped and they closed my case in 2013 because I failed to send in paperwork from the doctor to see if I was still disabled. I never received the letter to respond to the request or to appeal their decision because I moved but had my mail forwarded. Even though the insurance company knows I am permanently disabled can they close my claim? If not what can be done at this point?

    Evette Nov 12, 2014  #555

  • Nick,

    If the policy allows for the offset of DSSDI benefits then the carrier could come after you for an overpayment repayment, or withhold your benefit until such time that the overpayment is satisfied.

    Stephen Jessup Nov 9, 2014  #554

  • OK, I get it. Long Term Disability (LTD) has a stake in my Social Security Disability benefits (SSD). Good news to the LTD carrier. Not good news for me. Here’s good news for me: social security will also award my minor child SS benefits till they reach 18. Fact: the child’s SS benefit check is made out to the child’s name, since I never received the money from my child and my child retained the money for school books, food, candy, gasoline, car insurance, iPhones, everything a 17 year old needs. Can my LTD come after money that was never legally mine? Such as the check made out to my child’s name from SS? I live in California.

    Nick Patrone Nov 8, 2014  #553

  • Debbie,

    The policy will define what is a source of “Other Income” subject to offset under the policy.

    Stephen Jessup Oct 14, 2014  #552

  • Can you tell me if maintenance payments under the Jones Act for mariners should be an offset to employer LTD benefits? The maintenance payments are made similar to Workers’ Compensation payments and I know WC benefits would typically be an offset. Can you comments on the maintenance payments as an offset and also the WC payments?

    Debbie Oct 13, 2014  #551

  • Elaine,

    Your situation is not at all uncommon, and many people do have difficulty when their insurance company does not pay in arrears as the SSA does.

    Stephen Jessup Sep 14, 2014  #550

  • My husband was approved for SSDI, starting in November. However, he will not receive his first payment until December 24. He will receive 0 dollars from SSDI in November. We have been informed that Hartford will not pay his LTD benefit from November on, because, technically, he is receiving SSDI for November in December. Hartford claims it’s not their fault SSDI is a month behind. So… we receive 0 dollars in November from SSDI and LTD. We’re the losers. This is so not fair. Is this really the way it is?

    Elaine Sep 13, 2014  #549

  • Sandy,

    Which insurance company denied the employer provided disability insurance benefit? Allsup is a third party hired to assist in obtaining SSDI benefits, and do not handle appeals as they relate to denial of benefits under private insurance policies. Employer provided disability insurance policies typically contain provisions relating to Offsets for source of Other Income, with Social Security being the most common. If SSDI is awarded the insurance company is able to seek repayment of any overpayment related to back benefits and offset the monthly benefit moving forward. These provisions have been deemed legally enforceable. Please feel free to contact our office to discuss the facts and circumstances surrounding the denial of your husband’s employer provided benefits.

    Stephen Jessup Sep 12, 2014  #548

  • My husband was getting disability after a devastating illness. After nine months the disability was disallowed and his insurance through his prior employment (Allsup) offered to fight the claim to reinstate the benefit. I just saw a large deposit in our joint checking account. My husband said he has to pay every cent back to Allsup. Why is this the case? He spent a whole day in court for the appeal, what was in it for him?

    Sandy Sep 11, 2014  #547

  • Joao,

    Unfortunately, we would not be able to compute what you would receive from Worker’s Compensation or SSDI. If you have an attorney for either you will need to discuss those factors with them. Typically, an insurance company will not estimate an offset for SSDI unless you have failed to apply in accordance with the disability policy. Furthermore, the law is clear that it is the duty of the insured to provide sufficient proof of disability, so you will ultimately be responsible for providing medical records as to your physical conditions. It is a common tactic of insurance companies to ignore physical conditions in an attempt to limit benefits to 24 months under a mental health limitation. Please feel free to contact our office to discuss how we may be able to assist you in securing benefits beyond the 24 month period.

    Stephen Jessup Sep 10, 2014  #546

  • My LTD is holding the estimate amount from SSD. This is after I signed a reimbursement letter back in July 2013. If I get awarded from SSD, I don’t have to pay them anything because they are already taking that amounth away, and we have to subtract the first 6 months to receive SSD. If this is true than LTD owes 6 months of estimated benefits. Am I correct?

    Joao Victor Sep 9, 2014  #545

  • Joao,

    Unfortunately, we would not be able to compute what you would receive from Worker’s Compensation or SSDI. If you have an attorney for either you will need to discuss those factors with them. Typically, an insurance company will not estimate an offset for SSDI unless you have failed to apply in accordance with the disability policy. Furthermore, the law is clear that it is the duty of the insured to provide sufficient proof of disability, so you will ultimately be responsible for providing medical records as to your physical conditions. It is a common tactic of insurance companies to ignore physical conditions in an attempt to limit benefits to 24 months under a mental health limitation. Please feel free to contact our office to discuss how we may be able to assist you in securing benefits beyond the 24 month period.

    Stephen Jessup Sep 9, 2014  #544

  • Hi, I’m 52 and I have beenn out of work with back pain and nerve pain on my legs, feet, arm, shoulder, hand and finger. I’m also suffering of a major mental disorder. I receive from STD, and now LTD. This I was told it was going to be my less month due to mental illness only covers for 24 months but when I mentioned the back injury, they told me they were going to investigate by asking for records. Well I signed a release form every year for them to get all the medical records, not just mental. They’re also offsetting an estimate for SSDI for the past 10 months. I signed a reimbursement letter to pay them back but they went ahead and reduce the amount anyway. I’m also tring to get a WC benefits claim, which I already denied their first offer, since I was making 100k year. Do you know more or less what I should be getting from WC and SSDI on a monthly average. I worked for 31 years and I believed I would have my quarters. I would appreciate any help. Thanks.

    Joao Victor Sep 8, 2014  #543

  • Helpless,

    Unfortunately, the offset provisions of ERISA governed disability policies have been deemed legal and enforceable on numerous occasions. The only disability policies that do not contain such offset provisions are those that are purchased privately through an insurance agent, which are accompanied with premiums that are usually cost prohibitive for most people. As for the tax ramifications of Unum’s apparent error, you will need to consult with a tax professional to determine your rights and responsibilities.

    Stephen Jessup Sep 3, 2014  #542

  • I recently was awarded SSDI benefits and roughly $35000 retrospectively had to be sent to the disability carrier. Because of what appears like a timing issue, I still need to pay the company a month’s worth of benefits. On top of this, I am now being told that my LTD benefits are taxable. Despite being sent a W2 for 2013 which shows $0 for earnings and being told, and in writing, that my benefits were not taxable, their changed position is going to cost me thousands. The company offered to pay for a tax advisor! Will I have to pay penalties for their mistake?

    The larger picture, it just seems unfair that the insurance company payments are offset by tax payer dollars. Can you imagine if you collected a payment from a homeowner’s claim and then were allowed to submit to the federal government for assistance, and then pay it back to the insurance company. These disability benefits are not truly insurance. The disability carrier cannot count on a person being approved for SSDI and where is it written that the government has to subsidize the disability insurance industry. If you know of a lobbying firm who goes against disability carriers on this subject, please let me know. I’d like to work for them. Thanks much!

    Helpless and Angry Sep 2, 2014  #541

  • Sgt95b2,

    Many ERISA governed disability policies provided by employers do not reduce benefits by money received from VA benefits. However, if the policy allows them to consider VA benefits a source of other income subject to offset under your policy then Cigna would be allowed to. Furthermore, please be aware that many policies will not cover disabilities cause by “an act of war, declared or undeclared.” It is not unheard of for an insurance carrier to deny a benefit on account of same if the nexus can be drawn.

    Stephen Jessup Sep 2, 2014  #540

  • Can my privite insurance co. (Cigna) deduct my monthly VA disability amount from their payments? A portion of the VA disability is for the same thing as Cignas, PTSD? Thank you.

    Sgt95b2 Sep 1, 2014  #539

  • Mary,

    Based on your facts, you should be receiving $996 a month from Hartford. I would strongly suggest you request that they explain why you are getting so little in writing.

    Stephen Jessup Aug 29, 2014  #538

  • I get $1304 from my SSDI a month. Hartford monthly check amount supposed to be $2300 for long term. Since I am getting the $1304 from SSDI, Hartford said the monthly payment amount would be only $143 a month. How can that be?

    Mary Aug 28, 2014  #537

  • Jacqueline,

    I do not believe the insurance carrier would have a right to go after the wife for the death benefit she received individually. Additionally, the survivor benefit under the employer provided LTD plan is directed to the spouse/survivor and not the insured, so the carrier should not have a right to same. I would suggest that the wife speak to an estate attorney to help sort out the creditors to be paid from the estate.

    Stephen Jessup Aug 12, 2014  #536

  • Jeliza,

    Under your long term disability policy, Unum would have a right to collect any overpayment of benefits resulting from a retroactive award of SSDI benefits.

    Stephen Jessup Aug 12, 2014  #535

  • My husband was receiving Long Term Disability from his job. He had applied for SSDI but before receiving an answer he died. After his death SSDI sent him a back payment of over 10,000 which was deposited in a bank account with only his name on it. Also his job sent him a check that they are now claiming as an overpayment that was deposited directly into his bank account. My husband had certain bills he owed automatically deducted from his bank account that continued as the bank was not notified of his death until a couple months later. In the interim SSDI pulled the money back out of the bank account and a payment was made to his wife who is his survivor. Now his job disability sent a letter to his estate claiming that he owes over 12,000 to them however after SSDI withdrew the money his bank account only has 800.00 in it. Since SSDI sent the check to his wife can his job disability company go after his wife even though she is not the one who owes them the money or can they just go after his estate which only has 800.00 in it. Also under the provisions of his job disability upon his death his surviving wife or child should had received 3 times his disability payments which would come to a little over 9,000. Shouldn’t they recoup the money from that anyway? Could they go after his Spouse for the balance?

    Jacqueline Marrant Aug 11, 2014  #534

  • Hello,

    I was previously collecting LTD benefits from UNUM. My claim is now closed with them. I have a hearing scheduled for possible SSDI. I was told by Genex that if awarded, I probably should hold my first payment to repay back pay for UNUM.

    Can UNUM Demand back pay if I no longer have an active claim with them?

    Jeliza Aug 11, 2014  #533

  • Lydia,

    I have yet to see a Prudential group long term disability policy that does not allow for the offset of benefits due to SSDI benefits. As such I would expect that yours contains such a provision; therefore, Prudential would not be changing the “contract.” That being said, they most likely will continue to withhold your benefits until such time that the overpayment is repaid.

    Stephen Jessup Jul 29, 2014  #532

  • I never signed the reimbursement agreement from Prudential LTD. I was approved back in 2010. They are now saying they will suspend my payments if I do not sign the agreement. Can they change the contract now and require me to sign the form?

    Lydia Young Jul 28, 2014  #531

  • Jack,

    MetLife is only entitled to offset your monthly benefit by the amount you receive from SSDI or the amount a dependent receives on account of your disability. As your wife’s SSDI claim is based solely on her disability, MetLife would not have any right to offset your benefit. With respect to the “positive changes” in your functionality, I don’t personally see how your ability to get some fresh air and go on brief walks (with which you are being pushed in a wheelchair) would give MetLife any ammunition to try to deny your claim. Please feel free to contact our office should you have any questions or concerns regarding your claim.

    Stephen Jessup Jul 23, 2014  #530

  • Hello.

    I have two separate questions.

    First, I have been receiving LTD payments from MetL since Early 2010, and SSDI since late 2010.

    I got married in 2012, but my wife had no income (she was pursuing her own SSDI claim for Primary-progressive MS, and had been unable to work or attend school since late 2010/early 2011).

    Her (independent) SSDI claim was approved in late 2013, for about $950/mo (which doesn’t even cover her medical costs, much less her daily cost-of-living).

    MetLife just sent me an annual-income report. My SSDI is about $1500, which offsets my $3200 MetLife benefit down to about $1600. Will they also “charge” me the $950 for her SSDI?

    Again, the cost of her daily living expenses and her medical bills far outstrip her $950 income, which means I have *less* total money than I did before we wed, so if they do “charge” me for the $950, we could likely not pay our rent (a studio apartment in NorCal ).

    Is MetLife likely to count her SSDI against me?

    Completely separately, she gets horrific seizures, several per hour, which result in terrible cramps and spasms (including snapping her head back violently enough to literally cause concussion). Walking helps with her leg cramps, so she needs to do so daily (exhaustion permitting), but that doesn’t mean she can work – the seizures regularly disrupt her thought/concentration, and cause severe pain (imagine a “Charlie horse” that runs from hip to ankle and leaves visible dent in the skin from contracture, that runs from hip to ankle and lasts for hours or even days).

    Before she moved in, I was often in bed all day, and my previous LTD reports reflect this. Now, she puts me in a wheelchair and walks me about – which means my “daily routine” has improved, per the report to fill out (how do you spend your days, how often do you go outside, etc.). Likewise, she has a Seizure Alert dog, who needs regular walks – and there are only the two of us to do it (so when we are both to ill to do so, one or the other of us ties him to a long leash and lets him out to the bushes near our front door, and cleans it up later).

    Are these “positive changes” likely to impact my LTD claim? I’m not “lifting more than 10#” or “sitting more than 2hrs consecutively” etc. (ala my doctor’s report on my capacity).

    I’m not expecting a clear answer to this second issue, just your impressions/opinion. I’m paraplegic and on Oxygen, and have neuromuscular disease.

    Thank you for your time.

    Jack Harkness Jul 23, 2014  #529

  • Rachel,

    Ideally you should have applied for disability benefits prior to retirement. The advice you received with respect to entitlement to coverage under the policies was correct, but your inquiry appears to have been most likely misunderstood. Typically if a person retires any coverage under the disability policies would cease, unless an application for benefits is made prior to your last day of coverage. As such your employer may have not understood your question fully. You can certainly attempt to retroactively apply for disability insurance benefits.

    Stephen Jessup Jul 20, 2014  #528

  • Hello,

    I retired in May of 2013 due to a disability in the state of NC. I was in law enforcement for 20 years. Before retiring, I inquired if I were eligible for long term disability. I was informed that when I retire, I would lose all access to long term or short term disability. The long term disability was paid by my employer. It would be required to pay 50% of my salary.

    I receive retirement disability from my pension. My question is, why wouldn’t I be eligible for LTD if I had to retire due to the disability? I have been recently researching, again and I do not understand why I would not be eligible. Also, if I am eligible, although it has been 14 months since retirement, can I still pursue LTD? Especially after being informed, by email in February of 2013 prior to my retirement, that I would lose access to long term or short term disability.

    One more question, I have documentation from my medical provider regarding my disability… how likely would it be that my former employer would insist on me seeing one of their medical professionals? I was only required to provide information from my medical provider to obtain retirement disability.

    Thanks so much!

    Rachel Jul 19, 2014  #527

  • Randy,

    The carrier should only be entitled a repayment of any money received from SSDI that corresponds to a time that benefits were being paid. Please feel free to contact our office to discuss in further detail.

    Stephen Jessup Jul 18, 2014  #526

  • Stephen,

    They have not denied my wife her benefits. To date they have paid her $17,760.01. My wife received $23,125.00 in back pay, her SSDI is $1666.00 a month and her LTD is $2102.00 a month. How does this work? will they be able to take the whole amount of her back pay even though they have not paid that much? And is there an offset that she only pays back the difference between her SSDI and their payments as they guarantee her 63 1/3 % of her wages when she was hurt?

    Randy Jul 17, 2014  #525

  • Lewis,

    I am a little confused as to your question. When you indicate you are on permanent disability, do you mean with Social Security or with a private insurance carrier?

    Stephen Jessup Jul 17, 2014  #524

  • Due to the injury that was work realated, my injuries being 3 herniated discs in my neck. The disability company will not let the compensation insurance company close my case. The insuranace company wants me to have a dangerous operation on my neck, disc fusions. I am reluctant to have the operation so every 2 years they send me to their doctor who states I need the operation. But not going to have it. So I can not close my case and they have to check me every 2 years. MRI etc.

    Lewis Meyer Jul 16, 2014  #523

  • I’ve been on permanant disability for approx. 5 years. My X company’s compensation insurance company wants to give me an check for expenses of $4000 of which $800 goes to my worker’s comp. lawyer. My case is still open and I’m on disability and I have Medicare. Do I have to report or turn over the $3200 check they may send me? Or can I just keep it? They say it’s for expenses. Never received a check for expenses before.

    Lewis Meyer Jul 16, 2014  #522

  • Lou,

    Unfortunately, there is no definitive answer for your dilemma. You will most likely need to enlist the services of an accountant to determine what you may be able to do with respect to the taxation and if you are due any credit on account of the nature of the Prudential funds.

    Stephen Jessup Jul 15, 2014  #521

  • Prudential Insurance Long Term Disability policy is paying monthly disability benefits that were paid for with after-tax dollars. As such, that benefit is not subject to federal income tax.

    We filed a SSDI claim with Social Security and were approved. Prudential informed us we were required to do so by law. If we did not, they could bring suit against us forcing us to file for SSDI.

    The SSDI dollars we now receive are subject to federal income tax at a 25% rate based on our combined income. Social Security withholds 25% of the monthly payments and forwards them to Internal Revenue as they should as authorized on our W-4V form on file with them.

    Prudential Insurance then says by law they are permitted now to deduct from the amount Prudential pays us, 100% of the SSDI benefits awarded not the remaining 75% after taxes. They state that they are allowed to recover 100% of the SSDI benefits under the law, even though those earnings are taxable to us as income. Thus we receive no benefit at all, and actually lose 25% more than we are being paid every month by Social Security.

    In my mind they are bending the laws and interpretations of them to steal 25% of our lawfully obtained Social Security benefits, in essence stealing Social Security benefits from their policy holder.

    This interpretation just cannot be the intent of the law as it was written. Some of us are having a hard time trying to figure out exactly what the original intent of the law was in the first place. Social Security is becoming more insolvent, and we are effectively reimbursing insurance companies for their policies disability benefits and that’s not enough? They now want to recover our income taxes paid as well as part of their SSDI offset?

    Social Security says they have no contractual relationship with Prudential or any other company and cannot assist me. Internal Revenue says essentially the same thing, since they are getting paid the taxes due. Prudential said I could call my congressman and work to get the Social Security disability payments exempted from taxation, and that would resolve my problem; Like that would ever happen.

    Surely this case is not the only time this has happened, and Prudential is not the only insurance company doing this to some of the most vulnerable people in our population, and this could not have been the vision of the lawmakers who originally wrote these laws.

    What can be done?

    Lou Jul 15, 2014  #520

  • Randy,

    Has Cigna formally denied your wife’s claim for benefits? If so, please feel free to have your wife contact our office to discuss her claim to determine what rights she may still have under the policy. Additionally, has Cigna asserted any overpayments on the back benefit award from Social Security?

    Stephen Jessup Jul 12, 2014  #519

  • Greg,

    My wife is on long term disability with Cigna, They hired the company Allsup to try and get my wife on SSDI, After some denials by SSDI they opted to move my wife from disabled status to workable status with them, There was a ALJ hearing scheduled when they made this decision, Upon receiving the ALJ’s decision my wife was found totaly disabled and dated back two years, Cigna on the other hand is requiring my wife to continue to look for work even though her doctor has limited her to one maybe two hours a day but they insist she look for full time work even though she cannot physically do this what should we do in this situation being she is now on SSDI.

    Thank you!

    Randy Jul 11, 2014  #518

  • Gabby,

    First and foremost, my sincerest condolences. The insurance company could have a right to a repayment in light of benefits paid to your brother. If there is an attorney handling the estate, your best bet would be to consult with him/her or in the alternative consult with an estate attorney.

    Stephen Jessup Jul 11, 2014  #517

  • Loren,

    You are not alone in your situation. Quite often a policy will indicate the company is entitled to collect a repayment of any money even if the error was their fault. If they were to send you to collections, their mistake would most likely not help alleviate any portion of the overpayment.

    Stephen Jessup Jul 11, 2014  #516

  • I was a caregiver for my brother who passed recently from colon cancer. My brother received LTD from his employer and upon his death, I sent the appropriate paperwork in to discontinue any LTD benefits and refunded the partial amount which was paid for that monthly payment. My brother had some health insurance issues with his previous employer and they were denying all claims. I consulted an attorney and we filed for SSDI which was approved about 1 month before his death and the backpay of 18,000 was deposited 2 days after his death. I have no idea what to do here. The money would be a part of his estate but honestly I am afraid to touch it. Is this money owed back to the LTD provider?

    Gabby Jul 9, 2014  #515

  • I just received my back pay from Social Security and knew I would have to pay back my LTD to my insurance carrier. I did not notice on the form that they snuck in the STD as well. I also did not use an attorney and had asked them to consider that because I have many unpaid medical bills and other home issues that need taken care of. I told them since they had offered me their attorney to use, I had saved them that expense and did not think it was too much to ask to be granted just a bit of leniency, after being told it was under consideration I find I was being strung along.

    They went retro active and lowered that amount to the new SSDI payment and dates so that I owed them a month back then lowered my rate. I was trying to review all their numbers but I am off due to a head injury and a bit slower than usual in figuring things out and they did not disclose well where the numbers were coming from.

    Through emails I asked them to explain this all to me and it took a few days. Here it is 4 days after I have revived my letter and EOB from them with the figures and they are already threatening to send me to collections if my check is not received in the next few days. The form they sent out in the beginning asking if I wanted to collect the full amt or take a reduced estimated amt to lower the chance of an over payment I had returned saying I would bite the bullet so to speak and take the reduced amt. At the time I was uneducated in the system and did not know I would get a lump sum retroactive to repay them. The insurance company ignored this and kept paying me. I called and was told not to worry that there would be a money if I were approved but was never sent a new form to sign.

    I have already made arrangements to pay them but if they are going to get nasty with me and take me to collections, can this mistake on their part help me at all? I am insulted at being threatened after 4 days while all the time having been in constant contact with the rep just trying to make sense of the figures.

    Loren Jul 9, 2014  #514

  • Judy,

    Most likely your Social Security Retirement is an enumerated offset in your disability policy, which allows Unum to reduce your monthly benefit by same. If that is the case there is no way to collect the full amount from Unum as the policy would dictate the right to offset.

    Stephen Jessup Jul 1, 2014  #513

  • I am receiving LTD from Unum. I am also receiving as retirement. I received one month of ltd I told Unum I was getting ss retirement Unum told me I was over paid for one month that I have to pay it back. I am still on LTD now so they take the amount that I get a month goes towards what I owe them. So they only pay me $15.35 a month. My question is… Can I still receive the full amount of LTD which was $1139 per month and still receive ss retirement of $1048 per month at the same time? SS office said I could because that is 2 different things.

    Judy Jun 30, 2014  #512

  • Patti,

    Any potential repayment plan will be at the discretion of the insurance company. Although it is true repayment plans can be agreed to, it should be noted that the company would be within its rights to decline and such arrangement.

    Stephen Jessup Jun 27, 2014  #511

  • Is it true that instead of turning over the full amount to the insurance company, you can pay them back in payments?

    Patti Jun 26, 2014  #510

  • Sammy,

    You will need to consult with a Bankruptcy attorney to determine your rights as it relates to the overpayment Hartford is asserting.

    Stephen Jessup Jun 21, 2014  #509

  • I was receiving LTD from The Hartford when I retired finally. I had no other income except Hartford. Then after a year My Teacher Retirement of Georgia kicked in monthly. I did not tell Hartford my TRS was paying as I was so ill I couldn’t have. Hartford found out about my TRS and cut it off. SSDI was filed and rejected 3 times during all this. Now Hartford wants $15000 in overpayment. I just got approved for SSDI not have my gotten backpay or monthly benefits yet. Can I file for bankruptcy against Hartford? I was considering it anyway for other debt.

    Sammy Jun 20, 2014  #508

  • Kevin,

    Unfortunately we do not handle VA disability claims so I would not be able to properly answer your question. I would suggest consulting with an attorney that handles VA claims or one that handles SSDI claims.

    Stephen Jessup Jun 17, 2014  #507

  • I draw 100 percent VA disability, can I also draw SSDI or is my VA compensation considered earned income?

    Kevin Jun 16, 2014  #506

  • Mr. Jessup, I filed a written appeal on my own without the aid of an attorney, probably within two weeks of the denial letter. The issue may have been a letter they sent to my Doctor (one of hundreds), when he answered he replied in a very pin pointed response that only dealt with one of my health issues, not on me as a whole, and as you would expect they hung their hat on that letter refusing to send another letter asking for clarification. Never the less, to be honest they had beaten me down with the constant barrage of forms and phone reviews that I was relieved to be finished with them, or so I thought. I’m to the point now that I’m ready to take the back payment check back to my local social security office and tell them to refigure it and base the back pay back just to months I wasn’t receiving LTD just so The Hartford can’t touch it (i’m sure my attorney wouldn’t appreciate that).

    Rick Jun 13, 2014  #505

  • Rick,

    Hartford would only be entitled to a repayment of benefits on account of the SSDI award for a time period that corresponds to when they were paying you. Any amount would be less the attorney fee award allowed by the SSA as applicable to the same time period. Receipt of SSDI benefits is not a guarantee that you will receive benefits under a private disability insurance policy. That being said, it is STRONG evidence of same. Of concern is the fact that you indicate 7 months have passed since the denial of benefits. Under ERISA you have to file an appeal with 180 days from the date of denial. Did you ever file your appeal?

    Stephen Jessup Jun 13, 2014  #504

  • Lori,

    You will need to consult with an attorney specializing in Social Security to determine what duties and obligations you may have reporting any settlement amounts under the SSA rules and guidelines.

    Stephen Jessup Jun 12, 2014  #503

  • I was getting LTD from the Hartford for about 24 months. They denied me further payment after that because of their “primary” job versus “any” job wording in their contract. I appealed, but they sent me a letter saying their usual, that I could do sedentary work and my case was closed. Now seven months later I have been awarded SSDI. If they seek over payment can they only claim the over payment for months they actually paid me or can they take the whole check? If they can only seek over payment for the months they paid me, can I deduct the attorney’s fees off the top of that, and lastly since the SSA says I can’t do sedentary work, would the Hartford have to re-open my case and back pay me the benefits I was denied when they said I could work and obviously couldn’t?

    Rick Jun 12, 2014  #502

  • My husband had long term disability, and they paid for about two years, then some doctor at a desk (who had never layed eyes on him) decided he could go back to work in a sedentary position. He is missing two major components of his immune system due to this work related incident, and CAN’T be around anyone who is sick.

    They did want over $16,000 when SS started paying, and we sent it to them, then they basically said he could go back to work. We figured we were little people fighting big insurance, and his Workman’s Comp attorney pretty much told us there was nothing we could do. Too late to tackle that now.

    My question is this, after 11 years of fighting a Work Comp case in CA, we actually finally had some settlement discussions with the opposing counsel (who recently replaced the one who had been on it), and when we asked our attorney about writing a letter to SS explaining that any monies would have to last my husband the rest of his life (like he told us he would do in 2003), he is now essentially saying ‘screw them (harsher language), I wouldn’t tell them anything’. In CA, do you have to notify SS when your case settles? A MO attorney friend said they have to write that letter by law to Social Security. We don’t want to take his NEW advise and blow them off, then end up having to pay them half of what we may finally get!

    Lori Jun 11, 2014  #501

  • Wondering,

    The authorization for release of information you describe contains very common, overly broad authority to allow information to be released. You do have the right to limit the authority granted under the authorization. Please feel free to contact our office to discuss how your claim further.

    Stephen Jessup Jun 10, 2014  #500

  • My LTD company, Principal Life, is in the process (after 9 years) of reviewing my claim. They just sent me a letter titled “Request for HIPAA Compliant Authorisation” to sign in order to avoid any possible interruption of benefits or delay in claim determination because we can’t obtain your medical information. It states their form complies with the HIPAA Privacy Rule.

    The form I am to sign and return is titled: Authorisation for Release of Personal Health and Other Information to Principal Life Insurance.

    It states that I authorize anyone that has provided treatment or service to me to disclose my entire medical record. (does not state since I was disabled or for whom I have been treated for disability)

    It also authorizes the IRS, social security and past employer to provide info about my employment and income.

    Does this seem legitimate?

    Wondering Jun 9, 2014  #499

  • Angelina,

    If your policy lists disability retirement as a source of “Other Income” subject to offsetting your long term disability benefit, then the carrier would have the right under the policy to seek repayment of benefits provided.

    Stephen Jessup Jun 8, 2014  #498

  • I got approved for non work-related disability at work (gov’t agency) just recently after 9 months. I also have LTD payments from my long term disability insurance from work which started 2 years ago while I was still working part time. I also applied for SSDI but it still pending. Anyway, I got a retro payment this end of May from my disability retirement at work, but my insurance wants to take all of it $4,000 plus some more (I have to pay more that I got) because of taxes and other deductions. I signed the paperwork they gave me for SSDI that they will get the retro pay from SS but not from my disability retirement from work. Is this legal for them to do even if I did not sign any paper to pay them back?

    Angelina Jun 7, 2014  #497

  • Terrie,

    Before you have your husband cancel his LTD insurance please be aware that the amount he might be eligible to receive from the SSA may not be the same amount he receives under the LTD policy. For example if his monthly disability benefit from the LTD policy is $3000 and SSDI only pays him $1800 a month, the insurance carrier would be on the hook for the other $1200 so that your husband’s benefit would still total $3000 a month. Please note your husband can also explore his options in purchasing individual disability coverage through an insurance agent. Such policies do not contain offset language relating to SSDI benefits. However, the premiums for individual policies are much higher.

    Stephen Jessup Jun 6, 2014  #496

  • Mike,

    A review of your policy would be necessary in order to determine what your carrier could do. Many policies contain provisions that relate to sources of “Other Income” that can reduce your monthly benefit. Under these provisions an insurance company has the right to offset your benefit by sources of Other Income you receive OR are eligible to receive. Retirement is often such a source of Other Income. However, it is not common to see an insurance company enforce the “eligible to receive” provision as it relates to retirement benefits, but it is something to be cognizant of.

    Stephen Jessup Jun 6, 2014  #495

  • After reading all these scenarios, can someone please tell me the purpose or benefit of paying for LTD? It seems any money you get from LTD has to be paid back once you get SSDI. So you are actually paying out for disability insurance that if you end up using and then end up on SSDI, you will end up paying back. I am now considering having my husband cancel his LTD insurance.

    Terrie Jun 5, 2014  #494

  • First off thank you for tho site and your help. I am 56 and I am on short term disability and so to go long term. I am able to do what the company calls level-income retirement. Can the long term insurance company force me to do this?

    Mike Jun 5, 2014  #493

  • Jean,

    If your SSDI award contemplated benefits beginning in and including March, then Cigna would be able to assert an overpayment.

    Stephen Jessup Jun 5, 2014  #492

  • I was approved for SSDI the same month I applied, March 2014. Cigna, my LTD, had been paying 3 months at the time I received my first SSDI check. There was of course no back pay.

    $3250 gross, 2901.33 net 1/16/14 from Cigna
    $3250 gross, 3001.37 net 2/19/14 from Cigna
    $3250 gross, 3001.37 net 3/19/14 from Cigna
    $3250 gross, 3020 net 4/18/14 from Cigna
    $1880 gross 4/25/14, from SSDI; sent to Cigna for overpayment
    $1370 gross, 1140 net 5/19/14 from Cigna
    $1880 gross 5/28/14, from SSDI.

    Even though I have not received more than the benefit per my policy of $3250/month, in any month except April, of which I sent them the over-payment, they claim I still owe them $1566.67. They say its because SSDI pays in arrears 1 month and they pay “real time”. So they want reimbursed for March, even though I didn’t get any money from SSDI in that month. Can they ask for money I never received? Isn’t this fraud on their part?

    Jean West Jun 4, 2014  #491

  • Mary,

    If your policy indicates SSDI as a source of Other Income which you have a duty to apply for under the terms and conditions of the policy, then yes, you had a requirement to apply for the benefit.

    Stephen Jessup Jun 3, 2014  #490

  • Mr. Dell,

    I began long term disability in January. I had purchased disability insurance through my employer with a well know insurance claim. My benefit was 70% of my salary non-taxed. The insurance company told me I had to file for social security disability and that whatever I didn’t receive from that, they would make up the difference. I did this and was approved and have been receiving both payments each month totally 70% of my pay. My question is was this really a requirement? Did I have to file for social security disability when I already had a policy guaranteeing me 70% of my pay? I understand you have to be disabled for 24 months in order to qualify for medicare. Would this be why you need to begin your social security disability so you are eligible? I’m feeling sort of cheated by the insurance company because if I didn’t have to file, I wouldn’t have to be paying taxes on any of the income I receive which was my benefit. Right now, I will owe taxes on approximately half of the income because the part I receive from the government is taxable. So, this is sort of a two-part question. Did I have to file for social security to receive my benefits from the insurance company? And can you apply for medicare if you’ve been receiving disability from a private insurance company for 2 years?

    Mary Williams Jun 2, 2014  #489

  • BW,

    This is a typical scenario and is based upon the fact that the SSA pays in arrears. As such the applicable offset of the monthly benefit occurs despite the SSDI payment being received.

    Stephen Jessup Jun 1, 2014  #488

  • I have a problem with Cigna in that they are requiring my partner to pay back money he has yet to receive from SSDI. He was awarded SSDI and did as Cigna requested of him and segregated the retro payment from SSDI. Cigna took the full back payment every cent that was paid by SSDI. Then proceded to tell him that he owed another $500. This amount was due to the last payment he received from Cigna overlaping the retro payment by SSDI by two weeks. Cigna paid thru May 15th and SSDI only paid until April 30. He has to wait until the third week in June for his May benefits from SSDI but Cigna wants that money now, leaving him $500 short for the month. The thing is no matter when they get the money back they leave him short with the shedule they have him on for payments and the schedule that SSDI pay him. The reps at Cigna that I have spoken with agree it is not right to do this but it is company policy. Is it legal for them to demand money not received from SSDI yet?

    BW May 31, 2014  #487

  • Helen,

    If your policy is governed by ERISA, the chances are it contains language that allows the LTD carrier to offset your benefit by the amount you receive from SSDI. Some carriers give you the option of having the estimated SSDI amount withheld from the monthly LTD check in advance of a SSA ruling. So if you are concerned about large overpayments to your LTD carrier I would suggest you inquire as to same.

    Stephen Jessup May 30, 2014  #486

  • If I apply for disability and am awarded SSDI, do I offset what I’m receiving for LTD from my SSDI? I’m not sure what to do if I just apply for SSDI and not the LTD?

    I’m pushing myself to contiue to work and it is becoming increasingly harder to do so, I’m looking for what Im supposed to do if I have to stop working. I don’t want to get into this I owe SSDI or LTD money back.

    Helen May 29, 2014  #485

  • Andi,

    The receipt of SSDI would definitely be strong evidence of disability from a medical standpoint that Lincoln will take into consideration. Additionally, from a more practical financial standpoint, as Lincoln will offset the amount they will owe you monthly by the amount you receive from SSDI you will be less of a financial burden to them, which could also help in getting your claim approved.

    Stephen Jessup May 25, 2014  #484

  • I have a 2 year own-occ LTD policy with Lincoln. I’ve been working with them for months and a determination has yet to be made. They paid 4 weeks of STD. I’ve filed for weeks 5 through 13 at which point the LTD takes over.

    If I am approved for SSDI (in July), will the likelihood that Lincoln will recognize my eligibility for LTD?

    Andi May 24, 2014  #483

  • Steve,

    You will need to review the policy. Typically, ERISA governed disability policies do list Social Security Retirement as a source of other income benefits. If your policy indicates same, then the carrier would be entitled to seek repayment.

    Stephen Jessup May 22, 2014  #482

  • My private ins. co. (Group Policy) is trying to recover $33,000 of SSA Retirement benefits that I began at age 62. They sent me a Reimbursement Agreement that I signed and returned in a timely manner I 2000, which included “offsets” language for SSA Disability only. Any thoughts on their entitlement?

    Steve Gunn May 21, 2014  #481

  • Chase,

    It certainly does not hurt to file a claim with the carrier, but there stands a likely chance that your claim could be denied for failure to provide Notice of Claim and Proof of Loss within the mandated timelines in the policy (typically 90 days after such loss).

    Stephen Jessup May 21, 2014  #480

  • I’ll try and keep this short, feel free to ask any questions necessary.

    I was making $60k a year as a satellite technician, I had wonderful benefits, one of which was Long-Term Disability Insurance. I became disabled in early 2008 with bulging and degenerative disks with debilitating pain and a frontal and bi-temporal lobe closed head injury that severely limits my memory. I went through many battles at the time including with SSDI. The massive decrease in income has massively affected me and my children’s lives. While sitting with a friend they made a statement that “too bad I didn’t have long-term disability benefits at the time because I wouldn’t be having such a hard time now, it jogged my memory and now I’m trying to figure out if it’s possible to file a claim so long after the fact. I’m sure people who’ve become disabled understand the obstacles one faces and having a closed head injury didn’t make anything any easier, I fought to survive and keep me and my children going strong and definitely dropped the ball on the insurance. If anyone knows if it’s possible and knows an attorney willing to handle such a case please let me know.

    Chase May 20, 2014  #479

  • Patti,

    Unfortunately, you’ve found yourself in a situation that many people relying on disability insurance benefits face. There is very little that can be done to erase an obligation for repayment of benefits on account of a SSDI overpayment. You could attempt to negotiate a repayment plan with your disability carrier.

    Stephen Jessup May 20, 2014  #478

  • If you have to return the overpayment to the disability insurance company, then what about the bills you accumulated waiting on SSD? I have large credit cards bills due to high cost of medications. I am on a spend down of over $3000 every 6 months. One of my meds is almost $300 by itself. I used credit cards for Dr. bills and all other medical bills that I was responsible for. I was planning on paying them off when I got my back pay but now it looks like I don’t have a back pay at all. The total credit card debt is over $10,000. I will have to go bankrupt just to be able to make it. I was on STD first and then went on to LTD. It’s been over 2 years now. I don’t know what to do now.

    Patti Schrimscher May 19, 2014  #477

  • Chuck,

    MetLife can move to recover any overpayment of SSDI benefits under the LTD policy as well as for your company under the STD policy. Even if you were to close your current LTD claim they would still be entitled to collect any overpayment.

    Stephen Jessup May 17, 2014  #476

  • Jon,

    Depending on the policy language they could be entitled to a repayment of benefits forwarded. You will need to secure a copy of your policy in order to determine same. Additionally, it sounds like you are still eligible for LTD benefits under the Standard policy. If you are not returning to work you might want to consider keeping your LTD claim open.

    Stephen Jessup May 17, 2014  #475

  • Another “MetLife” scam victim, my company paid for my STD, I and I alone paid for my LTD. Can Met go after back payment SSDI druing the STD 26 weeks? Along with any money after LTD starts?

    Can I just not use my LTD and keep my SSDI money?

    Can Met go after other ins. policys that pay me money from my accident that I pay for?

    Chuck May 16, 2014  #474

  • I filed a worker’s compensation claim with my employer a year ago for an injury that was caused by repetitive motion. I hired an attorney as the claim was denied. During my time off of work I was paid through a private disability insurance carrier that my employer uses called The Standard. For the first few months I was paid via Short Term Disability Benefits and then that converted over to Long Term Disability Benefits. I appealed to the Worker’s Compensation Appeals Board and finally after 10 months I reached a settlement with my employer through a Compromise and Release Agreement that was approved by the Worker’s Compensation Judge and stated that I will be payed a lump sum “NEW MONEY” settlement. This settlement is in addition to any money or benefits that I have already received. As a condition of the agreement I agreed to resign my employment with my employer. I contacted The Standard Insurance to notify them that I am no longer employed with my employer through whom I have their insurance with and that I no longer need the LTD as I have settled. The Standard informed me that they need all the information regarding my settlement as they believe they are entitled to repayment of the benefits they have provided me with. I informed them that I have not yet received the lump sum settlement payment and that I wish to close my LTD claim and that the settlement award is not for lost wages. They informed me that they believe they are still entitled to repayment and that I will need to payback what they claim is overpayments immediately within 30 days. Is this true? How can they be entitled to a settlement award that is “NEW MONEY” for my injury. As per the Compromise and Release Agreement it states that $0 will be deducted for Short Term Disability. Can someone please explain or help me with this?

    Jon Burrows May 16, 2014  #473

  • Darren,

    Thank you for your feedback, and know that we are glad to be able to assist. The LTD plan might not be entitled to any repayment of benefits from the SSDI, but the carrier/payor for the STD benefits most likely will if SSDI was an offset under the terms and conditions of the policy. As for your VA benefits, the vast majority of policies do not allow for the offset of VA benefits.

    Stephen Jessup May 16, 2014  #472

  • My question is this. My employer has a 365 day grace period before you can receive LTD so during this time I received STD. I have been approved for LTD and been informed that I must now file for SSDI, but I have already filed through an attorney 12 months ago. When I receive my back payments from SSDI will MetLife be entitled to the 12 months of back pay prior to being awarded LTD?

    Also I wanted to thank you for your posts… they contained a lot of answers for some other questions I was going to ask. One that I was wanting clarification on was, MetLife does not have a box to check as income on the questionnaire for VA benefits but they do have the all other box. My disability payments from my combat injuries are over 20 years old and predate anything to due with my employer or MetLife. Can they recover these funds in their overpayment policy? I read it a few times and nowhere does it specifically say they can… also I was informed by the VA that no-one but them can garnish these wages.

    Darren May 15, 2014  #471

  • Bob,

    The IME doctor will not release the records from his exam? I would suggest you make a written request to Standard for a copy of the IME report, or in the alternative that they provide it to your treating physician. I do not know if the IME doctor has any duty to provide you with the report.

    Stephen Jessup May 14, 2014  #470

  • Once I was approved by SSDI, Standard Insurance C.. requested that I go to a provider to get an independent evaluation. I complied, but the doctors office refuse now to give me a copy of my medical records for the evaluation and they tell me I must get them from my LTD, Standard. Standard Insurance will not reply to my request. Am I entitled to my records and does the doctors office have to comply with my request?

    Bob May 13, 2014  #469

  • PainFueled,

    For all intents and purposes, yes, you would be basically handing the entire back benefit check over to the carrier based on your hypothetical.

    Stephen Jessup May 13, 2014  #468

  • Neal,

    If you were on disability at the time your employment was terminated then you would still be covered and have rights under your respective disability policies. With respect to your questions regarding employment, you will need to consult with an employment/ADA attorney to see if any of your rights were violated.

    Stephen Jessup May 13, 2014  #467

  • Antonio,

    It would depend on whether your policy has a “recurrent disability” provision that would allow you to re-open your prior claim. Please feel free to contact our office to discuss how we may be able to assist you.

    Stephen Jessup May 13, 2014  #466

  • There’s something about this that I’m not catching… if SSDI is retro-paying me 15 months and my carrier is requiring reimbursement for those 15 months, wouldn’t I just take the funds I receive from SSDI and give them to my carrier? I interpreted the repayment policy to be an anti-double dipping clause… I’m not trying to go to Paris here, I’d just like to keep the heat on and occasionally wallow with my pals Ben and Jerry.

    After 8 months of proving my work worthlessness, my claim was finally approved and I received my retroactive payment via check. My bank account is currently negative, but I haven’t deposited the funds because I fear it’s “to good to be true” after the hell they’ve put me through. If this SSDI situation is the catch, I’d greatly appreciate a heavy duty mitt!

    PainFueled May 12, 2014  #465

  • Hi,

    I was approved by UNUM for STD on March 24, 2014, and allowed benefits starting March 31, 2014 (7 day waiting period per my employer). On April 10th, while on STD I was terminated by my employer for not being eligible for FMLA due to length of employment…

    My question is:

    1. STD and LTD is through employer – does this benefit stop (they told me it ceases after termination) even though I was approved for STD (Unum) before termination.

    2. Isn’t termination illegal if I am offered protection from the ADA – being that a documented disability that I had prior to being employed, but was only worsened from the conditions of that employment – enough that I had to stop working. A mention of an accommodation was discussed, but only fleeting and not accommodation was made prior to termination.

    3. What are my legal alternatives… The employer is a VERY, maybe the best known cancer hospital in the world, and I have had a very good work record and employed my whole life. I am in a protected class, a 50 female, and am no unable to work. Something seems very wrong about all this.

    Neal May 12, 2014  #464

  • I have a good one for you.

    I was on LTD and I was told by employer that I need to return to work by May 6 or face termination. I asked for accommodations and tried to return to work. When I did, they fired me.

    So can I go back on LTD? The doctor will agree because he wasn’t ready to release me anyway, but I persisted so he agreed with restrictions. I have an “own occupation” policy so it is clear that I cannot work in my own occupation (lol). But the “sole reason” must be disability. I am clearly disabled enough for that, but it would seem that illegal discrimination and refusal to accommodate would be other reasons.

    Antonio May 12, 2014  #463

  • Long,

    Under the MetLife policy, they will be due an overpayment on the back benefit check. However, they cannot make you repay the $3500 that the SSA determined the lawyer was entitled to.

    Stephen Jessup May 9, 2014  #462

  • My husband was on LTD with MetLife for the last two years and was receiving a monthly amount. He applied for Social Security Disability back in 2011 but was denied. As of now 2014, he was approved for SSD benefits and has received a back payment from the first time he applied in Oct. 2011 until the current date for the amount that SSD will pay him each month.

    In the itemized list on the ‘Payment Summary’, it does show ‘Here is how we figured your first payment’ but it only goes back to April 2012 until April 2014. I am not sure if we are going to receive another lump payment for Oct. 2011 through April 2012. He will have to call and ask. However, in the Payment Summary, it shows that $3500 was paid to his representative, which MetLife assigned him.

    According to a representative from MetLife, they are stating that we have to give all that money that we received for back pay from SSD to them or they can sue. We contacted a lawyer here in Texas and they stated that if MetLife was not listed on the Payment Summary for owing payment or amount owed to MetLife, then we do not have to pay them back the money. Is that true?

    The SSA knew that he was being paid LTD from MetLife but did not state that they were owed repayment, only that they took out what was owed to the representative that helped him with his case, which again was provided by MetLife.

    We are not sure what to do at this point. Are we required to pay them back? The amount that he will be receiving each month from SSD is less than what MetLife is paying him. From our understanding, if we keep the money and don’t pay it back, then MetLife will not pay the difference each month to make up for the amount he is receiving now, however, if we pay the money, then they will continue to pay the difference each month.

    Long May 8, 2014  #461

  • Jeff,

    We would need to see your policy and any applicable rider in order to potentially assist you.

    Stephen Jessup May 2, 2014  #460

  • Hello

    I have been receiving long term disability payments from NW Mutual for the past 5 years for an own occupation policy. I receive a monthly benefit of 1500 plus another 1900 from a SIS rider I had on the policy. I was denied SSID in 2009. I reapplied for SSID per NW Mutual’s demand. I was approved just for SSID a just received a lump sum of 21000 (16 months) from SSID. I understand that “I reimburse the company for those increases that would not have been paid under the SIS benefit.

    The policy also states that between the beginning date and the end of the SIS benefit Maximum benefit period, the full benefit will be increased by:

    a. 100 % of the amount of the SIS benefit when the insured is not entitled to Social Security disability benefits; or

    b. 40% of the amount of the SIS Benefit when the insured, but no member of the Insured’s family, is entitled to Social Security benefits based on the insured disability.

    I will continue to receive the basic own occupation policy amount of 1500, and now SSID from the government 1500 per month, but my question, will I receive 40% of the $1900 from NW Mutual in the amount of $740, under policy (b.) since NW Mutual’s payment was greater than what I am receiving from the government.

    Thank you,

    Jeff May 1, 2014  #459

  • Patti,

    Unfortunately, I cannot advise you what to do- that decision is ultimately your and yours alone. However, you will ultimately owe the money back to Reliance Standard.

    Stephen Jessup Apr 18, 2014  #458

  • Attorney Stephen Jessup:

    I have been receiving Long Term Disability from Reliance Insurance in the amount of 1006.50 for almost 2 yrs. I have a in person hearing with me, lawyer and a Judge present. I am now hearing of the repayment that will probably take my whole amount of back pay. I have been waiting for this back pay to pay off bills I have accrued since being disabled. My benefit check was not enough to cover my bills so I resorted to using credit cards to maintain the things I needed and my daughter that has a year old son and one on the way. I have no other income. I was hoping to pay these cards off and cutting them up when I finished using them. What if I do and then they come after me for the repayment? I heard from my advocate that I might could make payments to them. Is this possible? If not, I see no other choice but to go bankrupt. I reside in Kansas but everyone I speak with from Matrix, my advocator and Reliance Insurance are all located up North. I don’t know how to deal with it and I’m very uneducated about it as well. What happens if I do take the money and pay off my medical bills and credit cards? I had a spend down of over $3000 every 6 months so I had to pay for all meds and office visits and procedures. This is where the credit cards came from. One of my co pay for my 8 different meds is almost $200 each month! I need surgery but I can’t afford it and I was going to use part of the back pay for going towards that. I don’t know what to do.

    Patti Schrimscher Apr 17, 2014  #457

  • Antonio,

    Unfortunately, I don’t have an answer as to that scenario- as I have never encountered such a situation. Have you contacted the carrier to advise of the SSDI award? If so, have they contacted you with respect to the overpayment repayment due?

    Stephen Jessup Apr 9, 2014  #456

  • I was awarded SSDI after starting LTD, and my LTD policy has an offset provision. Before starting my benefits, SSDI withheld $5000 for a previous overpayment that occurred 2 years before I was on LTD benefits. Will the LTD make me pay them $5000 because of this, even though I never actually received the money?

    Antonio Apr 8, 2014  #455

  • Thomas,

    That is a very unique fact pattern. Typically the policy language typically only allows them to offset your benefit based upon Dependent SSDI benefits that are attributable to your disability. I would recommend seeking written clarification from Liberty Mutual as to how they came to any conclusion in contrast to that.

    Stephen Jessup Apr 6, 2014  #454

  • James,

    You will need to review the terms of your policy and what constitutes “Other Income” subject to offset under the policy.

    Stephen Jessup Apr 5, 2014  #453

  • My daughter receives SSDI payments from my claim and her mothers claim. My daughters mother and I are were never married and do not live together and I have full sole custody of my daughter. The offset is for the combined amount my daughter receives. Can they offset this total? If the offset for my daughters SSDI payment from her mothers claim is an error, can I recover this money from Liberty Mutual?

    Thomas Collura Apr 5, 2014  #452

  • This is short and to the point. Can my insurance ask that 500 as over payment? I mean the 500.00 dollars I get for medical help is the government assistance. I have a sinking feeling about this.

    James Apr 4, 2014  #451

  • Mitch,

    There does stand a chance that Prudential might not force you to repay any of the benefits paid based on their mistaken calculations. In the event that they do try to assert an overpayment repayment please feel free to contact our office to discuss how we may be able to assist you.

    Stephen Jessup Mar 23, 2014  #450

  • Hello. I have an own occupation plan with prudential under which I receive COLA adjustments. I have been on the plan for twenty years and received COLA the entire time. In a review of plan late last year they told me my plan only guarantees COLA for 5 years (I checked the policy and they are technically correct) and they are recalculating my benefit. Will they be allowed to retroactively take back 15 years of COLA. What a blow this would be. Interestingly in 2009, 16 years after going on disability, they sent me check for COLA adjustments they forgot to make for 3 years.. The letter used the language, “which you are entitled to.” Do I stand a chance of not being hit with past COLA liabilities? Thanks much.

    Mitch Chuich Mar 22, 2014  #449

  • Bob,

    No, the minimum benefit is the benefit Standard must pay regardless of any reductions for sources of other income.

    Stephen Jessup Mar 21, 2014  #448

  • Hi,

    I was approved for SSDI in January and now owe Standard Insurance as I expected. My back pay was larger than the total LTD payments, so I will have to pay back all of the LTD minus the attorney fee. I also found out that I have a minimum benefit of $100 per month. My question is, do I have to pay back my minimum payment I received in the past or can I subtract also?

    Bob Mar 20, 2014  #447

  • Terry,

    The insurance company will always seek any repayment regardless of whether you decided to appeal the decision or not. I would caution you not to dip into your retirement account as most disability policies consider retirement benefits a source of “Other Income” susceptible to offset under your policy. Until the carrier makes its decision as to your ongoing entitlement to benefits under the any occupation definition of disability much remains unknown and conjecture.

    Stephen Jessup Mar 20, 2014  #446

  • Dana,

    LTD is not worker’s compensation. Allsup is the company hired by Prudential to secure your SSDI benefit. As your problem appears to be with having the funds of your SSDI released, you will need to contact Allsup to get a clear answer.

    Stephen Jessup Mar 20, 2014  #445

  • Jean,

    Typically only Social Security benefits received on account of your disability (SSDI or DSSDI) is considered Other Income susceptible to offset under the policy. In an abundance of caution I would refer you to your policy.

    Stephen Jessup Mar 20, 2014  #444

  • I have a complicated question. However, I feel as if I must explain it all. In April of 2012 I was pulled out of work because of my brittle diabetes and some continuing ligament problems. I filed my short term disability that day and they denied me. While walking on crutches, it caused some issues to reappear in my neck and shoulders and my nerve problem came back in my hands. So, I was told by yet another dr. not to go back to work yet Prudential denied me. I had surgery in July due to the fact I had to have several doctors clear me for surgery. They back paid my ST to June when my orthopedic surgeon wrote them a letter stating I could NOT work. While my general was fighting for the other reasons. Prudential was clear that they would not pay the short term on the general practioner’s word. So, when it came to being off for longer then what PRUDENTIAL said was a good time for healing I had to fight AGAIN to get the short term… that I paid for! Because of the diabetes had a longer time of healing and had to literally make a complaint with the state insurance protection cabinet(or something close to that name). I recieved a letter a month later stating that I would be getting long term but was subject to it ending soon. While off lost my job for being off to long, went into full multi system auto dysfunction. Lost insurance and really didn’t have a way to keep up the cobra. I missed a doc appt that Jan. they canceled me. When I appealed they told me that they could NOT give me answer to the appeal until I signed a paper with ALSUP. Their legal team I suppose. Now, SSDI is holding my backpay on grounds of workmen’s comp. Now, my question is. How is LTD workmen’s comp. Workmen’s comp to my knowledge is thru state and businesses paying for an individual. I did NOT receive workmen’s comp. How would this insurance be any different than that of car insurance? They don’t hold back for that!

    Dana Mar 19, 2014  #443

  • Once again I thank you for your time and valuable information, where else would we go for what you give us without having to spend big dollars on retaining a lawyer. Greatly appreciated. The Principle (LTD) owes me $560 a month, after reducing me the $1560 that SSD is paying me, that they are now keeping toward their repayment of the overpayment. I still have 41 months of eligibility left from Principle and they will be repayed fully after 35 months and they agree to this which on the surface works and is fair. My question has to do with what I see as a major potential problem. In September of this year they are saying that they will make a determination on wheather or not they can force me into some sort of job due to an any or all type of clause in my contract. The first two years of my contract kept me totally disabled because wording in our contract protected me as long as I couldn’t return 100% to the job I left but that after that two year period they could force me to take any job available or reduce my claim to a percentage of it’s original amount or completely. If they do this and I refuse then they will come after, thru courts, the monies that I owe them since the monthly payment back to them would now be reduced or withdrawn completely and I would have no way to pay them back as my income is now $1560 instead of $1560 + $560 from principle before the ssd award. I am afraid that they will use this any/all clause as a loop hole in getting out of their monthly commitment to me. My ace in the whole has been my potential retirement from the company I was working for at the time of my disability which if I took now would make up for the $560 a month I’m loosing as payback to Principle. The company I worked for was Hostess who is now out of business and the retirement monies would come thru the union. Is there any way that Principle will find out that I have done this (retired) if I don’t tell them, especially since Hostess (IBC) is now defunct. And, how do I battle this any / all clause that if forcing me to take some meniall job could negate my SSD as they deem me totally disabled. Terry.

    Terry Mar 19, 2014  #442

  • Can the Hartford Insurance company offset SSD and Disabled Survivors Widows benefits from their LTD payments? Just wondering if Disabled Survivors Widows benefits are exempt.

    Jean Mar 19, 2014  #441

  • Nichole,

    I doubt you will necessarily find information directly on point with the facts of your case. Any statute of limitations applicable to your policy will mostly likely be contained in the policy itself. Typically, in ERISA policies it is three years. However, that is not to say that there might be something about your case that extends that period. If you have not heard from your carrier since 2011, it might be possible you might not again.

    Stephen Jessup Mar 16, 2014  #440

  • Hi,

    Is there a statue of limitations on how far back a LTD carrier can ask for an overpayment? I live in Florida.

    My LTD stopped in Sept 2011, I had a 24 month disability policy and when the 24 months ended, I was no longer receiving LTD.

    I did apply for SSDI and was approved in May 2011.

    I heard from the LTD once in a letter asking for approximately $20,000 (this was in 2011 October). Heard nothing since.

    I have looked on my credit report nothing there

    I filed for bankruptcy (13) IN June of 2010. I was on LTD but had not heard from SSDI at time of the BK filing.

    I am concerned about this and cannot find information relating to this type of situation.


    Nichole Mar 15, 2014  #439

  • Susan,

    Most carriers will work out some type of re-payment plan. Typically they will withhold all benefits due to you under the policy (in this case the $751) until the repayment is satisfied. However, you will need to contact them to discuss what your repayment options are.

    Stephen Jessup Mar 11, 2014  #438

  • My LTD insurance company paid me $2009.00 a month from Jan 2013 through Feb 2014. I became elig for SSDI as of 3-1-14 and received a letter from SSDI stating my benefits due for the Jan 2013 – Feb 2014 period was $18568.00 They paid $4306.50 to the agency that represented me and sent me the balance of $14261.50. The agency sent me a letter FIVE DAYS LATER to state that I should put the overpayment aside. I didn’t realize I had to put the money aside until this time so I spent some of it to pay long overdue bills. Will LTD companies accept payment plans as there is no way I can come up with $14,261.50 in a lump sum. Or am I obligated to borrow money to pay them back. I am widowed and I have no savings accept the $10,000 left from the overpayment. Will the LTD insurance pay me the difference of $751.00?
    Thank you.

    Susan Mar 11, 2014  #437

  • So, the time in which they can try to recoup amounts already paid (i.e. function as debt collectors) is addressed or limited by policy? Which state law SOL would apply? The one for debt collection? Or contract action?

    Antonio Mar 6, 2014  #436

  • Antonio,

    If the policy is governed by ERISA, then all state laws would be pre-empted in favor of federal law. As a statute, ERISA does not indicate a statute of limitation. In turn, if the policy indicates a statute of limitations (many indicate three years) then the courts will apply same; and in the absence of any indication in the policy the courts will revert to the applicable governing state law statute of limitations.

    Stephen Jessup Mar 4, 2014  #435

  • Is there a SOL for recovery of overpayments? This was a good question I don’t think was answered. What state law would apply – yours, your employer’s, or the company’s? Or Federal?

    Antonio Mar 3, 2014  #434

  • Janet,

    Disability insurance benefits are unfortunately never a guaranteed benefit. Most likely Standard states in its letter that some doctor, whether an employee of Standard or an outside independent doctor, reviewed your medical records and determined that you would be able to work in your occupation with certain restrictions, which Standard assuredly determined would be light duty. Based on this and despite your doctor’s opinion, Standard had enough “ammunition” to deny the benefit. As to whether the denial will hold is another matter. As you have already filed your appeal all you can do with respect to the benefit is wait for Standard to issue its response.

    Stephen Jessup Mar 1, 2014  #433

  • I had been teaching for about eighteen years, when I began having trouble walking, due to a partial knee replacement, in the year 2009. I have serious osteoarthritis, which was probably inherited from my grandmother. When I was forty- seven years old I saw a doctor, for this problem. My knees would go out on me all the time. It was painful to walk, I would fall quite frequently, due to my knees going out on me and sometimes my knee would go out a week or more, to where I could not walk at all. This doctor did a laproscope, because he thought that there was not way I needed a knee replacement, at my age.

    I had seen a specialist, before this particular doctor, who said I had the classic textbook example of osteoarthritis, but he was not going to operate on me, until about five years down the line, due to my age and weight. Well, once the laproscopic surgery was done, by the second doctor, he told me that I had the knees of an eighty-seven year old women.

    He agreed to do a partial knee replacement, because he said the outside of my knee was still good. Well, when I began having problems with my knees going out on me, in the year of 2010, my only option was to return to the physician that completed the surgery. He told me that it was probably just bone spurs, under my knee cap and that I would not need a full knee replacement until about two years later. When he went in to shave down the bone spurs, which I did have, in May of 2009, something moved in my knee. So he opened my original incision from 2009, and found out that a piece on the prosthetic was extremely bent and about to fall off. So, he went ahead and did a revision surgery, replacing the piece with another, larger part. He was not even specialized in revision surgeries, but he completed it anyway, sending me home as an out patient. I saw this doctor from June of 2012, until the very beginning of Jan. 2013. He refused to give the school board a letter stating that I could receive a one-year leave to recuperate. He kept saying that I was too, fat and that I needed to lose weight. Every explanation that I would give him, concerning my condition, he made me feel like I was stupid. I told him that I did not think I could stay on my feet, if I went back to work. I begged him to put a full knee prosthetic in my right knee, so that I could recuperate and return to work, but he refused. so, in my last visit, Jan. of 2013, I asked him to release me because he was not doing anything to help me. I also told him to refer me to another doctor, that I had heard many good things about, concerning his specialty, as a orthopedic.

    I went to see the other doctor, that I had asked for a referral to, at the beginning of Feb. of 2014. He was so upset, right when he walked in the room. He said that the other doctor should not have done a partial knee replacement on me, because I was not even a candidate for it. He sent me for a number of test, mostly to see if I had a bacterial infection. Because one of my complaints was extreme pain, especially at night, from my knee, down to my ankle. He even asked me to go get the laproscopic pictures that the previous doctor had shown me, but they would not release my records to me. The lady in the office said that they could not even make copies for me because they would not be clear enough to see. So, I went to the hospital, that he completed the laproscopic surgery at and got a copy that was left on the computer.

    I showed the orthopedic specialist and he automatically could see, in one of the pictures that they was something sticking out. And another complaint of mine was that sometimes, it literally felt that my knee was cracking all around. The doctor agreed to do surgery on March the 20th, of 2014.

    When he came out of a very long drawn out surgery, he told my husband that when he opened me up, he did not know what to do, for a split second. He said that my partial was not even attached to my thigh bone and it had subsided down to the tibia part of my leg, creating a hollow hole. so, he removed the partial, fixed the hole by running a metal bar under my knee, then put a full knee replacement. He told my husband that he didn’t know how I could stand the pain.

    So, long story, short. I collected 2600.00 dollars a month from my group policy from June of 2012, until Jan of 2014. The LTD is through Standard. They sent me a letter saying that I was no longer considered to be disabled. And, even though my doctor had not released me yet and my twenty-four month period was not over, I could go back to work because teaching is considered a light duty job. But, they also said on the letter, in their definition for disability, that I had to have a physical disease, injury, etc. to be considered disabled. Well, I have osteoarthritis, which is considered to be a physical disease and possibly osteoporosis. My family doctor and my orthopedic made me do a bone scan, a week ago, so I am waiting for the results. Well, that is a physical disease, as well.

    I went to my employer and they told me that they just sold the insurance, they didn’t make the decisions, but without a doctors release, I would not be able to go back to work and that teaching is not considered a light duty job and they do not take any one back on light duty.
    My doctor is aware of that, as well, but he is not releasing me because the main muscles in that one leg were cut on three times. And since they are main muscles that hold the skeletal system, they have to heal, so that they can become elastic again. They are so limber, I have to watch the way I walk, because my knee moves forward alot, because the muscles are not holding the skeletal bones of the leg, as tight as they should. He said that it was not just a full knee replacement and that it would take longer to recuperate. My muscles sometimes get caught in my knee cap, which causes me not to be-able to walk on that leg. So, I am still in pain and on pain meds., which would limit me from being able to teach the extremely hard science classes I teach, to seniors in high school that are mostly college bound.

    So, my question is, why have they closed my claim, if my two-year mark has not been reached and my orthopedic physician has not released me yet.

    I wrote a letter of appeal, addressing to them, why I could not work in my own occupation, at this point in time and justified it. What can I do? I have no other income!

    Janet Henry Feb 28, 2014  #432

  • Rob,

    Thank you for posting. You are correct, they are only entitled to seek repayment for the funds actually paid (less attorney fee for SSDI, if any). In most cases though, that does in fact turn out to be the entire retroactive amount.

    Stephen Jessup Feb 28, 2014  #431

  • Minnesotan,

    Unfortunately, if you were aware you were being double paid by the employer and the insurance company and did not advise the insurance company (as they are the ones claiming an overpayment) they would have the right to seek a repayment of the benefits they paid.

    Stephen Jessup Feb 27, 2014  #430

  • Greg,

    I keep reading that you are stating that LTD insurance companies like Unum will take the whole SSDI retroactive payment. This is not entirely true. I have my policy in front of me and it reads:

    “Unum will not recover more money than the amount we paid you.”

    So I actually was underpaid by Unum so they are not allow to take more than what they paid me, legally. Its written in their LTD Policy on page 6.

    I don’t have a problem paying them what they paid me because I think of it as an interest free loan for 17 months. You can’t beat that so all these people should have read their policies when they signed up. Its a business and LTD is different and NO I don’t believe it should be this way because of the premiums should be deducted from any overpayment in my opinion. People has paid 10+ years of premiums and so the interest plus some extra was paid. What I do like about Unum is my life insurance is waived for life and so at least I still have that. I can’t complain because its worth $200,000. Who can beat this in all reality. Some folks are just money hungry. Myself I made sure I paid most of be debts off before I had to stop working.

    Rob Feb 26, 2014  #429

  • At the end of 2012, my company had decided to change the way they covered their employees during a leave, in my case my soon maternity leave, and went with Lincoln Financial. I was informed I had to purchase it, even though I could be denied by Lincoln (I was 8 months pregnant and had obviously been treated) however I was reassured I would be fully paid during my time off. I received an acceptance letter from Lincoln, another letter saying I was in review a day later, and the day after that I received my first check from them. I brought this up to my employer, and they basically told me it was fine. Total, I received 2,217 during the time I was on my 12 week leave from about Feb 1st – April 2013. Now, Feb 2014, I received a very disturbing call saying I was over paid during my leave, and they need to be paid in full by March 11th 2014. Over a year later! I contacted my employer immediately, and “so they say” they never knew I was receiving checks from Lincoln, and so my employer “picked up the slack” and paid me in full. I understand that I was paid twice, however there was no communication of me being denied, and no communication from my employer. This is even more upsetting because I just cancelled my policy in Jan 2014, and quit my job. Is there some sort of expiration date on when they can ask for these funds?

    Minnesotan Feb 26, 2014  #428

  • RJD, thank you so much for this great information! Wish we could communicate more on this subject.

    Nancy Feb 26, 2014  #427

  • PD,

    Unfortunately, as is the case with almost every ERISA governed group disability policy, Unum does have the right to seek repayment of the overpayment. Due to the offset language contained in the policy, disability insurance benefits are akin to the carrier advancing you money on your SSDI claim. This is why some carriers give you the option from the start of having your monthly benefit reduced by the amount you would receive from SSDI so there would be no issue (or at least a minimal one) of an overpayment if and when SSDI is received. You might have legal grounds to challenge the overpayment, but from a practical standpoint the cost of litigating those issues often makes it financially unrealistic for an insured to pursue.

    Stephen Jessup Feb 24, 2014  #426

  • I was granted LTD through Unum in 2005. In January of 2014 my SSDI was approved. Unum wants over
    $43,000.00, I read the post from Helpless in PA, the difference in our case is that my SSDI payment is over $200.00 more a month than what Unum was paying me. Do I really owe Unum this money? They have reduced my payment to $10.50 a month.

    What will they do if I refuse to reimbrse them? I have had to pay for all my own medical bills for over 6 years. Is there an attorney in Florida that is willing to take on Unum?

    PD in FL Feb 23, 2014  #425

  • Nancy,

    We represent claimants nationwide. Please feel free to contact us at your convenience. Attorney Cesar Gavidia handles the California cases in our office.

    Stephen Jessup Feb 23, 2014  #424

  • Richard,

    Unfortunately, we handle claims for benefits under private or employer provided disability insurance benefits. As such, I would not be able to give you any direction. You will need to consult with a worker’s compensation attorney to determine your legal rights.

    Stephen Jessup Feb 23, 2014  #423

  • John,

    Without seeing the policy we would not be able to tell. That being said, many policies indicate that 401(k) or other similarly categorized retirement plans funded by the employee are not subject to being offset as “Other Income Benefits.” As such, based on your indication as to your tier 2 distribution from the Railroad, you may be correct in your analysis. Please let us know what the carrier determines.

    Stephen Jessup Feb 23, 2014  #422

  • Sir,

    I am a quadriplegic disabled at work in Minnesota in 1978. As a result, I have been receiving worker’s compensation benefits since that time. Recently, the insurance company has stated they have been miscalculating the amount owed to me.

    They only learned of the overpayment because of an audit by General Reinsurance Company who now pays my benefits because my insurer (State Farm) has long ago exceeded their dollar cap. (They had an umbrella policy with General Reinsurance.)

    After General Reinsurance Co. audited their handling of my benefits and collected $15,000 from State Farm, State Farm then began garnishing $500 per month from their check to me.

    My question is: Is there a statute of limitations which would prevent them from recouping over payments made to me because of an accounting error on their part? The errors in payment date back to the early 1980’s on up to recently.

    Thank you,
    Richard Croatt

    Richard Croatt Feb 22, 2014  #421

  • Tony,

    Thank you for sharing your perspective.

    Stephen Jessup Feb 22, 2014  #420

  • Mr. Dell, I will get in touch with you privately. I live in California, will that be a problem?

    Nancy Feb 21, 2014  #419

  • Mr. Dell this is a great site. Well designed and informative. Thank you for allowing me it’s use.

    I have a related question to overpayments captured by insurance carriers once, as in my situation, a railroad worker has been awarded a permanent disability annuity from Railroad Retirement. The insurance carrier had me return the overpayment capturing both tier 1 and tier 2 distribution of my Railroad disability annuity. I believe that is not correct and have challenged the insurance carrier with a letter requesting the monies be returned and that they increase my monthly benefit accordingly. The tier 2 of my annuity is considered a private pension and is taxed as a private pension. I was a co contributor to this pension. With that, I believe the insurance carrier should not be deducting the tier two amount. Do you concur?

    John Feb 21, 2014  #418

  • RJD:

    Thank you for excellent and very helpful comment. Your comment is very accurate and goes along with the saying that “diagnosis does not equal disability”. It is the restrictions and limitations that manifest themselves as a result of the disabling condition which are the key in any disability claim.

    Gregory Dell Feb 21, 2014  #417

  • Omar,

    If you are seeking SSDI benefits, you can usually only receive one year of back benefits. Since you are working full time since October 2012, it does not appear you would be eligible for an earlier period of time. It is great that you have been able to work. Now that you are working you have probably been paying into SSDI, which will likely increase the amount you may be eligible for if you need to file for SSDI benefits in the future.

    Gregory Dell Feb 21, 2014  #416

  • Nancy,

    It sounds like you may have a private disability insurance policy. Most disability companies try to limit a disabling condition to mental, so that they only need to pay for 24 months. You need to prepare and anticipate this defense. Please contact us privately and we can discuss how we may be able to assist you with your situation.

    Gregory Dell Feb 21, 2014  #415

  • Nancy,

    Please listen to the advice given here. I’m in the same situation after 3 years. I was told basically to stop seeing MD shrink for depression. I actually still see a counselor once a month. But, the last set of Daily Activities forms the insurance companies send us generally every 6 months. I did not put the counselor down any longer. I also filled the counselor in on how I see the 2 year mental-nervous claus. I take it serious as in they can change a claim over to mental from physcial. Most of even my own doctors argue with me how they think this can’t happen. They say pain #1 & mental(depression-aniexty-panic)is #2. But, the LTD policy reads like this. If after 2 years your reason in not being able to work any job, if its in whole or “part” related to a mental or nervous condition. We don’t pay any longer. The key wording here is if its even in “Part”. Which it is in part if its stressed?

    So, in my case I’m a year beyond the 2 year mark. I stopped the depression meds at the 2 year mark. I stopped seeing the MD shrink whom wrote for those type depression meds. I didn’t feel either that they were helping me any. But I still see the counselor. She is aware & says I’m seeing her for coping with pain now more so. It has been difficult to even convince her that the insurance carrier could be immoral & say that all the spine pain, sleep apnea, etc is all because of depression & stop payments. But, I’ve read stories where someone with a handful of real phycial issues that cause pain. The insurance company still can steer things to the mental-nervous claus which is a terrible thing to do. I believe that “can” happen because things are all governed under ERISA law in federal court versus state court. If things went before a Judge. All he’s going to do is ask 1 question. He will say Nancy was your reason after 2 years in being unable to work in part related to your depression? You will say yes your honor, BUT I have pain first that causes my depression. Then he will say I understand that. BUT, was it in part I asked you? You again say YES. He then reads you the legal fineprint contained in your LTD policy. He says Ms Nancy if after 2 years the reason you can’t work is in whole or part the reason for having depression, then we the insurance company don’t pay any longer. Then that’s it. All your friends, family, opinions, all your doctors can disagree all day long that no they can’t do this because PAIN is your #1 issue. Well, they can & at times they will do it. I have one doctor that has on that last page of my visit notes. That I have depression that is controled, maybe that helps, it mentions aniexty =anic attacks also. I really have tryed to get that so the doctor doesn’t keep duplicating those statements. But, he acts like I’m making a big deal out of nothing. If they stop paying then what’s he going to say, he’s sorry? That doesn’t pay the bills. So, its an issue for sure. When I saw this posting it really hits home & is a very good point to make to others about how the 2 year mental-nervous claus can hurt someone if the insurance company uses it to stop payments.

    I wish you less pain & that you really have learned from what’s been said here. God Bless you & be well.

    Tony Feb 21, 2014  #414

  • Nancy,

    Remember free advice is worth what you pay for it. But I do not agree with Anon’s posting.

    The first thing any competent mental health professional does is rule out organic causes. You don’t get much more organic than meningitis. Trying to alter medical records can only blow up in your face. And do not beat yourself up, if you were a burn victim you might be expected to feel a bit badly about it, to say the least. You got burned from inside the central nervous system. It does get any more direct than that. Go ahead a feel as bad as you may, but remember the battle is going to be over how your medically induced restrictions affect your ability to work. The mental health thing is a contractual trap, but one easily avoided by having an organic (physical) cause.

    Yes, Disability companies play every imaginable game to increase human suffering in order to boast their own profits. It does not mean that they must always succeed. Get the appropriate specialist, (Internist, Neurologist, Radiologist or Psychiatrist) to document the organic origins of your condition. (In your case you might even look into suing the Radiologist and the institution that allowed the procedure. If you won, your disability case would be a slam dunk. Just a thought). Remember Psychiatrists (but not Psychologists) are first trained as Medical Doctors (MDs) and only then can they specialized further in Psychiatry. They must always consider organic causes first ahead of “mental illness”. (Mind you some of them might be as crazy as their patients, but that is true of all medical practitioners, lawyers, and people who post to blogs…).

    Of course when the brain is destabilized physically (organically) nasty consequences follow. That is not mental illness, it is a physical disease state just as surely as if somebody blew half of your brain away with a gun shot leaving any reasonable person with the expectation that you would be expected to suffer negative consequences.

    Here’s the basic deal: medically based disability is a three step process, of which only the first step is actually medical. The three steps for proving a medically based disability are:

    1. There must be a medical condition identified by a medically qualified (licensed) professional(s).

    2. That medical condition(s) must lead to a behavioral restriction or limitation. (Known in the disability field as R & L). The R & L(s) must be recommended and documented by the medical professional as resulting from your medical condition. A restriction is something that you can never do; like if you have a bad back you must never lift more than 10 pounds. A limitation is a lesser ability to do something; like you can only be on your feet for a maximum of 4 out of 8 hours a day. Watch out, the R&Ls are the disabling condition, not the medical condition!!! You can have a 12 inch tail which could be medically unpleasant, but it would not restrict your ability to work. But you could have a bad back or severe neural problems that would preclude from loading a truck – its is the inability to lift that is the disabling condition regardless of which medical condition gave rise to it.

    3. Lastly the R&L must keep you from doing some vital part of your job.

    So it goes: medical condition -> behavioral restriction (R&L) -> can’t meed job requirement -> disabled.

    Don’t such into medical debates, they don’t matter much as long as your treating physician can back them up. You have to win on being restricted (and or limited) because of the medical condition such that you cannot perform your work. The Disability company will attack you every step of the way. But if you have the facts on your side, and the willingness to pursue your case, if you have an excellent chance of winning.

    RJD Feb 20, 2014  #413

  • I have a long term disability (genetic disorder, muscle atrophy) but I am working full time as of October 2012 to now. My questions is since I was not aware of the SSI income and Disability income earlier, can i claim them for the previous years? Please let me know about my inquiry because nobody has guided me and my family on the right path. I would really appreciate all the help.

    Omar Feb 20, 2014  #412

  • Hi Anonymous,

    Thank you so much for your information and advise! I really appreciate it.

    Nancy Feb 20, 2014  #411

  • Hi Stephen,

    The adjuster calls from Unitedhealthcare but her letterhead states Unimerica Life Insurace. This is a long term disability policy I bought at a benefits fair at work, so I paid the premiums through my paycheck. My employer did not pay any of the premiums. This is not health insurance. I get a disability check from them once a month. What I am thinking is that they will try to use the mental diagnosis’s as the primary diagnosis when that is not the case. My primary diagnosis’s are degenerative disc disease, headaches which are severe in nature, chronic back, neck and leg pain s/p surgery and chemical meningitis.

    They have sent me more forms to fill out, ie: a headache log, supplemental statement, mental status supplemental questionnaire (for my therapist) restrictions and limitations form (for my therapist) and a activities log for me to fill out to what I do Monday to Sunday (broke down my hours to equal 24 hours)

    Thank you so much for listening and for any advice you can give me.

    Nancy Feb 20, 2014  #410

  • Mario,

    If the policy allows for the offset of your disability benefit by any amount received by worker’s compensation, retirement or any other defined source of “Other Income” then you could be liable for repaying the carrier. I am unfamiliar with “4850 time,” you will probably need to consult with an employment attorney with respect to any rights you may have pertaining to that issue. With respect to your question regarding the tax ramifications that is something that only a qualified tax professional would be able to answer for you.

    Stephen Jessup Feb 20, 2014  #409

  • Anonymous,

    You are correct, we would agree that if a disability insurance carrier can direct a claim to a condition with a limited benefit period (be it Mental Health/ Self-Reported Symptom/ Substance Abuse) they will most certainly do so. Nancy, please feel free to contact our office should you wish to discuss your claim in detail.

    Stephen Jessup Feb 20, 2014  #408

  • @Nancy,

    I have been going through this process with ERISA LTD claims for 3 years now.

    I understand your problems. Let me explain something you need to clearly understand.

    The insurance is fully aware of what they do causing anxiety and stress in addition to your physical problems.

    Let me give you some very sound advice that I urge to listen to here.

    First, they know how to steer your claim into a mental issue. Most policies written by employers have a 24 month clause for mental issues. Although yours is physical anxiety and stress can cause more pain in addition to your physical problems. Insurance companies are aware of this and know how to change your claim from physical to mental to get you disqualified from the 24 months rule.

    This means that while you believe your problem is physical. The very fact that you are having anxiety and depression expect your claim to be reversed into a mental one. They know how to do it.

    My advice is get your depression and anxiety under IMMEDIATE control, Nancy. Because if you don’t you are only giving them ammunition to uphold your denial and get you disqualified from the 24 month limit so they are doing this now to use evidence against you later.

    Get it under control stop seeing a therapist isn’t going to help your claim it will harm it. Seek inner strenth instead and I hate to sound so blunt but focus on your physical problems ONLY a your going to need to grow a pair. There in business to make money and they are immoral in their decision making.

    I highly advise you take my advice because later when you hit that 24 month mark in your policy your significantly reducing your chance to rebuke their claims that your problem isn’t physical but more mental to get you disqualified.

    Please listen to this. I understand your being honest with your claim of being physical. Hire an attorney put this to rest and get your depression and anxiety out of your medical records for the future of your claim. Let the attorneys like Dell deal with your anxiety and depression and move on with your physical recovery as best as possible. Ok? Do we understand each other that they are structured to deny you from the beginning?

    And watch out for PI’s on contract changes. Usually a year prior to you hitting the 24 month mark exepect videos to start surfacing. So just be honest with you claim and realize that getting anxious and depressed is exactly what they want you to do! Don’ t do this get yourself in gear and over this and get out of therapy as soon as you can and hand it over to an attorney. No one will win against them without legal counsel. And I fully expect Mr. Dell to agree with what I said.

    I’m going through all this today and it’s nearing an end. Thank god all of you.

    Please listen to me they are immoral and will do anything including driving you to insanity to get your case denied on the basis of “mental”. There day of reckoning with your god is coming. And anyone working for them isn’t going to get that free pass if you get my drift. They know what they are doing is immoral.

    Anonymous Feb 20, 2014  #407

  • Background:

    I was a qualified Public Safety Officer in California and sustained a work related injury in December 27th 2012. I began receiving LTD payments in March of 2013 of 66 2/3rd percent of my regular salary, and I used benefit hours from several of my banks to cover the remaining 33 1/3 percent (100% of my salary) while I appealed my W/C claim. In the end of April 2013, an independent medical examiner found that I was injured and that my injury was indeed work related. I settled with the City and retired on August 31st 2013. In our settlement which was approved and signed by a WCAB judge, it states the vacation hours that I used during my absence from work between January 1st to August 31st 2013 should be converted to 4850 time (4850 is full tax free salary up to one year for a Public Safety Officers if they sustain a work related injury and are temporary or permanently disabled). The City reimbursed all of the benefit hours that I had used from my banks during that time period. I subsequently received a cash payout after I retired for those hours that I’ve accumulated in several of my benefit banks throughout my 6.5 year career for the exception of sick hours.

    The insurance company is now claiming “over payment” of the hours that were reimbursed by the City and paid after I retired. Those hours were used between the months of March 2013 to August 2013, but ordered by the judge to be converted to 4850 time.

    Question #1:
    Is the insurance company entitled to reimbursement between the months of March and August 2013, even though my injury was deemed work related, and I was entitled/received 4850 during that time?

    Question #2:
    Can an insurance policy between the City and the Insurance company override state law pertaining to 4850?

    Question #3:
    If they are entitled to reimbursement and I pay them back, how do I claim this reimbursement when I file for taxes in April 2014? For example, the insurance company documented that in 2013 they paid $28K of taxable income to me. Two week later, they recalculated the disability payments because I have been receiving PERS retirement payments as well, and stated that I owe them $22K of “over payments”. They are now refusing to adjust the W2 to correctly reflect the amount that they actually paid of $5K once reimbursement is made.

    Any advice would be greatly appreciated.

    Mario Feb 19, 2014  #406

  • Nancy,

    If this is related to a health insurance policy (I have yet to see a United Healthcare disability policy) then I would not know how to advise you. Is it a provision that they will only cover doctor’s appointments that relate to mental health treatment for a periof of two years?

    Stephen Jessup Feb 19, 2014  #405

  • I have been receiving LTD payments for a year now due back surgery which did not help and now have more pain and other health problems. I also contacted chemical meningitis do to a spinal puncture during a radiology procedure which is also causing health problems. Due to all of these health problems I have been diagnosed with anxiety and depression. I received a call from Unitedhealthcare and also sent paperwork that they want filled out by my therapist. The paperwork states they only pay mental for 2 years, since my main health issues caused my anxiety and depression diagnosis can they only pay me up to 2 years? All my doctors confirmed that my health issues caused the mental problems. The Insurance company does put stress on you and they know it.

    Nancy Feb 18, 2014  #404

  • Terry,

    The LTD carrier will not garnish your SSDI check in the sense they will intercept it and take it. Instead they will more than likely withhold any check they would send to you until the overpayment is satisfied.

    Stephen Jessup Feb 18, 2014  #403

  • Thankyou for the answers and your time, very appreciated. I didn’t word my last question properly so Let me try to do so. If my LTD carrier sues to recover over payment monies by garnishing my Social Security Disability monthly payment to me is there a ceiling percent of that monthly SSD payment to me that a court will allow? Example: my SSD is $1560 a month and overpayment by LTD is $20,000. Would a judge let them garnish the entire monthly amount of my SSD or a maximum percentage of that monthly amount until the debt is satisfied? In other words, would a court allow the distruction of an individual by garnishing that persons entire monthly income (SSD) until satisfied or a percentage of that monthly income (SSD) over a longer period of time…

    Terry Feb 17, 2014  #402

  • April,

    Under the typical ERISA disability plan you will owe the carrier back all money that they have paid you thus far that coincides to the timeframe the SSDI payment is for. It does appear that there is a difference (to your benefit) in the amount between the two, so make sure the carrier provides you with a detailed breakdown of any overpayment.

    Additionally, most policies have a “minimum benefit” amount that is typically $100.00. So even though you are receiving more from SSDI, you might still be entitled to the minimum benefit contained in the policy from your insurance carrier. With respect to any questions as they relate to taxes, you will have to speak to an account or tax professional, as we cannot provide any type of tax advice.

    Stephen Jessup Feb 14, 2014  #401

  • Military Wife,

    First and foremost, thank you to your husband for his service. Unfortunately we do not handle SSDI cases, so I would have to defer you to a Social Security attorney as it relates to your husband’s chances. If you are having a difficult time locating one in your area, please feel free to contact our office and we can assist in connecting you with one.

    Stephen Jessup Feb 14, 2014  #400

  • If I am only drawing $1213.00 a month from my LTD and I recently got approved for SSD in the amount of $1300.00. Do I have to pay my LTD back the full amount of my back pay or just what they paid out to me? Also, LTD is taxed and SSD is not so, will I be able to file an amended tax return for the last two years in which I have owed state taxes on the LTD? Thank you!

    April Feb 13, 2014  #399

  • Took my husband in today to apply for SSDI, he was injuried in Afghanistan and I medically retired from the Army. The caseworker told us are benefit amount and told us about the back pay. I brought in his DD214 and all of his medical records. Do we have a good chance at being approved? He has 12 disabilities and rated 60% disabled by the Army, and 70% by the VA. He suffers from Bipolar, anxiety, adjustment, PTSD, right knee tear, left knee pain, back and hip pain and sleep apnea. Thanks for any advice.

    Military Wife Feb 13, 2014  #398

  • Terry,

    I am not necessarily following your question. If you mean you want to fight your insurance company’s right to repayment and if you lose can the insurance company garnish your whole disability benefit until the overpayment is satisfied- then yes. Typically carriers will withhold paying your monthly benefit until an overpayment is recovered.

    Stephen Jessup Feb 13, 2014  #397

  • If I choose to fight repayment of overpayment and lose and subsequently have SS disability garnished, is that monthly amount of garnishment restricted to a ceiling percent of my monthly benefit or could a judge garnish my entire SS disability monthly payment?

    Terry Feb 12, 2014  #396

  • JD,

    You will need to consult with a Family Law attorney to determine the answers to your questions.

    Stephen Jessup Feb 10, 2014  #395

  • I have been disabled for 15 years and married for 12 years. For the entire 15 years, I have received both LTD and SSDI. We are now divorcing.

    Can income from alimony, assets, or investments reduce (or be reduced by) either LTD insurance or SSDI? What if I get a portion of my spouses 401K? What if I rent out a room in my house for extra money?

    JD Feb 9, 2014  #394

  • Mark,

    You will need to consult with a tax professional. The taxability of Social Security benefits is outside the scope of our specialty.

    Stephen Jessup Feb 7, 2014  #393

  • CCD,

    Under most policies he would be responsible to repay Unum for any Primary SSDI benefits (those due directly to him) and Dependent SSDI benefits (those received by a dependent on account of his disability) received.

    Stephen Jessup Feb 7, 2014  #392

  • I received 6 months back social security disability with no taxes taken out for the months 7/2013 to 12/2013 & received it in January 2014. I called the IRS & was told I will be liable for the taxes on that amount. An amount which will put me into a higher tax bracket. Can I negotiate down the 14,123 award from social security down & hold out enough money to pay the tax liability. It doesn’t seem right that I should pay the taxes for money the company will benefit from. Taxes were taken out of the amount of paychecks I received while I was on the company Short Term Disability Program. I never went on their Long Term Disability program.

    Mark Horton Feb 6, 2014  #391

  • My husband received LTD from UNUM for two years (2011-2013). He was recently approved for SSDI with an onset date of Nov 2010. I know we have to pay UNUM back when he receives his backpay but not sure how they calculate it. We don’t know the amount he was approved for yet. But let’s just say he was receiving $2400 per month from UNUM for 2 years. His SSDI gets approved for $1700 and his ex wife gets $850 for the kids. $1700 is less than what UNUM paid him but if you add in what his ex will receive, the total is more. Will he be expected to pay all $2400 per month that he received from UNUM or just the $1700?

    CCD Feb 6, 2014  #390

  • Steve,

    Please feel free to contact our office to discuss your claim in greater detail. If your policy is governed by ERISA, then the analysis becomes more specific to any potential discretionary language in the policy.

    Stephen Jessup Feb 1, 2014  #389

  • Sue,

    Thank you for sharing. This is valuable information for people covered under group disability policies.

    Stephen Jessup Feb 1, 2014  #388

  • I have a deductible source of income question and it’s technical (I am a former insurance claims litigation director prior to disability, fully versed in policy/coverage interpretation). My policy contains the customary deductible sources of income, including the standard for unemployment benefits. However, my policy contains the following pertinent language: “Prudential will only subtract deductible sources of income which are payable as a result of the same disability.”

    Here are the pertinent details to my case. I become disabled in May 2010. Shortly thereafter, my employer laid me off (documented by letter, basically claiming my position was eliminated). I applied for STD and LTD (LTD was denied at first, appealed, and awarded and continuing to date). Prudential took the position that unemployment benefits received were a deductible source of income. I disagree and cite the above language. My unemployment (deductible source) did not “result of the same disability.” When I applied for UC, I expressly stated that I was laid off, and I expressly disclosed that I was disabled, and expressly stated that I could not perform my prior occupation. I was awarded UC in spite of these express representations.

    Prudential dismissed my position, and took a long vacation from paying benefits. The amount is significant. It is my position that the UC benefits are the result of being laid off, and NOT the result of any disability.

    Do you think I have a case worth pursuing to recover this significant sum? Given that I was just awarded SS disability, and they owe me a significant retro sum, I want to revisit the issue prior to turning over this significant sum. Your thoughts?

    Thank you in advance.

    Steve Jan 31, 2014  #387

  • Hi Greg,

    I just happened to come across this e-mail and hoping that this might help you & others.

    I also have The Standard long term disability along with Social Security for me & my children. They came back to me about my kids getting Soc. Sec. payments and that I was over paid. (It was for about 5+ years & would be a large amount of money due back). All the papers stated like you said: kids Social Sec. money is also considered payment. But by a miracle, I had kept my paperwork forms from when I started my job in the late ’80’s (but they still had it in last year). And there was a small line under the kids Soc. Sec. money to be include that stated “AT THE TIME THE DISABILITY STARTED”. This doesn’t happen very often but my kids where born AFTER my disability started. (I hope this might be something that can help someone else because it was terrible going through this).

    Good Luck to all.

    Sue Jan 31, 2014  #386

  • RD,

    I would agree with your logic; unfortunately the case law is quite clear that although receipt of Social Security Disability benefits is evidence of disability that an insurance company must consider, the receipt of SSDI benefits, in and of itself is not a guarantee that you will be approved for benefits under a group or private disability policy.

    Stephen Jessup Jan 30, 2014  #385

  • Simple question. If a disability company takes payment to reclaim the SSDI lump sum payment are they not accepting that the SSDI judgement of disability is in effect? Since their contract creates the relationship surely they cannot later claim that it is immaterial, especially if they have accepted large payment in cash and then subsequently reduced what they claim is their liability to the disabled policy holder under the policy. This is in distinction to any decision made before they assert their right to claim on SSDI payments. In doing all of this have they not created an estoppel that they can independently deny further claims while SSDI is in effect?

    It would seem to me either they have created a conflicting standard contra proferentem that should be resolved in favor of the claimant or they should have to refund their now underpayment of the original claim and subsequent payments. How can they invoke binding SSDI commitment on the part of the claimant and then disavow it as convenient? Furthermore, they often attempt to gain privileged access to SSDI information through dubiously “independent” third party SSDI assistance in their pay which they can and will use against claimants. Had they not created this situation they would be in the clear, but they did, and so they should be held to it. They set the standard and took the moneys to back it up thus cementing the relationship.

    RD Jan 29, 2014  #384

  • MDB,

    It seems like the real concern based on the information provided is whether or not you were covered by the policy in the first place? Did you seek clarification form your HR department to prove you were covered under the policy at the time of disability.

    Stephen Jessup Jan 27, 2014  #383

  • I have been out of work after a surgery for almost 8 months now. I applied for and was given SSDI for full disability. MetLife denied my STD because there was a gap in my coverage during the last 4 years of my employment with the company I worked for. I had to send in a statement of health and they denied the coverage. I had and paid for LTD with MetLife since my start of employment and recently applied for the LTD claim. Question while I am out of work, am I still covered if my premiums have not been paid to MetLife? I never received a bill or notice from work that it would be discontinued while disabled.

    MDB Jan 26, 2014  #382

  • Jean,

    The policies typically only reduce for social security benefits based on your disability. The policy should indicate exactly what will constitute “Other Income Benefits” that the carrier can offset your benefit by.

    Stephen Jessup Jan 25, 2014  #381

  • Paul,

    You can certainly call them to inquire as to whether they can estimate your SSDI benefit and begin offsetting your policy now for same. That being said, I am of the opinion that a paper trail is always a good thing when dealing with an insurance company, so I would also follow up in writing.

    Stephen Jessup Jan 24, 2014  #380

  • Paul,

    The carrier will not know the status of any potential overpayment until they receive information as to same- such as when you receive a notice of award from the Social Security Administration, Worker’s Compensation or from any other source of enumerated “Other Income” in the policy.

    Stephen Jessup Jan 24, 2014  #379

  • Can a LTD insurance carrier deduct both SSDI and Disabled Widow’s Social Security payments?

    Jean Jan 23, 2014  #378

  • How long will LTD wait until they inform you of any overpayments?

    Paul Jan 23, 2014  #377

  • Hello,

    I am trying to find out how to contact my LTD carrier regarding the change in the way my overpayments are handled. I would like them taken out on a monthly basis, instead of getting hit with some big “surprise” in the future. Should I call or write?

    Paul Jan 23, 2014  #376

  • Gilbert,

    Unfortunately we do not handle SSDI claims, so I would be unable to provide you with any guidance other than to suggest you speak to a Social Security attorney.

    Stephen Jessup Jan 22, 2014  #375

  • Kim,

    Based on your prior post, I am assuming that the offsets are already in place. As such, I do not know if you would be able to change the option you selected to have American Life estimate and offset your benefit by other income sources.

    Stephen Jessup Jan 22, 2014  #374

  • Dear Sir,

    I began collecting SSD on February 2013. I applied on Sept.2010 was denied and I appealed it and won. So in 2013 I began to get benefits. Also, I received worker’s compensation but was terminated on November of 2012 until I went back to court with more medical records and October 2013 got my worker’s compensation reinstated but with temporarily partial payments. On December 2013 and January 2014 from the 1,304.00 Social Security was cut to 645.00 to 545.00. Now I received a letter of an overpayment of 6,000 plus dollars and that the agency will hold all payment until October of 2014. I do not understand how could created a such overpayment when I was not getting workers compensation. I am in more trouble, why I am being punished severely by this agency? This situation will cause an undue hardship to me. Worker compensation will go away any time now. I filled an appeal last week. Is there any other ways to prevent for them to take the whole thing away? I did the math and I think is around 13,000 dollars punishment and I am disabled. Can you help me please, or give advice?

    Gilbert Guzman Jan 21, 2014  #373

  • Hello,

    I was looking through my policy and I noticed a choice of 2 check boxes. One adjusts offsets automatically and deducts from you benefit. The other makes you liable for any overages in the future. I checked the latter. Could I call and have that changed? I would rather this be adjusted on a monthly basis. We checked box b without knowledge and understanding.


    Kim Jan 21, 2014  #372

  • SJ,

    With respect to Unum asserting an overpayment, there is very little you can do if the policy allows for it. Had you selected Option A, and it was enforced, Unum would have reduced your monthly benefit by the amount you would have been estimated to receive on account of SSDI. Although it seems unfair, at the end of the day you end up having received the same amount of money regardless of what option you chose.

    Stephen Jessup Jan 20, 2014  #371

  • SJ,

    Unum might consider a repayment plan (usually they will garnish your benefit check until they recover the overpayment) if you do spend the back benefit check from SSDI. There may also be the option of potentially negotiating a lump sum buy out of your policy that could also address the overpayment.

    Stephen Jessup Jan 20, 2014  #370

  • As well, I just looked up my account on the UNUM site, and it lists all the correspondence, and I looked at the letters from 2012, and I do recall now, I picked Option A on that form to have SSDI take from my check, and then the rep calls me and coerced me into picking Option B, and I have mental issues, and I did not understand even what any of this was about or the repercussions of any of it, so I went with what she was saying. Then, I got the letter confirming that she changed it to Option B. So that is on record.

    Then, just a few months later then they call me and tell me I have to go on SSDI, and that Genex will be repping me. I just feel ripped off. I just wonder if there is anything I can do, as I really did pick Option A, and there is the letter there to prove that was my original choice before I was talked into the other option by their rep. Anyways. Any help?

    SJ Jan 17, 2014  #369

  • I was just approved for SSDI. I also get LTD from UNUM. OF course, they want my back pay now. What happens if I use that money to pay my outstanding bills? Can I set up payments with Unum? And will Unum charge interest? Because my payments right now with everyone else are high interest and a lot more. I am trying to weigh both and see which will be better to do, but do not want to get into trouble for doing something wrong. I used Genex, and I assume part of this money belongs to them? Although they say it was a free service? All of this just seems like bull, because no one told me about this last year, they encouraged me to get SSDI, and now that I have it, they are taking all my back pay. Thanks.

    SJ Jan 17, 2014  #368

  • Confused,

    You will have to review your policy to determine what constitutes “Other Income” for purposes of offsetting a disability benefit. In some cases if the 401(k) funds were originally in a company sponsored Retirement Plan then the carrier may deem it “Other Income.”

    Stephen Jessup Jan 15, 2014  #367

  • I recently quit my previous job in September and instead of rolling over my 401k I withdrew it in a lump sum ($2600 after the fees and taxes). I just received a letter from Prudential saying I received an overpayment of $1200 and they want me to pay it back! How could this be when it’s my own money in my 401k and not theirs! I already paid them the fees associated with taking the lump some so how could I owe them about half of what was already mine?

    Confused in Houston Jan 14, 2014  #366

  • Fred,

    Unum may be able to deduct your reimbursements, but you should deduct your expenses each month from the income that you are reporting to UNUM each month. This should help you to receive more money each month by reducing the income you earn.

    Gregory Dell Dec 22, 2013  #365

  • I am receiving disability payment from UNUM, I have been working a part time job and they are aware. They deduct from that source of income monthly, if I make more or less they calculate it. My question is, can they deduct any money that I receive for mileage (wear, tear & gas) & cellphone reimbursement? My job entails me to drive to meat consumers & using my cellphone to call & receive calls. Please advise me.


    Fred Dec 21, 2013  #364

  • Antonio,

    You have asked a lot of questions. Depending on the facts of your claim, we may be able to assist you without any fees up front. In your case it seems like you may have multiple offsets which may wipe out any potential LTD benefit payable to you. The pre-existing issue will vary depending on your policy language and how long you had the policy before you filed a disability claim. We always recommend disability claimants to speak with a disability attorney at the initial stages of a claim in order to avoid any future problems. Contact us to discuss your claim.

    Gregory Dell Dec 19, 2013  #363

  • To follow up @Antonio

    I received the retirement benefits before I went out on disability. I paused the retirement when I went back to work. They do offset retirement, but in my case they did not because I wasn’t receiving it at the time. I don’t know If they knew I ever did. Does this make a difference?

    Also I was just approved for disability credit insurance to pay off an old debt from 2008 (five years later). They agreed I was disabled in 2008, looking at my medical records for that time. They will also give me a small amount going forward. MY LTD will offset this however.

    My concern is that my LTD has a pre-existing condition exclusion. They can exclude me if I received treatment for my disabling illness 3 months prior to when I was hired. I did not. My illness was not properly diagnosed until a few months ago. I had minor symptoms that one could argue might when been related as early as 2008, but not consistently, and doctors disagree if there is even a relation. Before I started my job however, (during the exclusion period) I was not being treated for anything related to my disability. Even the company’s doctor found nothing abnormal, nor did my personal physician. The company thoroughly medically evaluated me prior to hire, and neither they nor I suspected any medical problem. Still I worry that they may try to find an excuse to deny me. How do I handle this?

    Should I hire/consult an attorney pre-emptively or wait until I have a problem? Do I have to pay the attorney upfront or do they get fees when the insurance company loses?


    Antonio Dec 18, 2013  #362

  • Kristina,

    You will have to wait until you receive the letter to determine what, if any, overpayment there is. As Worker’s Compensation and Long Term Disability are two separate benefits most likely administered by two different companies, it may be that they never get on the “same page.” When you receive the letter, please feel free to contact our office to discuss the alleged overpayment.

    Stephen Jessup Dec 18, 2013  #361

  • Antonio,

    I would assume that your carrier is offsetting your benefit by the amount that you receive from retirement. As such, they should be aware of any potential issue that may arise with the SSA benefit and any offset as to same.

    Stephen Jessup Dec 17, 2013  #360

  • Hi just trying to figure out, Hartford called claiming impact to my claim and a error on their part and then stated a huge amount of over payment but I went back and added up what I was paid from them and basically their over payment is the full amount they’ve paid me so far. So I’m at a loss where in the books is this over payment and what their error was. They’ve told me I will be getting a letter in mail from them explaining more but I was so upset and distraut that I basically told em I need to think and hung up. They’ve called me Wednesday and today is Monday and still no letter. My LTD is not working hand and hand with my workerscomp and not sure how to get them working together and on the same page.

    Kristina Dec 17, 2013  #359

  • I am receiving LTD benefits.

    I was required to apply for SSDI, and I was approved. The awarded was retro 2 months.

    Those two months of back pay were withheld, as was part of my first check. I was previously receiving early retirement and I exceeded the maximum earnings. Thus I owed SSA $6000 which they recouped before paying me anything.

    My LTD policy has an offset. I am not sure how to explain this to them and if I should. I am afraid they will try to recoup money from me that I didn’t actually get. Can they say they can offset amounts that were never actually paid to me and were kept by SSA?

    Antonio Dec 16, 2013  #358

  • Thank you. I didn’t have representation and I couldn’t find any lawyer that would take on this type of case, so I had to go it alone & hoped I was doing the right thing.

    Evelyn Dec 13, 2013  #357

  • Kristina,

    Unfortunately, Hartford may still be entitled to recovery of any overpayment even though it appears to be their fault in not assessing it earlier.

    Stephen Jessup Dec 13, 2013  #356

  • Evelyn,

    If you settled your claim then most likely there was a mutual release between you and the insurance company, meaning you both waived any rights you may have had, or would have under the policy. If so, then there would be little for you to worry about. If you were represented by counsel in settling your claim I would suggest you confirm with him/her.

    Stephen Jessup Dec 13, 2013  #355

  • Terry,

    If you mean criminal legal trouble – no. However, waiting will affect the amount of any potential overpayment due back to the carrier.

    Stephen Jessup Dec 13, 2013  #354

  • I started receiving LTD this past April 2013, I filled the paper work back between october and november of 2012 and had stated I was on workcomp at that time. In April of 2013 when my LTD became active I held onto the first check because I was receiving workcomp still and I didnt cash any of them in fear of a over payment. I called my workcomp and the hartford and spoke with both agents and they both stated it was a OK! to cash em all. My LTD agent was in talks with the workcomp agent to find out all the dates and so forth that I was and still receiving my checks. Yesterday the LTD agent calls me out of the blue after 5pm and told me that there was a impact to my claim and a error on their half. He proceeded to tell me he was not aware I was receiving workcomp checks and was under the impression from the email from the workcomp agent that my work comp had stopped back in aug 2012. I’ve told him that he was wrong and that I had spoke with him numerous times and informed him only pay I was getting was workcomp along with their LTD checks. Now their threatening with a overpayment and so forth. This has stressed me out beyound stressed.

    Kristina Dec 13, 2013  #353

  • If I wait a few months before letting my LTD company know of my SSD award will I get in legal trouble for waiting?

    Terry Dec 12, 2013  #352

  • What does LTD over payment mean? I settled with lump sum, am I at risk for this over payment? Thanks.

    Evelyn Dec 12, 2013  #351

  • Terry,

    Unfortunately, there is no expressed portion of ERISA that protects you from same.

    Stephen Jessup Dec 12, 2013  #350

  • Kim,

    It is similar to letters I have drafted and/or encompasses the nature of specific releases I drafted for each individual doctor. I would suggest that you send the letter certified to have a signature confirmation that they received it, as paper trails are crucial when dealing with an insurance company.

    Stephen Jessup Dec 12, 2013  #349

  • I had a traumatic work related injury in June of 2011, I immediately began receiving Workers Compensation payments. Prudential started paying me Long Term Disability in November 2011. I was approved for SSDI two weeks ago and have received back pay back to September 2012. Prudential has only paid me the minimum amount of $100 minus $25 for taxes, so I only see $75 a month. SSDI monthly amount is $438. If I am correct I should only owe Prudential $1500 for the claim during that period. The back pay amount was over $6000. I am just trying to understand it.

    David Dec 11, 2013  #348

  • I was of the understanding that since my LTD was through the company I worked for I was protected by ERISA from being sued by LTD company for overpayment by SSD.

    Terry Dec 11, 2013  #347

  • Here is an example of my letter regarding “release of medical information”. What are you thoughts? Will they try to cancel me because I want to protect my privacy?

    Dear Disability,

    I am writing on behalf of my husband,

    Regarding the medical record release for Paul. He will sign medical authorizations that are specific to the medical providers you would like records from. Paul is concerned about signing general authorizations. We will cooperate, but Paul wants to protect his privacy.

    If you would like any other records, please send specific authorizations.


    Kim Dec 10, 2013  #346

  • Johnny,

    With respect to filing bankruptcy to absolve any overpayment your insurance carrier may assert, you will need to speak to a bankruptcy attorney. I have not seen a situation where an insurance company goes after personal assets or SSDI benefits in order to satisfy an overpayment. Usually, they will garnish your benefit or send you to collections. A bigger concern would be that your doctor is of the opinion you are physically able to return to work, which could prompt your carrier to deny your benefit all together.

    Stephen Jessup Dec 10, 2013  #345

  • If I owe an overpayment to a Group LTD plan because my ex wife filed (without my knowledge) for dependents benefits. She is the custodial parent and declares them as dependents on her taxes. When the LTD carrier discovers this they will declare an overpayment. I have lost everything, including my last home. If the carrier wants to be paid back, can I file bankrupcy and avoid paying the overpayment? I purchased another home and have $20,000 equity plus a 2008 vehicle (paid for). Can the carrier take my home and vehicle? I was recently released by my PCP and am physically able to work. Have been on SSA and LTD for 6 years. I didn’t think a carrier could go after my personal assets. Are my SSA benefits safe?

    Johnny Dec 9, 2013  #344

  • Sara,

    Unfortunately, if the policy allows for the offset of your monthly benefit by any amount received by a dependent/family menber from the SSA on account of your disability there is very little that can be done to prevent the carrier from collecting same.

    Stephen Jessup Dec 7, 2013  #343

  • My social security disability decision was found favorable after 5 years which has left me with a large overpayment. Since the decision has taken so long to take, my children have both turned 18 and they want to give them each part of the backpay. If I had the disability at the time I wouldn’t have had to go through my grandmother’s inheritance and the selling of my house. This seems unfair. They are both still immature and irresponsible on top of that. Is there anything I can do to stop this from happening?

    Sara Dec 6, 2013  #342

  • Stephen,

    Thank you for your response to the above. I see that you’ve addressed it with the carrier (outcome?), but has anyone challenged the taxable/tax exempt offset in court? Thank you again.

    Concerned Dec 6, 2013  #341

  • George,

    If you were on disability at the time you were terminated, you are still effectively covered under the disability policy and will not have to worry about paying the insurance company back any benefits you were entitled to after the time you were formally terminated from your company.

    Stephen Jessup Dec 3, 2013  #340

  • I have worked at employer for 25 years and I have gotten terminal ill. Employer had short and long term disability insurance. I had applied for short term and was approved then applied for long term and was approved. After 2nd month of long term the company wanted a note from doctor stating how long I would be off. The doctor sent them a letter starting the treatment would last 48 weeks. The company said they could not hold my job that long and they were going to terminate me. I have applied for SSA and still waiting for SSA decision. I have been drawing LTD from insurance co 6 m.o. after the company let me go. Will I have to pay the insurance co back whatever they paid me since I was fired? I know they will get the offset. Wonder if my coverage was to be terminated after they fired me or being I had a claim it will carry on until I get my SSA approved.

    George Dec 2, 2013  #339

  • Concerned,

    Unfortunately there is no finite answer to your questions and is a subject we have addressed with the carriers.

    Stephen Jessup Dec 2, 2013  #338

  • This may have been answered but not sure. I receive tax free ltd benefits from insurance company, and they want me to apply for ssdi. If I do so, and am awarded, I will be offsetting taxable income (SSDI) for previously tax free income. In addition, my lump sum will be taxable compounding the issue (costing me tens of thousands of dollars). I have no incentive to apply and/or win (other than appease carrier, which is important obviously). What to do?

    Concerned Dec 1, 2013  #337

  • Vanessa,

    A private loan from an institution should not be considered a deductible source of income. That being said, I would refer to the policy language to see if that scenario is addressed (though I suspect it won’t be).

    Stephen Jessup Nov 29, 2013  #336

  • How about taking a loan against your 401k, would that be counted as deductible income for LTD insurance purposes? Since, I know it does if you take out your 401k but with a loan, I will be paying it back.

    Vanessa Nov 28, 2013  #335

  • Thank you for your helpful tips. I am kind of angry as I don’t have control over my wife’s refusal to apply but as a result I am going to pay a price.

    Solomon Nov 7, 2013  #334

  • Solomon,

    The answer as to whether or not your carrier can “require” your wife to apply will be contained in the Policy, most likely under the section for “Other Income Benefits” or in a section referring back to it. The language of many policies will indicate that failure to apply for a source of “Other Income Benefits” could result in the carrier estimating what the amount received would be and then offsetting your benefit by it. Please note that they cannot force your wife to apply, but failure to do so could have an adverse effect on your benefit amount.

    Stephen Jessup Nov 7, 2013  #333

  • My SSDi application has been approved and got the back pay within a few days. My son was also eligible and applied within a week of my approval and got approved. However, my wife who was eligible doesn’t want to apply. My question is that can my private long term disability insurance force my wife to apply for benefit?

    Even though it is not fair, I am not arguing for including my son’s payment as a source of income to offset their payment. What I don’t understand is that how can the insurance try to offset an income that neither I nor my wife has received?

    Solomon Nov 6, 2013  #332

  • Sue,

    Missing a premium payment could obviously result in your husband forfeiting the policy. If you have not already done so, contact the carrier to discuss what options he may have to reinstate the policy as most policies do have provisions for same in the event of a missed premium payment.

    Stephen Jessup Nov 6, 2013  #331

  • We have an unusual problem. My husband has maintained a very costly top of the line disability insurance for 25 years, as he is a surgeon. It covers “decrease in pay” in the event of a disability that makes your current job impossible, even though you are able to work and not SSI level disabled, but would work in a different field with a lower pay scale. Well, now at peak earning age, a recent health problem has cast doubt on continued ability to practice at current level, but would be totally fine with another job with some fewer demands, but less salary would result (I hope that makes sense). For someone who regularly works 80 hours a week, even normal work is a decrease. We would consider getting “loss of income due to job change” payments if health worsens any more and he needs to cut back. We looked up our policy and found that it was no longer active. We had simply stopped getting regular communications from the company and did not miss them in time. Are we liable for not noticing that they did not send us our statement, or are they liable for not sending us a statement? We have paid big money for 25 years, I am wondering if they were thinking this was a sneaky way to cut and run from a long time customer as he approaches that age where things start to go wrong (50s). Obviously we can’t get “new” insurance now due to the existing issues.

    Sue Nov 5, 2013  #330

  • Linda,

    I understand your concerns over your predicament and although no one can predict what the carrier will do, I have not personally seen an insurance company offset a benefit for failure to apply for retirement benefits.

    Stephen Jessup Oct 30, 2013  #329

  • Stephen,

    Thank you for your reply. I stated in my question that my LTD plan document does state that the retirement income would be used to offset the LTD. It says it would use retirement benefits I am eligible for whether or not I am actually receiving the money. It doesn’t make sense to me that they could offset LTD benefits for money I am not receiving. It seems from reading the LTD plan document I would be forced to apply for retirement, which I am eligible for at age 55, or my LTD benefits would be offset to a point where I wouldn’t have enough money to live on.

    Linda Oct 29, 2013  #328

  • Gary,

    You may very well be correct. There is caselaw for and against this proposition, but it is definitely something worth pursuing.

    Stephen Jessup Oct 27, 2013  #327

  • The language in our CBA States: the above other income benefits, must be payable as a result of the same disability for which the plan pays a benifit, so for the last 7 years my ex employer and the steelworkers Union have been fighting just to get it to arbitration, I went on Ltd for one reason and SSDI for another reason, so in layman’s terms, to you does this contract clause mean that no offset should have been applied!

    Gary Oct 26, 2013  #326

  • Evelyn,

    Please feel free to contact us to discuss your options and how we may be able to assist you.

    Stephen Jessup Oct 25, 2013  #325

  • I receive LTD & SSD my LTD as offered me a settlement which I think is too low considering what I would get if I keep collecting it monthly. I don’t know what to do. Would love some expert input I only have a week to make up my mind. Thanks!

    Evelyn Oct 24, 2013  #324

  • Linda,

    First and foremost, no one would ever be able to help you totally understand what you would be getting yourself into when it comes to applying for long term disability benefits, as there is no such thing as a guaranteed disability benefit. Should your carrier approve your claim, there is no guarantee that they will not as some later point deny it. With respect to your question about drawing retirement, please review the language of the policy. Most only require you to apply for Social Security disability benefits, but do not require you to dip into a retirement plan early.

    Stephen Jessup Oct 14, 2013  #323

  • I am considering going out on LTD due to multiple back and heart problems, but want to totally understand what I’m getting myself into as far as future payments. My LTD plan indicates that retirement income which I could receive (whether or not I have applied for and am actually receiving the income) would be used to offset any disability payments under the plan. I am 57 years of age and could technically retire from my company at age 55. However, if I don’t retire and start taking my retirement benefits until age 65; the monthly benefit amount is almost double than it would be if I retired right now. The LTD disability payments will only be made until I reach age 65. At that time I will only have my Social Security and retirement benefits to live on. My question is whether or not the LTD company can force me to take retirement now instead of waiting until I’m 65 when the retirement benefit would be much more.

    Linda Oct 11, 2013  #322

  • Karen,

    In my opinion, it is always worthwhile to appeal the decision, as the MetLife disability benefits are something you are entitled to. Please feel free to contact us if you would like to see how we can assist you.

    Stephen Jessup Oct 11, 2013  #321

  • I was approved for disability through SS, but MetLife has turned me
    down for Long-term disability. They said they see no reason I can’t
    return to work. I have Follicular Lymphoma, which is not curable. The
    normal remission is 2 years and the cancer returns. I have been going
    through treatment for almost 2 years, and continue to do so.I have
    also been diagnosed with extream fatigue, Fibromyalgia and anxiety.
    Should I try to appeal…or, am I wasting my time with MetLife? Thank you!

    Karen Oct 11, 2013  #320

  • Don,

    A private disability insurance carrier would not have a program like that, but you may be eligible under a government sponsored plan from Social Security.

    Stephen Jessup Oct 7, 2013  #319

  • I am on long term disability with Productional and was found I am having seizures and my licence was taken away. I am getting very depressed being stuck in the house. I can’t walk for more then five minutes and I live in FL which, due to the sun, also causes more issues. I live in a trailer home community area and was wondering is there any program that allows me to get a gulf cart that has an overhead cover to allow me to go to community stores and help me with a lack of freedom issues causing me to be so depressed? Meds are not helping at all and have tried different ones with my doctor.

    Don Oct 6, 2013  #318

  • Alan,

    Unfortunately we do not handle SSDI or Worker Compensation claims so I would not be able to shed any light on the subject. I would refer you to your attorney for your questions.

    Stephen Jessup Oct 4, 2013  #317

  • I was injured driving a bus for my company in 2010. My work comp payments stopped in February of 2013. And I was terminated for being absent from work for too long of a period. I’m still taking meds for back pain. I’ve been informed by my attorney, that the insurance doesn’t want to agree with the terms of the Medicare set aside arrangement. So we are goin to trial in 30 days. I’ve had two back operations and the last one, which was a lumbar fusion, they never approved of and it was paid by Blue Cross. Their offer is $67,000, which sounds ridiculous to me saying that they won’t agree with the set aside request. I’m writing because they want me to withdraw my application from social security or their not willing to settle. I’m worried if I won’t receive anything if I go to trial, because I hear so many people telling me that I should settle because its possible that I won’t receive anything if I go to trial. So I’m dealing with 27 days left of worrying… Please help.

    Alan Smith Oct 2, 2013  #316

  • Cheryl,

    It is unclear as to what assistance you may need or what the nature of your questions is. Could you please elaborate?

    Stephen Jessup Sep 28, 2013  #315

  • I worked in a hospital and I kept getting sick. I had no more sick time or vacation days so I quit my job. I tried to ask other people but I had no help. I was paying for short term and long term diability. Now it’s 5 or 6 years later and I better. I fought for my diability in 2011 and won. I left my job in may 2008. Can I do something to the insurance co. for the money I put into their company?

    Cheryl Sep 27, 2013  #314

  • Daron,

    A carrier will determine what your “pre-disability earnings” were based upon the definition in the policy. Sometimes this does not include overtime, commissions, bonuses, etc. Additionally, most definitions of “own occupation” are defined to mean how your job is performed in the national economy and not how it is performed for your specific employer. If your policy contains any of the above language, then yes, they can legally make appro-priate adjustments to same. If your claim is denied and then reinstated on appeal you will be due all unpaid benefits from the date of the denial.

    Stephen Jessup Sep 24, 2013  #313

  • Does a LTD Ins. Co. have the right to remove your calculated wage rate? My contract states 60% of weekly salary. Also, can LTD Ins. Co. change my job description / title / duties in order to find a job that they can list as employment I qualify for but, with a greatly reduced salary? Can they legally do the aforementioned and terminate my benefits? If my benefits were terminated and through the appeal process they were re-instated, does the LTD Ins. Co. owe me back pay from the day they wrongfully ceased my benefit pay to present date?

    PO in Texas

    Daron Sep 23, 2013  #312

  • Donna,

    You will need to review your policy to confirm, but if it is an employer provider group disability policy, then chances are you will owe an overpayment.

    Stephen Jessup Sep 22, 2013  #311

  • I live in CA, and I am being paid through Unum. I am waiting to be approved through SSDI. My question is, can Unum get some of the back money that the government owes me?

    Donna Sep 21, 2013  #310

  • Alisha,

    If the plan indicates dependent social security as an offset under the policy then they are unfortunately entitled to seek repayment of same.

    Stephen Jessup Sep 9, 2013  #309

  • I’m am receiving SSI disability and payments from long term disability insurance UNUM. Now UNUM wants to collect the back payment from SS for my child. The payment was deposited in her bank account and SS told me that they will be monitoring how the money is being spent. I explained to SS about UNUMs request to collect that back payment and the supervisor from SS said absolutely not I cannot give it to them or else I would be committing fraud. UNUM is very nasty on the phone with their threats and stressing me out. I’m not sure what to do. I feel like whatever I do I’m screwed.

    Alisha Allen Sep 8, 2013  #308

  • James,

    Again, you will have to review the language of your policy. If it defines the pension as other income benefits then they can reduce by.

    Stephen Jessup Sep 8, 2013  #307

  • Thank you for your answer. But I am a little confused. My employer only gave me STD. The LTD was a private policy I paid for. My pension plan is not a Disability Retirement Policy. I received nothing from my Pension for disability. Nor is there any clause in the retirement policy that covers disability. So, when you say “group Disability Policy provided by my employer”, do you mean that my employer provided coverage and LTD benefits. Because that never happened.

    So, for sake of argument, let say my retirement is not as you described, then does that change the out come of how my retirement plan is viewed.

    Thanks again

    James Sep 7, 2013  #306

  • James,

    Most ERISA based group disability policies provided by an employer will indicate a Pension plan as “Other Income” that can be used to offset your monthly benefit if you decide to draw money from it. Unfortunately, this is completely legal. If your policy in-dicates as much, then there is nothing that can be done from a legal stand point. I would suggest that you obtain a copy of your policy to review of this language is contained.

    Stephen Jessup Sep 5, 2013  #305

  • Tony,

    The answer is no. SSDI is a set benefit amount and does not increase (outside of applicable COLA increases).

    Stephen Jessup Sep 5, 2013  #304

  • I am new at this disability stuff. But I don’t know what or if I can do anything. Just let me say what a can of worms this disability is, feels like I have a bag of cats in my head.

    I was chagrined, when I found out that I basically have no pension plan. That if I collect my pension then my LTD carrier will scream offset. It seems that their logic is faulty. Social Security states, that my collecting my pension plan, it has no bearing on my benefits. It does not considered pension plans an offset.

    If my LTD carrier does not offset my savings account, but yet calls my pension an offset. I get it, all those other offsets, but my pension plan. It appears to me that, which I noted on day one, that they have the final say on absolutely all monies until I am off LTD. Now that is what I call power. It makes since about receiving pay for working why that is an offset, my pension is not money I worked for, in a manner of speaking, but monies I saved for and is not gift by my employer. This pension plan is not a disability retirement. So, effectively I have no pension plan. It is not a fee for services payout.

    Is there anything, I think I already know the answer, that I can do? Also this LTD is a plan I paid all premiums, my employer paid nothing.

    James Sep 5, 2013  #303

  • My question is a simple one I think. I have been receiving SSDI since 2004, and also LTD from my company that I worked for). When I reach retirement age and my LTD stops, will my SSDI increase by the amount that I was receiving from my employer’s insurance company for LTD? Thanks in advance.

    Tony Stocker Sep 4, 2013  #302

  • Adam,

    Unfortunately, as we are not tax professionals, we cannot give any tax advice. I would advise you to speak to an accountant.

    Stephen Jessup Sep 1, 2013  #301

  • I was injured working for CSX and was receiving short term disability (Railroad Retirement Board) that was not taxed being that it would have to be paid back after settlement. Also received advances on settlement through claim agent that was not taxed being also it would have to be paid back after settlement. Also received Aetna payments that WAS taxed and turned out also had to be paid back. My question is that I had been paying taxes on the Aetna, and after the settlement the gross was paid back including the taxes that I had already paid back. So I paid back again the taxes that I already paid like I was double taxed on the money? Is that right?

    Adam Mills Aug 31, 2013  #300

  • Debbie,

    Unfortunately, as we are not tax professionals, we cannot give any tax advice. I would advise you to speak to an accountant.

    Stephen Jessup Aug 31, 2013  #299

  • I recently received a lump sum back payment from Social Security. I had to give most of that lump sum back to my employer’s long term disability insurance company. Am I responsible to pay taxes on that amount I gave back to the insurance company?

    Debbie Trujillo Aug 30, 2013  #298

  • Rich,

    Aetna will consider lump sum buyouts of claims, but it is not a universal, across the board consideration. They offer them on limited cases. You can contact our office to discuss your claim further to see how we may be able to assist you in securing a buyout.

    Stephen Jessup Aug 19, 2013  #297

  • Tony,

    Without your doctor’s support it could be very difficult to obtain the information needed to prove to the carrier your disability arose at a time when you were insured under the policy

    Stephen Jessup Aug 19, 2013  #296

  • Tony,

    With respect to the SSDI question, you would have to consult with a Social Security attorney. I don’t see how the carrier would be able to force you to tap into your retirement again. Have you made the company aware of your situations?

    Stephen Jessup Aug 19, 2013  #295

  • I have a LTD policy with Aetna that and is offset in part by SSDI, the amount I get from this ERISA policy is pretty decent. They have been paying me for 3 years with no problems and have been approved even past the higher standard after the first two years. My condition is not likely to improve and is not life threatening. My question is “What would trigger to company to offer me a lump sum buy out?” and “At what point do they usually start to consider doing this?” With the low interest rates, I would doubt they would be very motivated to settle. What are your thoughts? Thanks.

    Rich Barnum Aug 18, 2013  #294

  • I bought credit disability insurance with a loan in 2008.

    I was diagnosed with cancer in 2013. However, it was Stage 3a. It has been present for a long time.

    The symptoms of the cancer started in 2009, and are clearly documented in my medical record. I did not work in most of 2009, all of 2010, and most of 2011 because I was disabled by the symptoms.

    However, between 2009-2013 I saw more than 10 doctors for these symptoms, none of who could properly diagnose my illness. It was misdiagnosed over and over again. It is a rare form of cancer than can only be diagnosed with certainty by cell pathology and a bone marrow biopsy, which were not done until 2013.

    I am trying to get the credit disability insurance pay for 2009-2011, and maybe now since it is the same illness which was not properly diagnosed before. They will not pay unless it arose while I was insured.

    What should I do in this situation? The doctors are not totally cooperative because they are worried about their malpractice liability.

    Tony Aug 18, 2013  #293

  • Good Morning,

    I started receiving early retirement at 62. I went back to work and stopped the early retirement. I am now 64 and on STD, which lasts 6 months. After 6 months, I am required to apply for LTD. I am also required to apply for SSDI after 6 months. They will hold any social security benefits against me and reduce my check by that amount.

    But I cannot receive disability because I already took some early retirement, correct? And they cannot force me to take early retirement again because it will all be subject to repayment for being over income? Can they force me to take retirement at 66 or even before?

    Tony Aug 18, 2013  #292

  • Charlotte,

    The only way to know if MetLife would have rights to any settlement would be contained in the “Other Income Benefits” provision of the policy. I can’t recall seeing in any policy indication that a suit against an employer is considered “Other Income” but I would have to defer and refer you to the policy.

    Stephen Jessup Aug 17, 2013  #291

  • My husband is on long term disability with MetLife. We may or may not receive a settlement with his former employer through the EEOC. Can MetLife garnish the whole settlement? If we can make this a “pain and suffering” pay out only, would that keep them from claiming this money?

    Thank you,

    Charlotte Aug 16, 2013  #290

  • Susan,

    Without a review of the language in your policy we would not be able to answer your questions regarding potential offsets as other income. Please feel free to contact our office at 1-800-682-8331 to determine how we may be able to assist you.

    Stephen Jessup Aug 13, 2013  #289

  • I retired at 42 and have received a monthly retirement pension. I started to work for another company a year after I retired. Now at 54 I become very ill in February 2013 and have been on STD for 6 months. They are turning this over to LTD at the end of August 2013. This is my question. The form I received stated if I received any income from the policyholder which is my current employer and I also added to this by 5% of a deduction to increase my LTD benefits. My question is this – after reading the verbiage the policyholder is my current employer and would not include my past retirement that I was receiving before I took this current job. Will this be considered income? I am so confused not that I have read all the above. I also want to just roll over my 401K to a different financial institute not withdraw the money (will this also be a problem?). It seems that STD and LTD are so much stress on top of being sick. Thanks.

    Susan V. Aug 12, 2013  #288

  • Paul,

    First and foremost, if he is receives any amount for primary SSDI in his own name due to his own disability, then that amount should not be used as an offset by MetLife.

    With respect to question (1): Any questions having to do with claiming him for tax purposes is a question you need to address with an accountant. However, dependent SSDI benefits on account of your disability are likely not tied to you listing him as a dependent for tax purposes. Dependent benefits are usually cut off at the age of 18, so it might benefit you to speak with a SSDI attorney as to that.

    As for (2): You are only responsible for letting MetLife know what your son receives on account of YOUR disability, not for his own under a separate claim with the SSA.

    Stephen Jessup Aug 5, 2013  #287

  • Please help.

    Here are the facts. I am disabled on LTD from MetLife. My son became disabled on Nov. 2011. He draws SSDI of $800 since I am disabled and $200 due solely to his SSDI. He became 21 on April 2013. My wife is his personal representative.

    Son got back SSDI of $9,000 retroactive and social security wrote a letter saying this was totally from his SSI. Later they may have re-classed to it to regular SSDI. Not sure about this the confusing offsets they speak of. The SSDI payments pay for his living expenses and I see no benefit. We have claimed him as dependent on tax return for 2012 and prior.

    Per LTD Policy MetLifecan reduce my LTD by any payment my dependent receives or assumed to receive, because of my entitlement to dependents benefits. Dependent includes any person who receives benefits under any applicable law because of my LTD benefits. Insurance company will reduce amounts of my ltd by any amount paid to my dependent.

    Here are my main two questions:

    1. Is my son my dependent? Since he is now 21 (not able to attend school), I can elect to not claim him for 2013 tax return. Would not claiming him help us us on LTD offsets from age 21 and forward?

    2. Since he did not receive any cash or even know if he qualified for SSI/SSDI until he was older than 21, do you think I am obligated to notify MetLife that my son is receiving benefits? I don’t want to get in trouble for deception.

    Thank you very much for your time.

    Paul Aug 4, 2013  #286

  • Rose,

    You will need to review your policy to determine if SSDI is an enumerated offset. There is case-law that would suggest that the carrier can reduce your benefit by the amount you are receiving from SSDI benefits awarded prior to receiving benefits under a LTD policy. Another issue you may have is the fact that you have only been employed for 12 months at the current job. Depending on the effective date of coverage under the LTD policy, your claim may be considered pre-existing for purposes of LTD benefits.

    Stephen Jessup Aug 2, 2013  #285

  • I have a question about long term and short term disability along with SSDI. I was in a car wreck in 1992. After many surgeries and rehab, I was rewarded SSDI because of the lasting effects of the accident. I also received LTD payments through Mutual of America. Needless to say, it did not amount to much.

    Years later, I went to college and obtained a few degrees. I wanted to get back into life and work. So, I went through the SS work program. I informed the LTD policy holder about the job through the program. They did not cut the benefits. Anyway, just 12 months into having a job, my artificial knee dislocated and is causing me a whole new set of trouble such as nerve damage and vascular issues, not to mention the knee is messed up. I have been off of work for 2 months now. My doctor said I can not go back for at least another month and then he said “we’ll see”. Through the employer, I signed up for USAbility long term and short term disability. My employer just today sent me the form for the disability insurance (short term).

    My question is if I apply for either short term or long term disability, will it interfere with my social security benefits. Also, can they off-set my SSDI even though I received it prior to getting the new policy?

    Rose H. Jul 31, 2013  #284

  • Melissa,

    It depends on the language in your policy. If Retirement benefits are considered “Other Income Benefits” that are allowed to be offset under the Policy, then the carrier will certainly reduce your monthly benefit. Some policies indicate that if you receive a lump sum receipt of “Other Income Benefits” then it will be prorated over a period of time into monthly payments. In essence, no, it might not be considered as received only in the month you receive it. One thing you need to consider is if you pull money from a Retirement Account early (besides any possible penalties for doing so) and the insurance company can reduce what they pay you by the amount you take you’ve effectively lost money as the money in your retirement account won’t “be there” for retirement.

    Stephen Jessup Jul 19, 2013  #283

  • I saw this question further up but, can I get you to clarify please? Or to make sure I understood.

    How does taking a lump sum payout from Retirement Account affect future Long Term Disability Payments? In other words if it is a one time lump sum, they can only take an offset for the one month that it was received in, correct? They cannot use that amount retirement money to offset future Long Term Disability payments, correct?

    Of course on the other hand if retirement account is being distributed monthly then it would be a monthly offset just like SSDI is, correct?

    Melissa F. Jul 18, 2013  #282

  • Diane,

    If your policy indicates that Dependent Social Security Disability benefits are an offset under the Plan (and most ERISA based group disability policies do) then the carrier is entitled to recovery of the money paid to your child on account of your disability.

    Stephen Jessup Jul 17, 2013  #281

  • If I received a lump sum from SSI for my child and used the money to get move into a better house and by a car to get back and forth to work with. The question is can they take the check because they say that they want cover what I spent the money on?

    Dianne Jul 16, 2013  #280

  • Cindy,

    The back benefit amount received from SSDI is almost always sufficient to cover any over-payment owed. Please note that if you used an attorney to obtain SSDI benefits, any attorney award paid to the attorney at the direction of the SSA will not be counted as part of the over-payment calculations by your insurance carrier. The LTD carrier would never garnish your SSDI payments, but would rather reduce your monthly benefit until any over-payment is satisfied (if the company is willing to do so).

    Stephen Jessup Jul 10, 2013  #279

  • Denise,

    Unfortunately, even if it was Sun Life’s error they do have a viable claim for the over-payment of benefits. If she cannot work a repayment plan with them there stands a chance they would deny her claim and send her to collections. Offers for buyouts are often strong arm tactics to close out a claim. Please feel free to contact our office to determine how we may be able to assist. However, from the facts as provided, any assistance we may be able to provide might be minimal at best.

    Stephen Jessup Jul 10, 2013  #278

  • John,

    There isn’t really an “advantage” to you winning SSDI benefits at your age, the advantage is to Unum as they can offset the benefit. However, if you don’t go through the Social Security appeal process (as required under the policy) then they can estimate the benefit and reduce your monthly benefit by the amount they determine you would get- which is a definite disadvantage to you. If you do not receive SSDI benefits prior to the cessation of your Unum claim, the Unum claim then ends, and you begin drawing your normal social security retirement benefits then Unum should have no right to those.

    Stephen Jessup Jul 10, 2013  #277

  • I understand the part about the long term disability company getting paid back because of “double dipping.” What happens if the back pay I receive from social security isn’t enough to cover all the money owed? Does my LTD carrier garnish my social security payments until the debit is repaid?

    Cindy Jul 9, 2013  #276

  • I am inquiring for my sister-in-law… she has been on LTD through SunLife for 2 years and has recently completed her “every 2 year review package” to continue her LTD. SunLife told her that they overpaid her $40,000 because she was also collecting SSDI.

    When she was approved for SunLife LTD during her initial process the information was provided to SunLife regarding SSDI. We have explained to SunLife that this was an error on their part and that we understand the monies are owed as they have been overpaid, but need time to pay back.

    They are not willing to work out a payment plan, only payment in full. They are willing to settle for a buy out. They would pay her approximately $120K over the next 10 years until she was fully retired at 65, so they offered $65K less the $40K owed… to pay $25K now. What are her options in payment.

    In reading your comments, it appears as if SunLife does not need to offer a payment plan, but this seems as if this was intentional to force a buy out.

    Denise C. Jul 9, 2013  #275

  • I started receiving LTD 3 months ago, I was 64 and 8months old. The insurance company ask me to apply for SSDI, I have and been turned down for the first time, I filed for a review. My LTD will only be paid for 2 1/2 years due to my age and my company’s policy. What happens if I don’t get approved by SSDI after the 2 1/2 years and I file for SS? Will I have to pay back the over-payment? I am also having a hard time seeing what advantage winning SSDI at my age would be, if I get paid my LTD for 2.5 years I will be age 67 before I fife for SS and my long term payment from SS would be more than if I received SSDI now plus the lawyers fee’s. Can you help?

    John Jul 9, 2013  #274

  • Kim,

    Unfortunately, many (if not most) ERISA provided group disability policies enumerate primary AND dependent social security benefits under the policy. If your policy indicates that dependent social security benefits are an offset under the policy then Liberty would be entitled to repayment of the money they have forwarded.

    Stephen Jessup Jun 27, 2013  #273

  • I was awarded SSDI for Lupus and Sjogren’s Syndrome. I have Liberty Mutual as my LTD carrier. I paid back the back money I was awarded for me and Liberty takes the monthly income out of what they pay me. Recently, I was also awarded dependent care and got back pay for that. I understand that insurance companies can claim that money for me, but Social Security made me sign papers saying I would only use the dependent care for my kids. Paying back my LTD benefits is not for my kids. How can it be legal for them to require me to pay anything back from dependent care when it is clear that Social Security stipulates that money only be used to provide care for my kids?

    Kim Jun 26, 2013  #272

  • It will depend on the language of the policy. As it is unrelated to the disability it would seem they would not be entitled. Normally any subrogation rights under a policy for any type of accident/injury case are limited to when your disabling condition is a result of that accident/injury. So if you had been in a car accident, hurt your back and then made a claim for disability benefits based upon the resulting back problems then the carrier would have a potential claim on any recovery from an ensuing settlement. However, refer to the language in your policy- it can normally be found in the “Other Income Benefits” provision.

    Stephen Jessup Jun 24, 2013  #271

  • I have a two-year LTD benefit with MetLife, which I have been collecting since March 2012, to end March 2014, due to a med condition which forced me to retire from the Fed Govt after 30 yrs of service. Of course, the disability benefit is now offset by my pension payments, but I will soon receive a monetary court award of $40K, gross, due to a slip and fall suffered in 2009, unrelated to my employment and current med condition for which I am currently collecting LTD payments. Is there any way MetLife can construe this monetary award as income and request an offset, even though it arises from an unrelated slip and fall which happened three years prior to filing my disability claim?

    Barbara Jun 23, 2013  #270

  • Elle,

    Under your hypothetical it would appear they owe you money, or at the least your overpayment repayment satisfied and benefits should be issued. The only suggestion I have is to look for an old correspondence from the insurance carrier that has your claim number on it so when you call they have a reference point from there.

    Stephen Jessup Jun 17, 2013  #269

  • If my LTD company was supposed to pay me the difference between my monthly LTD benefits and my monthly SSDI benefit, but they have not done so for three years because I owe them back pay after being approved SSDI, wouldn’t the payments they were supposed to pay me for the difference offset the amount I owed them in back pay? In other words, for example, if my LTD monthly benefit was 1000 and I was approved for 600 monthly for SSDI, then LTD would pay 400 monthly. However, hypothetically, I owe LTD 5000 from SSDI back pay so they never paid the 400 monthly payment difference. Now it is three years later. Therefore, 400 (monthly LTD not paid) X 36 months (Length of time since SSDI approval) = 14,400. Theoretically, LTD has recovered my SSDI backpay and then some since they never paid me the difference between my monthly LTD benefit and SSDI for three years. Is this correct? It seems they would actually owe me money at this point. Correct? And now, my employer no longer uses the same LTD company, so when I try to contact them, they have no record of my claim and tell me to contact my employer. Of course, the amount LTD says I owe them in SSDI is on my credit report, but I feel this should be labeled as settled. Any advice?

    Elle J. Jun 14, 2013  #268

  • Ken,

    If the policy allows for an offset of your wife’s benefit by SSDI benefits and there is an outstanding overpayment resulting from the lump sum SSDI benefit, then the carrier does have the right to collect. That being said, I am not aware of any cases where a judge determined that her future SSDI benefits could be garnished to pay back the insurance company. Quite often the company will send the claim to collections in an attempt to recover owed money.

    Stephen Jessup Jun 13, 2013  #267

  • My wife went on disability from work in late 2007 and was being paid LTD by the insurance company until 2010. In 2011 she was awarded SSDI and was paid a large lump sum and monthly payments began. The lump sum money was used to pay medical bills, living expenses, etc. and attorney fees. In late 2012 she was served with a lawsuit against her from the LTD insurance company. It is an ERISA case, we are told. If the judge finds in the Insurance Company’s favor, can her SSDI monthly payments be garnished going forward to repay the ‘overpayment’ they are claiming?

    Ken Jun 12, 2013  #266

  • Mr. Dell,

    I appreciate your reply. I understand what you’re saying about usually you’ve been able to get Prudential to stop requesting further appeals be done past the ADJ hearing for SSDI. Maybe it doesn’t stop Prudential from initially still pushing anyway to have a claimant on LTD keep appealing beyond the hearing? I’ve applied recently to the appeals council stage and have to sit back and wait up to a year now I understand, I hear it depends on the appeals council “unit” I’m assigned to in Falls Church, VA as to how long it will take,some units maybe have less case loads then other units? I apologise if I wasn’t clear. I have an ERISA attorney and a lady SSDI attorney. What is happening is apparently Prudential still hires Alsup to gather information and make phone calls for them on their own behalf. Like they had Alsup call and get a copy of the ADL’s denial letter and then they asked Alsup to get proof of me applying to the appeals council. I didn’t ask directly the question to my ERISA attorney how far Prudential can demand I keep appealing to the SSA yet.

    But, no I know better then to have Alsup doing things for me directly that’s why I have both an ERISA and a SS attorney. It seems odd that Prudential contracts Alsup to do things for them like make a phone call and ask questions only, you’d think a case manager at Prudential could do these things on their own?

    Thanks again,

    Michael Jun 6, 2013  #265

  • Liz,

    Inheritance will not likely offset her disability benefits, but we would need to see the disability policy offset language in order to confirm.

    Gregory Dell Jun 4, 2013  #264

  • Michael,

    In order to answer your question, we would need to review your disability policy. Since you already have and ERISA attorney this is a question that you need to ask your attorney. We have dealt with this issue many times and we are usually able to get Prudential to stop requiring after appeals once a hearing has been completed. Hopefully you will win your SSDI claim. You may want to get away from Allsup and hire a good SSDI attorney. We can recommend an SSDI attorney if you need one.

    Gregory Dell Jun 4, 2013  #263

  • Dear Mr. Dell,

    My girlfriend is on the long term disability from an employer’s insurance company. In the near future she might be entitled to large inheritance. She is worrying that the insurance company will stop paying her benefits and also they will go after the funds to offset retroactively. She has been on the long term disability for 5 years due to injuries at the workplace. Can they really do that?

    Thank you in advance for your answer,

    Liz Jun 3, 2013  #262

  • Dear Sir, how far along will Prudential keep making me appeal to the SSA?

    So far I’ve been denied by the SSA Judge at a hearing. Then Prudential hired Allsup to get a copy of the Judges denial, they are still paying me LTD benefits. Now Allsup is calling and they are asking for Prudential to see proof that I’ve affected an appeal to the appeals council in Falls Church, VA which my SS attorney recently did file. I’m told now we have to sit back and wait. I hear it can take up to a year just for the appeals council to begin reviewing my denial from the judge. This Judge has a low award rate for those applying for SSDI benefits, is a mean Judge.

    What happens if at the appeals council level I’m denied? Will Prudential make me go further to federal court or start an application all over? What happens if I don’t want to appeal further? Will Prudential stop my LTD payments just for not continuing further?
    I have a very good ERISA law attorney, a super lawyer. Any thoughts are appreciated.

    So far Prudential has paid me 3 years out of work. The entire first year out of work Prudential wouldn’t pay me anything. So I hired an ERISA attorney and that appeal letter had them paying up 4 weeks after they received it, my attorney must have upset their cart of apples?

    Thank you,

    Michael Jun 1, 2013  #261

  • Janice,

    If your question is with respect to the amount of money received by your daughter from the SSA on account of your disability (dependent Social Security) and whether MetLife has a right to any of that money, the answer is: possibly. If your MetLife policy indicated dependent Social Security as a deductible source of income, then any award for same to your daughter would be MetLife’s to claim repayment of for any period of time you receiving the dependent SSDI benefit and a benefit from MetLife. From a practical standpoint – it has been over a decade so I would not expect that MetLife would come knocking on your door demanding the money. If your question is with respect to the continuation of a benefit from MetLife (as you indicated that you were approved for a set amount of time, I am assuming the benefit was terminated), the answer is most likely no, as deadlines and statute of limitations with respect to filing appeals or lawsuits would have expired.

    Stephen Jessup May 24, 2013  #260

  • I hope my question makes sense, here goes.

    Back in 2000 I was in a severe car accident I was getting long term disability through MetLife. They had me apply for social security disability. With the understanding if I was approved, I would offset amounts for what they paid me. I was approved for a set amount of time. In which I paid them back. However, my daughter was also awarded a large amount of money and MetLife took that as well. I believe after all was said and done I received chump change back from social security. It has been almost 12 years since this happened. I guess you learn more with age. And having to file for disability again I’ve learned a few more things.

    So my question is, can anything be done, because it was so long ago? And if it can, where do I begin?

    Thank you.

    Janice C. May 24, 2013  #259

  • Kathy,

    The action by the insurance company reducing your benefit by SSDI is legal and enforceable if the language is contained in your contract. It is not fair, but legal.

    Gregory Dell Apr 26, 2013  #258

  • Been Denied LTD ,

    The battle against ERISA starts with elimination of discretionary clauses, which is happening at the state level. More than 15 states have passed new laws making the discretionary clauses illegal. This is a strong step in the right direction and gives claimants the best chance to prevail if an ERISA lawsuit needs to be filed. The Supreme Court hears an ERISA based case every two years, but I can tell you that they are currently not interested in abolishing discretionary clauses or adding punitive damages as a remedy. The Supreme Court seems to lean toward the insurance companies when it comes to ERISA.

    Gregory Dell Apr 26, 2013  #257

  • My long term care benefit has been reduced by my SSDI payment amount. The premium my employer paid for LTD was based on a benefit of 60% of my wage when in fact I’m only receiving about 30% from the insurance company. Doesn’t seem right or ethical you pay a premium based on a benefit you expect to receive, then they can manipulate your benefits based on “deductible income”. I think they should refund my employer’s premium to better reflect their payment or I should receive the full 60% of my salary plus SSDI. Are there any lawsuits of insureds going after these insurance companies?

    Kathy Apr 25, 2013  #256

  • Dear Mr. Dell,

    Because of people like you, it has given a lot of us disabled people a reason to continue the fight against bad denial disability carriers. You’re obviously one of the largest firms in the US and are very brave to have videos and so forth and I’m certain insurance companies despise your presence.

    I can only say thank you. But, until the ERISA law is reformed the fight is not over. The problem is ERISA and I’m sure you’ll agree it is broken. It should allow in bad denial cases for you to sue for recovery of any financial losses you have incurred and it currently doesn’t. ERISA, which was written in part due to insurance fraud, has now been turned into a profit maker for insurance companies to deny any claim for any reason. Obviously, they will be cautious which they choose as they don’t want to attract government attention to those practices.

    However, I think it’s safe to assume at this point that the carriers are drawing an enormous amount of attention to themselves as of recent denying claims in record numbers. What is be doing at the Supreme Court level and DOJ about this practice? I think were beyond the point of lawyers and fights. Were now at a national problem that ERISA is the problem and it’s being abused by insurance carriers for what the law was intended to do and that’s curtail fraud. But now they have abused that privilege. Don’t you think it’s time the DOJ and Supreme Court and Congress lay the hammer down on this issue? People are dying from this!

    Been Denied LTD Apr 25, 2013  #255

  • Daniel,

    It is unfair that the disability companies can offset your monthly benefit with SSDI payments, but it is legal. The disability company can sue you for any overpayment, so you need to be cautious. They cannot garnish your SSDI payments.

    Gregory Dell Apr 18, 2013  #254

  • Why don’t you lawyers get together and file a class action against all these ripoff insurance companies, hit them where it hurts. Just reading all these emails you get, its pretty apparent that this is a real problem in this country. I for one am in the same boat as these people. For one thing… I saved the 4 page pamphlet they sent me to sign up for this LTD policy, it doesn’t mention any of this in it, at best vague and misleading. On it I only agreed to let them take money out of my paycheck, I never agreed to all these terms. In the policy it says I will get a minimum of 100 dollars a month. They can use that for payback, that or settle with me… $1200 a year times 25 years, take it or leave it… or come down here to my county, sue me, get a judgement that they cant collect on because  own nothing, and they cant garnish my SS, because I’m disabled. Tell me what you think.

    Daniel Apr 17, 2013  #253

  • Sharon,

    It is probable that MetLife will seek an overpayment from you.

    Gregory Dell Apr 10, 2013  #252

  • I settled a work comp claim out of court, but never received any worker’s comp, just a lump sum settlement. Will I have to pay back MetLife Long Term Disability?

    Sharon Apr 9, 2013  #251

  • Susan,

    The widow benefit is usually not a deductible source of income. Can you get both SSDI and the Widow Benefit? If you cannot, then you may want to waive the SSDI benefit and just take the widow benefit so that you do not have an offset.

    Gregory Dell Mar 16, 2013  #250

  • I have been collecting LTD from UNUM and have just been approved for SS disability. I know that I must reimburse UNUM the amount I owe them. This is my question – I may also be eligible for widow’s disability through social security. If I am approved, must I also report that income to UNUM to offset their payment to me even further?

    Thank you.

    Susan Mar 15, 2013  #249

  • CoCo,

    In most disability policies as long as you stay within the US, then you can move without a problem. You must continue to receive medical treatment wherever you move to. The disability company will ask questions about why you moved and possibly try to use it against you as a reason you stopped working.

    Gregory Dell Mar 9, 2013  #248

  • I have been recently approved for LTD through my employer group insurance. I have been through the elimination period and have started receiving benefits. My employer accepted a letter of absence which stated I requested an “undetermined length of time” while going through medical procedures. I have been through many procedures that have not been successful. My husband recently was offered a position in another city which would require us to move. How would this affect my LTD since I am presently just on a leave of absence from my work?

    CoCo Mar 8, 2013  #247

  • Whippowill,

    If you wife receives any SSDI payments as a result of your disability, then the disability carrier will attempt to further offset your monthly check. Your wife should obtain benefits which have nothing to do with your disability claim and then it will not impact your monthly check from the disability carrier.

    Gregory Dell Feb 25, 2013  #246

  • Just got a letter from my LTD provider wanting to know if my wife is going to file for early retirement for a spouses portion of my SSDI or if she intends to file for her own retirement benefits when she turns 62 in a few weeks. Why are they asking these questions?

    If my wife begins receiving her own social security benefits that she earned will that offset my LTD monthly benefits, also what if she were to receive a spouses part of my SSDI would that offset my LTD monthly benefits. They didn’t offer any explanation as to why they want this information. I don’t understand what business it is of theirs if she files for her own social security benefits early. Can you enlighten me?

    Whippowill Feb 22, 2013  #245

  • Becky,

    In some case you can work out a repayment plan with them.

    Gregory Dell Jan 30, 2013  #244

  • Do you know if Unum will allow me to repay my overpayment by withholding my monthly payment from them?

    Becky Jan 29, 2013  #243

  • Alison,

    It is unlikely the disability carrier would have the info you have mentioned. Your former employer may have that information.

    Gregory Dell Jan 29, 2013  #242

  • Susan,

    They could potentially sue you for the money. If you declared bankruptcy I don’t think it is dischargeable, but it would be very hard from them to collect from you. I cannot answer questions about bankruptcy as I don’t know about bankruptcy laws.

    Gregory Dell Jan 29, 2013  #241

  • Would the LTD company have a copy of my pay-stub or other information showing whether I had paid premiums for 70% or 60% at the beginning of my disability about 20 years ago? They are claiming they do not have that info, but they did give me the sheet that shows they only paid me 55% when the policy said they would have to pay me 60-70%.

    Alison Jan 28, 2013  #240

  • I was on LTD for depression and the policy was for 2 years. I used about a year and a half of LTD payments. I then got SSDI. I got a letter from insurance company that I owed them $24,000. This was in May 2011. I have not heard from the insurance company since about Sept. 2011. There have been no legal filings and no contact.

    Two part question:

    Will I eventually be sued for the money?

    I have declared BK Chapter 13 in June 2010. I did NOT place them on the list as I was not approved for SSDI as of yet. Can I file BK 7 and include them now?

    Susan Jan 28, 2013  #239

  • Troubled & Disabled,

    They can go after money paid your child if he is receiving benefits as a result of your disability.

    Gregory Dell Jan 24, 2013  #238

  • Greg – Thanks for your response. Could you please clarify the following in your answer:

    The carrier can only claim an overpayment for any funds they paid you which overlap with the payment of SSDI funds for either you or your child.

    Since they did not pay me the money, it went directly to my adult child, can the claim I owe them the money?

    Thank you in advance.

    Troubled & Disabled Jan 23, 2013  #237

  • No where to turn,

    It is possible that the retirement cash may appear on your tax return. Hartford has the right to ask for your tax return at anytime and you would be required to provide it. If they asked you about any other sources of income and you lied, then you could be subject to insurance fraud. Depending upon the policy language, the retirement funds may not be considered an offset. Also, if the income goes to a spouse, then it would not be considered income to your wife. We can discuss some options if you contact us.

    Gregory Dell Jan 18, 2013  #236

  • Troubled,

    If your child is getting the SSDI funds as a result of your disability, then it does not matter where he lives or how old he is. The carrier can only claim an overpayment for any funds they paid you which overlap with the payment of SSDI funds for either you or your child.

    Gregory Dell Jan 18, 2013  #235

  • My wife has been on LTD payments from The Hartford since 2008. We are having financial issues and have been thinking about cashing out her company paid retirement (not a 401k, but company retirement). Is there a way Hartford can verify that this withdrawal took place, outside of me telling them?

    No where to turn Jan 17, 2013  #234

  • Hello. I was approved for SSDI after many appeals. My LTD carrier has demanded an overpayment of over $50000, which includes a portion of my now adult child’s benefit. My disability being in 2007, my child turned 18 in 2008. I was approved in 2010. The child’s benefit went directly to my adult child. I received absolutely no money or any statements since the child no longer lives in my home. Totally understand if the child was a minor and I received the money. Any advice?

    Troubled & Disabled Jan 16, 2013  #233

  • Sharon,

    You can sign a form for Cigna and let them request whatever tax returns they want. You don’t need to gather them all. If Cigna owes you unpaid benefits, then you can go after them for all of the benefits they owe you. If you can get a copy of the policy from either Cigna or your former employer, then we can review it and let you know if you have a valid claim for unpaid disability benefits.

    Gregory Dell Jan 15, 2013  #232

  • CIGNA LTD has been trying to kick me off after being on LTD for 24 years. I provided so much medical proof that they finally quit on that, but now are requesting 8 years tax returns. My CPA doesn’t want to provide 8 years just because he doesn’t want them going out that many. Not because I worked, but the returns were very long and complicated with my husband and real estate, so the CPA does not want us to provide all of them. My residency has been SC, Fl, and CA. Do you know the statute of limitations in those states and whether I have to provide 8 years returns?

    Also Cigna finally gave me a copy of my policy and I saw that they have been supposed to be paying me 60-70% of my gross salary. I know for a fact they have only been paying me 55%. I had argued that when I first went on but did not know I could ask for a copy of the policy. Can I make them pay this back pay? Or what about forward? My former employer who the policy was through has been defunct for over a decade. Please advise what I could do.

    Sharon K. Jan 14, 2013  #231

  • I am so glad that I found your web site. It has answered so many questions for me.
    I have spent days trying to get answers from SSDI, the insurance company that has payed me LTD for two years and the third party company that filed my claim with SSDI. I have received my back pay (deposited into checking) yet recieved NO paper work ahead of time to expect the funds. Long story short is that I have been told by the insurnce company my back pay is theres.
    I thought they were pulling a fast one. I have called my employer to check the offset clause in the policy and await the return call. It is heart breaking to be told you will get these funds and then at the end find out the insurance company gets it all. I am facing homelessness and yet I have thousands of dollars in my account I cannot use to secure a place to live. Your forum is the best source of info I have gotten. Thank you very much for all your caring time to those of us that are blowing a round in the wind. Lori in MD

    Lorelei Sharman Dec 28, 2012  #230

  • Chris,

    I am not familiar with your agreement with UPS. There is no state or federal law which I am aware of which requires UPS to continue paying your benefits more than 5 years after you become disabled. Do you agree that your LTD with MetLife should end after 60 months? If the policy pays for longer than 60 months, then maybe there is something we can look at for you to see if we can get MetLife to pay you longer.

    Gregory Dell Dec 6, 2012  #229

  • Greg, I am UPS driver in SC. I started in 1994 and in 2007 tore my L4/L5 discs in my lower back. I have been receiving LTD, provided by MetLife, but after 60 months according to them, my LTD is over. I still am unable to go back to UPS as a driver and am still employed with them. For the past two months, I have received no money and at this point, keep getting the runaround. I have filed for SSI and every year denied, because I received to much money. I have filed with the ADA through UPS, but was told this could take months. While still out of work, is UPS not responsible for paying my benefits?

    Thank you for your time!

    Chris Dec 5, 2012  #228

  • Tommy,

    Since you never applied nor were approved for SSDI you should not have any problems.

    Gregory Dell Nov 12, 2012  #227

  • Dear Greg Dell,

    I have a question that does not appear to having been asked as of yet.

    Back in May of 2010, due to a childhood illness, my kidneys failed. I worked for 13 years prior for a great firm. I was approved for STD and then after 26 weeks was approved for Long Term Disability through my company’s Plan Hartford. I was only on LTD for 15 months after receiving a kidney transplant from my great brother. My question to you is, during that time on LTD I was asked to apply for Social Security benefits, but I never did. I was terminated from job while on LTD, which I am no longer receiving as I am healthy and able. But my concern is, can Hartford sue me for benefits reimbursement that I never applied for through Social Security?

    Thank you very much for your time.


    Tommy Nov 10, 2012  #226

  • Bryan,

    Unum can sue your wife if she does not pay back the funds and Unum can offset her monthly benefit each month.

    Gregory Dell Nov 8, 2012  #225

  • My wife was awarded SSD. She collected from Unum Ltd., they want the whole amount of the award paid back. What happens if it is not paid back? We live in PA.

    Bryan Nov 7, 2012  #224

  • Jennifer

    Most long term disability policies require a claimant to make a claim for benefits within 12-18 months. It would appear that your claim would be untimely and that the company would not consider it. You have nothing to loose by contacting your old employer and trying to submit a disability claim.

    Gregory Dell Oct 18, 2012  #223

  • Lisa,

    If you have not received any funds from SSDI, workers comp, or your auto accident claim, then it does not seem reasonable that Lincoln Financial should be able to hold your long term disability benefits. You may need to file an ERISA appeal or lawsuit in order to collect your disability benefits.

    Gregory Dell Oct 18, 2012  #222

  • I see there are too many questions to go through but the majority are not of the nature i’m in need of an answer…

    I worked for HP for 15 years and paid heavily into all options, including LTD and SS… I was let go on May 29, 2009, which is the onset date SSDI determined my disability date.

    I am diagnosed severe depression, anxiety, bi-polar, and PTSD. Some of which date back to 2006.

    Is there any way, ie. via my long term disability company coverage (unknown statute of limitations), or legal action for discriminatory lay-off against that I may redeem this situation when I was unable to rectify untreated at that time?


    Jennifer St Jean Oct 18, 2012  #221

  • I applied for LTD Lincoln Financial, Wow what a company full of *** nobody I myself faxed 90% of all my own labs a and tests. Denied, so me being sick and tired of being pushed around not only by them but my company as well, being told im not disabled just dont want to work, I got myself a lawyer. Its now been 15 months since I’ve been off work. I am now living on no income borrow money from my parents and other family, I’ve had 2 surgeries and am expected to have another in 2 months, I have applied for SSDI 6 months ago and still havent received anything from them either. I had a car accident 2 years ago in which I have not settled either. I rolled my retirement into a 401into my bank then because I didn’t want to lose my house I paid it off with my 401k. My question is I want a settlement, I dont want to deal with these people every month and I dont feel if I ever do get a payment they should be me entitled to a penny. They didn’t pay me a dime for all this time and I’ve lost my vehicle had utilities shut off, stress from just dealing with them. Why should they be entitled to something of mine. I worked for my retirement and I will be sick for a very long time. As far as my accident that should be mine as well since thats not what caused me to become disabled. My SSDI claim hasn’t even been approved yet either. I lost my cobra when I couldn’t pay their $800 premium so now I have huge medical bills, my medication is around $1500 a month and I also support 3 children, I am a single mom. Please tell me how its fair for them to hold my LTD and collect interest for this long and expect me to pay them, why cant I deduct the interest for the amount of time they denied me till we settle?

    Lisa Oct 17, 2012  #220

  • Mary,

    Great question. Most creditors can report whatever they want to a credit agency. Whether or not they can legitimately report is something that you need to speak with a credit attorney about. If you get a good answer to this question, please let us know.

    Gregory Dell Aug 17, 2012  #219

  • If I’m in a valid repayment plan with AutoOwners for a lump sum I received from my employer while receiving disability from AO, can they put the amount I owe on my credit report? I’ve been making all of my payments on time but am concerned they may turn it over to a collection agency or mess up my credit, even though they allowed me to enter a payment plan.

    Mary Aug 16, 2012  #218

  • MP,

    I agree with you. They should only be entitled to an overpayment for periods of time that overlap with when the carrier paid you. You need to write them and explain your position.

    Gregory Dell Jul 28, 2012  #217

  • I received a letter from my LTD company saying that they require repayment of 100% of back pay. But my SSDI is going back to the date of my injury, which was 3 months before my LTD kicked in. I was reduced to 15-20 hours a week from 3/2010 through 11/2010 and my LTD only covered partial benefits from 6/2010 until I was terminated at the end of Nov. 2010, when their benefits were increased. If there is a 6 month waiting period shouldn’t I only have to reimburse them the actual partial benefit amounts they paid me for Sep., Oct., and Nov.? They say they are supposed to get 100% of the back pay because it is less than the total they have paid me over the last two years. Is this right? I thought they could only take the actual amounts they paid to me on a monthly basis for the months I receive both SSDI and LTD.

    MP Jul 28, 2012  #216

  • Dawn,

    I think you can fine the answer to your question in the Tax Issues section of our FAQ section.

    Gregory Dell Jul 27, 2012  #215

  • Another question that I haven’t quite been able to find the answer to on you site. I have called a few accountants and they don’t know either. I paid my disability as a voluntary after tax deduction from my paycheck so my benefits have been non taxable to this point. Basically I bought into their group policy, but I did so from my take home amount.

    So, when I receive my SSDI back-pay and I have to send 100% to the LTD company, is there any legal statute that I can notify them of that allows me to pay taxes on that amount before I send them the remaining? Otherwise I will have to send them everything and still pay taxes essentially being penalized for doing nothing more than paying a higher tax rate up until two years ago by purchasing my policy with after tax dollars. No one has the answer to this. Thank you.

    Dawn Jul 26, 2012  #214

  • Mary,

    The answer to your question depends on the Deductible Income provision of your disability policy. You need to review your policy and contact your employer to ask if you will have an overpayment.

    Gregory Dell Jul 19, 2012  #213

  • I have been receiving short term disability beginning October 2011 and have not had any earnings since that time. I filed a complaint with my employer and am now going to be paid backpay from October 2011 through the present. Will I have to pay this backpay to the disability insurance company? I really was disabled while I was out of work and was receiving disability benefits.

    Mary Jul 18, 2012  #212

  • Tajauna,

    You should still be entitled to receive the policy minimum, which is usually $100 a month or 10% of the monthly disability benefits that you qualify for.

    Gregory Dell Jul 15, 2012  #211

  • How does overpayment work if your SSDI is more than LTD monthly payment? Just been awarded SSDI and received LTD from Dec 11 to June 12.

    Tajauna Jul 10, 2012  #210

  • Michelle ,

    You would only be responsible to repay the disability company for any period of time that overlaps with the same time period that SSDI and the disability carrier pays you. You will need to explain in writing you situation to the disability company.

    Gregory Dell Jul 2, 2012  #209

  • My LTD terminated my benefits in Feb. 2011 after and ALJ denied my SSDI. I immediately requested that the review board assess my file which was sent back to the ALJ and was approved OTR this month. The judge listed my disability start date as Jan. 1, 2011 instead of the date I stopped working which was 10/1/2009.

    I just received a letter from my LTD company stating that since I am approved I must honor the promise to repay from any back payment I may receive from my SSDI. I’m going to request an accounting log showing all payments I have received on their LTD claim because I was still working part time the first 3 months before I was placed on full disability so the payments fluctuated. But my backpay will not cover this time either way.

    Since they terminated my benefits based on my SSDI denial a year and a half ago (even though their policy states they have different criteria) can I request that they reopen my claim and pay benefits back to the date they terminated?

    The LTD letter states “You have signed an agreement to reimburse *** Assurance Company 100% of any backpay you may receive from your Social Security Disability Claim as repayment for the amount you have received from us beginning June 26, 2009.” But, I’m assuming I will only receive back pay including Feb. 2011 through present during which I have not received any LTD. It may even be less than that if they start the 6 month waiting period in 2/2011, I haven’t received any paperwork yet.

    The back pay that they are requesting should only be from the date of onset of the SSDI benefits through the date they terminated my LTD benefits, correct? This would be nothing, or one month’s benefit reimbursement at the most.

    Thank you.

    Michelle Jun 29, 2012  #208

  • Jake,

    If you earn more than $950 a month you will not be eligible for SSDI. Additionally, in order to qualify for SSDI you must be unable to work in any occupation for which your have experience, education or training.

    Gregory Dell Jun 14, 2012  #207

  • Lanette,

    The disability carrier will offset your benefit for an SSDI payments that you receive as a result of your disability. It is likely they will consider your husband’s earnings as well.

    Gregory Dell Jun 14, 2012  #206

  • Dennis,

    You are correct, the attorney fee should be deducted from the overpayment that you owe to the disability carrier. Which insurance company will not deduct the attorney fee?

    Gregory Dell Jun 14, 2012  #205

  • I had an accident a few years back and have limited use of my right arm. I have a part time job but does not pay enough for me to live off of, what are my chances of being approved for SS benefits?

    Jake Jun 14, 2012  #204

  • I left a position at a company due to my disability at the age of 64. They had a LTD policy and I was approved for a monthly check of 60% of my pay. I had to apply for SSDI and that was approved also. The amount I am receiving from SS is just from my earnings.

    My question is what happens if I take the larger amount I am due from my husband’s earnings while receiving the LTD? Can they use that money to offset their payment further?

    Lanette Jun 12, 2012  #203

  • I recently won a SSDI award and received a back payment for several months, less the attorney fee. My LTD company seeks “overpayment” from me which is OK, but they want to include the attorney fee in the amount owed them. Is this legal? Seems like I should only need to pay them money that I actually received from SSDI and not what I received plus the attorney fee?

    Dennis Jun 6, 2012  #202

  • Ray,

    In most instances a personal injury recovery will not jeopardize SSDI benefits. If you had a private disability policy, then the carrier may claim an offset for any recovery that you receive. You need to clarify your question with your personal injury attorney.

    Gregory Dell Jun 4, 2012  #201

  • I’m receiving SSDI and recently took a bad fall down a stairwell do to poor maintenance and injured my back, arm and leg. If I filled a law suit and won a judgement, would I lose my SSDI benefits?

    Thank you in advance.

    Ray Jun 1, 2012  #200

  • Doug,

    The courts are divided on this issue. The simple answer is that Sedgwick could sue you, but they may not be able to recover. I think you should take a look at a recent disability court case in which the claimant was sued and ordered to pay back benefits.

    Gregory Dell Apr 30, 2012  #199

  • Greg,

    Thanks for responding to my earlier question. And thanks for the warning about Sedgwick. I did receive a letter from them for the overpayment. It also said they would deduct any future payments to recoup the overpayment. Once my LTD ends can the sue for the balance? I read an article that due to Erisa laws that an insurance company cannot sue you on employer sponsored plans.


    Doug Apr 29, 2012  #198

  • Karen,

    They could ask for more at a latter date, but it is unlikely that they would as they would close this investigation and move one. I periodically see MetLife go back and do an audit of any errors that made in calculating the SSDI overpayment. If you get a letter with their explanation of the overpayment, then I think that you would be safe in relying on what the disability company told you.

    Gregory Dell Apr 28, 2012  #197

  • Greg,

    If a LTD carrier sends you a letter demanding an offset amount along with a worksheet showing how they calculated the total amount due, and it turns out they made some errors in their calculations, can they come back later and demand more once you pay them the full amount they requested? I sent my LTD carrier my award letter from SSDI along with another award I received and I think they made an error in their calculations. Can they later ask for more after they were sent what they asked for?

    Karen Apr 27, 2012  #196

  • A.M.,

    You need to immediately file an appeal if they have denied your claim. Once you file the appeal, the claim will go to someone new.

    Gregory Dell Apr 20, 2012  #195

  • Hello,

    I moved from one state to the next. My medical insurance can’t be used in the new state so I had to find a Dr. that works on sliding fee scale. I found one but there are no fee scales for specialists. I have severe anemia, need 9 blood transfusions. A tear in my right shoulder can’t get surgery because I can’t get medically cleared. I get lightheaded and shortness of breath, chest pain, just from walking 20 feet. I can’t lift anything because of my shoulder and can’t reach above my shoulder level. My back is weak and I was diagnosed with spinal stenosis.

    My new Dr. has yet to send for my records. After 6 months my long term carrier has requested a form to be filled out about my disability. The new Dr. didn’t fill it out as of yet today and the LTD said she is closing my claim. I have 7 kids to provide for. My husband’s income is very small. I also suffer from depression but couldn’t get an appointment until May 7th. That seems so far away. I was a state correction officer, I paid into this Ins. for about 8 years and I am not trying to take anything from them, I cannot work.

    I don’t know what to do. What can I do? I asked the claim specialist to give me more time until my insurance is approved so I can go to the Drs. I need and she was very cold and said there is no time.

    A. M. Apr 20, 2012  #194

  • Grace,

    Great question, but this is a very specific bankruptcy question that needs to be addressed to a bankruptcy attorney. I think that the LTD carrier will continue to offset your check each month for the SSDI repayment regardless of whether you file bankruptcy or not. Please let us know what you find out from a bankruptcy attorney.

    Gregory Dell Apr 16, 2012  #193

  • Attorney Dell,

    I recently contacted an attorney and I am in the process of filing bankruptcy due to my drop in income since I went off work, first on STD, then to LTD and now, ultimately being approved for Soc. Sec. Disability. I have accumulated many bills and medical costs. Can the repayment to my LTD insurance company be included in my bankruptcy ?

    Grace Apr 16, 2012  #192

  • Doug,

    The STD policy may not have an offset provision for SSDI payments. Each carrier may have their own separate claim for an overpayment. They can only request an overpayment equal to the amount that they have paid you. Good luck with Sedgwick as they are usually a nightmare to deal with.

    Gregory Dell Apr 14, 2012  #191

  • Greg,

    I was on short term disability from my employer starting 2/8/2011. I was then transferred to long term disability on Oct. 1st 2011. Insurance company had me apply for Soc. Sec. Disability in December through Allsup. I was just notified last week I was approved back to August 2011. I have received a check for $15,050 for back pay. My question is, will I have to pay back all the LTD plus the short term for 2 months? In 2011 my company was using Aetna as our disab. provider. In Jan 2012 they switched to Sedgwick. How do I work this out with 2 different insurance companies? LTD was a benefit from my employer and I did not have to pay for it.

    Doug Apr 13, 2012  #190

  • Nelly

    Yes, you will need to give back any overpayment that equals the amount you received from Prudential. You may still be entitled to a minimum payment from Prudential.

    Gregory Dell Apr 13, 2012  #189

  • I am on long term disability right now with Prudential. I’m applying for SSD because it will be more than my monthly LTD benefit. If I win my SSD case, do I have to give any of my retro award to the long term disability carrier? Will LTD cease altogether, since it will be less than my SSD?

    Thank you,

    Nelly Frisk Apr 12, 2012  #188

  • Penny,

    You may be correct in your review of the policy. Every policy has different language and it is not automatic that SSDI benefits have to repaid to a disability insurance carrier. I have not seen your policy so I cannot specifically comment.

    Gregory Dell Apr 10, 2012  #187

  • Greg,

    My husband has been getting LTD from Hartford for 20 months. I know they are going to tell us to pay them back once he gets SSDI. However, I read our LTD contract and I feel like their own wording should suggest that their LTD payments a PLUS his “other” income (which is how they list SSD) plus employment income (which he has none, he is not working) still does NOT meet the 80% of his pre-injury income. Which is when the contract states that they will reduce his payments.

    Does this make sense to you? He is supposed to be guaranteed to make up to $6,700.00 per month, total, without losing his LTD, so how can they count his SSDI at $2,000.00 per month and their LTD at $2500.00 per month as 80% of his pre-injury income (which is how they word their right to reduce their payments)? It’s double talk and I don’t think their policy is giving them permission to reduce his LTD.

    Thank you for your help.

    Penny Jones Apr 10, 2012  #186

  • DP,

    Another good question. I think you can find your answer by reading Do I have to pay tax on my SSDI overpayment if I already paid tax on the disability insurance benefits for the same period of time?

    Gregory Dell Apr 5, 2012  #185

  • DP,

    The carrier will still take the full offset for SSDI benefits regardless of who gets the SSDI funds. Please see Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability?

    Gregory Dell Apr 5, 2012  #184

  • I have another question, sorry.

    I paid my LTD as post tax deductions from my previous employer so my benefits have been non taxable. They (LTD) will want any back-payment turned over to them.

    I’m told that I will be responsible for paying a large amount of taxes on the money that they will receive, not me, is there any way around this?

    I’m having a hard time accepting I paid for my insurance, that they (LTD) harass me monthly, I have to repay all of my backpay and that for my children, then end up with a huge tax bill on top of it.

    And, at the rate things are going, my oldest may be 18 before anything happens so the back-pay will go to him in that case. Are there any other options?

    DP Apr 4, 2012  #183

  • I’m waiting for my SSDI hearing in June. My LTD contract states that they will offset for SSDI and SSDI dependent payments, but my ex now says he is filing for a child support offset in the event I am approved for SSDI. I’m already living at about 50% of my pay as compared to before the accident, can both the LTD company still claim the offset for the dependent payments received from SSDI if my ex also receives the offset?

    I’ve heard that some judges are not allowing LTD companies to take the dependent offset because these amounts are to be designated only for the care/wellbeing of the child(ren) or placed into a savings account for them. Is this true?

    DP Apr 4, 2012  #182

  • T & P,

    Your assumption seems correct if Unum only paid you 15K. They may not be entitled to the full 15K. Unum will offset your monthly benefit as you move forward so you will not have an overpayment. You may want to consider a lump sum buyout of your Unum disability claim (read here about lump-sum buyouts).

    Gregory Dell Apr 3, 2012  #181

  • If I got $15K LTD from Unum and now I was awarded SSDI, the most Unum could ask back is $15K – is that correct? STD was paid by employer.

    T & P Apr 2, 2012  #180

  • Robin,

    You can ask Unum for a payment plan to repay the SSDI. You may also be interested in a lump sum settlement of your claim which you can call us to discuss. With regard to the double taxation issue, please read Do I have to pay tax on my SSDI overpayment if I already paid tax on the disability insurance benefits for the same period of time?

    Gregory Dell Mar 26, 2012  #179

  • I received STD then LTD; they paid my state and federal taxes. I have now been approved for SSD and received the back pay and starting to receive monthly payment. My STD/LTD carrier (Unum) wants to be repaid the amount I received from SSD in a lump sum. This has caused a HUGE hardship being off work and receiving less pay.

    I already paid taxes via Unum, however now that I have received the payment from SSD and have to repay Unum, will I have to pay taxes AGAIN? Doesn’t seem right to have to pay taxes in originally, then have to pay it back to Unum from the lump sum and pay taxes again.

    Also, when it causes a financial hardship, do you have to repay the STD/LTD?


    Robin Mar 26, 2012  #178

  • Charmaine,

    Some policies require you to reside in the United States. You need to read your policy to see if it has any limitations on residence.

    Gregory Dell Mar 26, 2012  #177

  • Can my benefit from my insurer continue if I decide to reside in another country, if they give estimated time all the way to retirement?

    Charmaine Morgan Mar 26, 2012  #176

  • Christine,

    Your husband’s disability policy will state if the disability carrier is entitled to an offset for dependent benefits paid to your children as a result of your husband’s disability. Please read Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability? for additional information.

    Gregory Dell Mar 24, 2012  #175

  • General question. My husband is receiving SSD, and through his employer he had insurance that pays him a long term disability benefit of $100 per month as well. Now the long term disability insurance company is asking for the $ amount that our children receive from his SSD claim as dependents, so they can use it to determine how much to lower his LTD benefit. I think that the LTD was paid for by his employer as a benefit solely for him. The SSD benefit that our children receive as his dependents, as I understand it, is their benefit to be used solely for them. Their father and I cannot use any of their benefit for ourselves. This makes me think that they shouldn’t be able to use the children’s benefit to affect the amount of LTD benefit he gets. I’ve called all over but nobody seems to know weather I am correct or not and I don’t want to furnish the children’s information to the LTD insurance company if they have no legal right to it.

    Christine Mar 23, 2012  #174

  • R,

    If you are receiving any LTD insurance benefits and receive SSDI payment for the same time period, then you may need to pay back any SSDI payments you receive which overlap. You will be entitled to an offset for any attorney fees that you need to pay.

    Gregory Dell Mar 19, 2012  #173

  • Rick, I became disabled in 2008 after working 13 years with the same company. They hired a firm to help with SSDI and paid short term benefits followed by a year of long term benefits and then they denied to continue paying benefits and the firm that they hired said that my company agreed to no longer pursue my disability case and will no longer be representing me so I hired a different lawyer and filled out the forms with the judge to dismiss the firm and replace it with the lawyer… Would you believe 2 years later I finally get my hearing and I guess the firm was CC’d on it cause they started harassing me and calling my phone but sorry they told me they no longer would represent me. Will I still be required to pay them anything from my back pay? Keep in mind this is from a carrier that used every shady practice in the book including paying me 25 percent of what I was supposed to get, canceling my medical benefits while I was in the hospital on my death bed. I had to fight for all this to be fixed while very ill.

    R. Mar 18, 2012  #172

  • Steve,

    We cannot give any tax advice, but please see the following Frequently Asked Question on our website: Do I have to pay tax on my SSDI overpayment if I already paid tax on the disability insurance benefits for the same period of time?

    Gregory Dell Mar 16, 2012  #171

  • I have been receiving LTD benefits from my company for a little over 15 months. Last June the LTD Ins. Co. won for me SSDI through a third party. I received a lump sum in June of 2011 which I immediately returned to the third party. All along, my LTD benefits were and still are not taxable. I received a SSA-1099 showing a lump sum payout that I am now required to report as taxable income according to the IRS formulas. It seems to me obvious that I should not owe any taxes on the income, regardless of the source since the total amount has not changed from the original LTD monthly payments which are not taxable income. The Social Security and the IRS do not have an answer how to address this problem, via their forms. My original LTD is offset by the SSDI payment, if I had never gone along with the third party application for SSDI, none of my disability income would be taxable. Any ideas how I should address this issue before April 15?

    Steve Norris Mar 15, 2012  #170

  • Craig,

    Passive investment income and inheritance are usually not subject to an offset by the disability carrier. Your disability policy will clarify these issues. It is unlikely that you will have to repay any funds. It is good that you have notified the disability company.

    Gregory Dell Mar 15, 2012  #169

  • If one is collecting LTD whether for a short period (6 months to 1 year) or very long term and they receive an inheritance or an investment matures while on LTD can they request you to pay back both short term and long term payments received?

    So just to be clear that insurance fraud is not the intention here I will be more specific. If you inform the LTD company immediately that your financial status has changed can they be entitled to all payments received for both STD and LTD?

    Craig Mar 15, 2012  #168

  • Rick,

    The answer is probably YES. You need to see if the offset language in your wife’s MetLife disability policy includes dependent children.

    Gregory Dell Mar 14, 2012  #167

  • Gregory,

    My wife was approved for Long Term Disability with MetLife. She applied for Social Security benefits and received them. She has sent that info to MetLife. However, we have a daughter that is 13 years old and Social Security just approved that benefit as well. Is MetLife entitled to Offset the dependent benefit as well? Thank you so much.

    Rick Mar 14, 2012  #166

  • How long can I keep the money before I have to return it? I would like to make a little interest off it at least.

    Monica Mar 13, 2012  #165

  • Monica,

    You need to notify the carrier that you received the money. Once they ask for it back, then you need to repay it. You could request a payment plan.

    Gregory Dell Mar 13, 2012  #164

  • Karen,

    Unum may be interested in a lump-sum buyout of your disability policy. Any offer will include a deduction for the SSDI overpayment. Contact us if you would like to approach Unum about a lump-sum buyout. I don’t think the IRS gets angry about amended tax forms as it is a common practice.

    Gregory Dell Mar 12, 2012  #163

  • Question. Like all the others, I was receiving LTD for several months. I was finally awarded SSDI, and hence receiving both. Unum notifies me that I owe them $28,837 because they forgot to withhold some of the Unum $$$. So I ask around to my SSD lawyer and so forth. They are not as familiar with this as clearly as your web site. I found a lawyer to “negoiate” a settlement with Unum. As you seem to have knowledge of this kind of case, will Unum settle for a lump sum? And – can I expect this to happen again, other than when I am eligible to get my pension? Secondly, is not the IRS angry about all the ammended tax forms?

    Karen Simon Mar 12, 2012  #162

  • Maryanne,

    There is some good case law which states that a disability carrier cannot offset long term disability benefits as result of VA benefits that were being paid before disability insurance benefits. Please take a look at our Frequently Asked Question about Veteran Benefits at Can Veteran Disability Benefits be deducted from my monthly long term disability insurance check?

    Gregory Dell Mar 10, 2012  #161

  • My husband was forced by his employer to go out on disability when he came to work with a cane. He was on STD for 6 months, then approved for LTD in November 2010. In February 2011 we received a letter from his employer notifying him that he had been terminated retroactive to when he became eligible for LTD. My husband is a veteran who has been receiving VA disability benefits since he came out of the service in 1992. We just received notice that they are increasing his VA benefit retroactive to May 2010, a week after he was told not to come back to work. I have read the list of offsets in his LTD policy, and it does not specifically list Veterans benefits. It only says “any compulsory benefit act or law”. Can his LTD carrier demand his VA award back to May of 2010?

    Maryanne Mar 10, 2012  #160

  • Brent,

    Your situation is unique. I am assuming you are referring to a Unum disability policy. If you are receiving SSDI then you may loose your SSDI if you earn more than $900 a month. If you are working for a new employer and have STD and LTD coverage hen you may be able to file a new claim, subject to a pre-existing condition limitation. It is likely that Unum will offset for any SSDI payments that you are receiving.

    Gregory Dell Mar 6, 2012  #159

  • I receive SSDI for a blindness disability. I am legally blind and went back to work part time for some extra money. I have been paying into a short and long term disability plan with my employer. My blindness has progressed and I can’t continue. I am making about $600.00 biweekly working, but will UMN offset that against my SSDI, which is more and pay me nothing? In the policy it shows Social Security payments as an offset. Should I even continue paying into short and long term disability ?

    Brent Mar 6, 2012  #158

  • Barb,

    It is normal for the insurance company to request an overpayment. You should not have to pay them until you receive the money from Social Security.

    Gregory Dell Mar 3, 2012  #157

  • I have been on long term disability, through my employer group insurance, since 3/15/2011. I was advised to apply for SSDI immediately. I did that. I was advised by the insurance carrier that if I get denied, they appoint a company to handle it for me, at no charge to me. When I was denied the third time, that company was poised to go before a judge with me. That became unnecessary as I was approved before that happened.

    Even though I have not received anything from Social Security dating back to after the 5 month waiting period, my disability insurance has presented me with an over payment due of close to $7000. They came up with the figure by deducting my SSDI from my gross disability income. Is this normal?

    Barb Mar 3, 2012  #156

  • Tom,

    Since the LTD carrier seemed to release their lien at the time of your third party settlement, I don’t see why you would have an issue moving forward. You should speak with your original personal injury lawyer about your concerns.

    Gregory Dell Mar 3, 2012  #155

  • Was involved in a third party liability lawsuit. Had many surgeries and procedures. Meds were paid by a Group Heath. Also had a fully insured group LTD policy. Filed and received SSA permanent disability. The LTD carrier declared I was disabled from Any Occupation. Injury was in July of 2007. Filed for Disability in Nov. 2007 and finally approved in Feb. 2010. After out of court (Aug. 2011) settlement, the meds were paid back, the LTD carrier was also paid in full.

    Once the LTD carrier was paid, my monthly LTD benefits were restored. After all liens were paid, I received @100,000. Since the injury, I noticed a paragraph in the SPD under Deductible Income, that any settlement, award, judgement etc. was deductible income. Since all liens were satisfied, do you think the LTD carrier can claim the settlement award? I live in Tennessee (6th circuit), we have the Made Whole Doctrine as a default rule.

    The economic expert from my lawsuit determined my total losses at 1,900,000. Meds and LTD carrier got @50,000, attorneys got 100,000, I received 100,000. Seems to me I was not made whole. The LTD carrier has not denied me any benefits, but I know from your online articles and videos, denial of my benefits are probably coming. The LTD carrier participated in the settlement via Enginix, a subro co. The med liens were handled by Rawlings, a subro co. The LTD co. also received an overpayment settlement in full.

    Since the LTD carrier signed off on the settlement, how can they subrogate going forward? Any money I received are for the future loss of income, pain and suffering, loss of enjoyment of life, permanently disfigured, permanent disability. Any thoughts?

    The SPD does not abrogate the Made Whole doctrine, no mention of first dollar priority. What do you think?

    Tom Mar 2, 2012  #154

  • Arjay,

    The Standard may require her to apply for SSDI and if she does not, then they may offset her benefit by an estimate each month.

    Gregory Dell Mar 2, 2012  #153

  • Mr Dell,

    My Mom is undergoing chemotherapy for the next 15 months and has gone on disability through Standard which she has always paid into. Following recovery, she plans to go back to work. Less than a month into collecting her disability, Standard is now trying to pass her on to SSDI which could potentially effect her disability income and insurance coverage. Is there any reason she has to apply to SSDI? Can she simply say no, I will not apply to SSDI? There doesn’t seem to be any advantage to going onto SSDI and actually could be less advantageous.

    Thank you.

    Arjay Mar 2, 2012  #152

  • Ken,

    If your son is receiving benefits as a result of your disability, then it is likely that the carrier will seek an offset for his benefits as well. You may be able to argue that he is not a dependent of yours as reflected on your tax return.

    Gregory Dell Feb 26, 2012  #151

  • Thank you for the answer to my last post, it was very helpful. I have one further question and hope you can help answer. In the event I receive SSDI I realize that I will have an LTD offset, however, what if my son receives a benefit? My son lives with his mother and she has the tax deduction rights for him (we are divorced). Can the LTD company claim his benefit as an offset against me considering that I will not be receiving these funds and have no benefit from his benefits?

    Thank you once again.

    Ken Feb 26, 2012  #150

  • Michelle,

    The answer to this question depends on the language in your policy. Not every policy has an SSDI setoff. Most group disability policies deduct for SS payments.

    Gregory Dell Feb 23, 2012  #149

  • I am 66 and employed. I got sick and went on short term disability and it has now ended and LTD will be kicking in in another month. I am considered still employed for another 6 months at which time if my LTD is still needed, I will be terminated for being out of work for 1 year. Will my disability payments be reduced by the amount of my SS payments?

    Michelle Feb 23, 2012  #148

  • Sam,

    Unfortunately, I don’t think you have a “legit right” to the maximum original benefit amount of $3,997. The reason is that in calculating your monthly benefit the carrier used your Gross pre-disability earnings. If the carrier had used your after tax earnings to calculate your monthly disability benefit, then you would have a lower monthly disability benefit, but a better argument about the SSDI setoff. I think you situation is unfair and I see it everyday. We have yet to see a court case that allows this situation to work out the way you want it to.

    Gregory Dell Feb 22, 2012  #147

  • Here’s my situation: I receive LTD from STD Life of $3997 / mo. (non taxable, as I paid the premiums). I receive $1133 from Gov. disability (taxable).

    They are deducting the gross amount from my net which was non taxable. So I receive $2864 (net) and $1133 gross (taxed at 38%). After I pay my taxes that means I actually receive a total of $3566 net. I have lost $433 per month (net). The $3997 was the max allowable under my policy.

    Do I have a legit right to the maximum original amount of $3997?


    Sam Weissbach Feb 22, 2012  #146

  • Ken,

    I have not seen your policy, but in most claims the carrier is only entitled to an offset for the 401k funds that are received during the same exact time period that LTD benefits are paid. If you stop receiving 401k benefits before the LTD payments start, then the carrier should not be entitled to an offset.

    Gregory Dell Feb 17, 2012  #145

  • I have a question about offsets as well. I do not have short term disability and was planning to take distribution of my 401k funds to live off during the 120 days or greater it takes for the LTD company to arrive at a decision. Considering my funds would be pretty much depleted, can they still claim this offset to reduce my payments, it would seem extremely unfair to me, considering I am having to live off of these funds while I wait the 90 days for eligibility and who knows how long for a decision. I appreciate your thoughtful input in advance – Thank you!

    Ken Feb 17, 2012  #144

  • Sheila,

    You are correct that the disability carrier should only be entitled to an overpayment when there is an overlap of dates between when LTD paid and SSDI paid. We have seen carriers try to argue that they are entitled to an offset for the entire amount paid by SSDI. A claimant has a right to demand a written explanation and a mathematical calculation of how the SSDI overpayment was calculated.

    Gregory Dell Feb 15, 2012  #143

  • A couple of the replies that I have seen regarding the SSI or SSDI backpayment (or overpayment as described by LTD insurance companies) may need clarification. One reply stated that the LTD carrier will seek the entire amount of the SSI/SSDI back-payment, but what it doesn’t say is that they can only legally receive the amount of the backpayment where the benefits overlap. I.E. SSDI started paying benefits effective May 20, 2009 through May 20, 2011. SSDI is approved and back-payment check is cut to cover from January 1, 2009 to May 20, 2011. The benefits paid by SSDI for January 1, 2009 through May 19, 2009 are NOT owed to LTD insurance company. And the insurance company owes all claimants written notification and explanation BEFORE anyone should turn over any funds. A phone call doesn’t cut it as you need a written document that clearly identifies their decision and how they came to that decision by which to adequately reply. It is all a god awful mess.

    Sheila (between a rock and a very hard place) Feb 15, 2012  #142

  • Gail,

    I agree with your position that you are potentially being taxed twice. We cannot specifically answer your question regarding the tax implications because an Accountant is best suited for this. It is unlikely that you will be double taxed. You can also call the IRS customer service line and receive an opinion directly from them.

    Gregory Dell Feb 15, 2012  #141

  • I see similar questions posted but they don’t completely answer my question. I have been on Long Term Disability and was finally awarded Social Security Disability after two and a half years. I know I have to return all retroactive money to my employer’s long term disability company. My question is, do I return all of the money and have to deal with the tax implications at the end of the year? That really makes no sense to me because I was already taxed each month when I received a long term disability check. Isn’t that double dipping?

    Gail Feb 15, 2012  #140

  • BJ,

    Unfortunately your question needs to be answered by an accountant and is beyond the scope of our expertise as attorneys.

    Gregory Dell Feb 12, 2012  #139

  • I need your help! I received a Long Term disability monthly payment and then the LTD company helped me get approved for SSDI and the LTD company took the back payment award that I received (which I knew that they were going to do). My question is this: I was supposed to pay taxes on the LTD but never did because we had to pay them back the SSDI. Am I liable for the taxes on the LTD still?

    B.J. Moorman Feb 12, 2012  #138

  • Geeman,

    Unum will tell you “no” and I am not aware of any case law that allows you to do this. I think you should be able to and I have argued it before to insurance companies. I am not aware of any legal rulings on this issue.

    Gregory Dell Feb 10, 2012  #137

  • I am receiving monthly LTD from Unum, recently received SSDI approval. The retroactive amount I received from SSDI is fully taxable to me. Can I withhold an estimated amount for taxes on the “overpayment” and remit only the net amount to UNUM? The LTD monthly amount I received from Unum was roughly 33% taxable.

    Geeman Feb 10, 2012  #136

  • Concerned,

    The disability carrier will not require your daughter to give back the money. They will hold you as the parent responsible for paying any overpayment regardless of the bank account in which the SSDI money was deposited. Your daughter received the money because of your disability, therefore your policy may make you responsible for the overpayment.

    Gregory Dell Feb 9, 2012  #135

  • Please Help,

    I get this question all the time and I agree with your thought process. You should send a letter to the disability company and tell them your situation. I think the argument you are making only makes sense if the disability insurance benefits your wife was receiving were tax free.

    Gregory Dell Feb 9, 2012  #134

  • Concerned,

    Please see our FAQ on this exact issue at: Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability?

    Gregory Dell Feb 9, 2012  #133

  • I do understand that the majority of LTD insurance companies have policies in place that require any amount given as an overpayment for social security disability benefits payable to a child as result of the parent’s disability be given back to the insurance company. My question asks that if my daughter who is no longer a minor and I have no financial control over be required to give back the money that was deposited into her bank account. What if she refused? How could I be held legally responsible for this?

    Concerned Feb 8, 2012  #132

  • Bill,

    It can be if your policy specifically addresses 401k benefits. You should ask your carrier for clarification in writing.

    Gregory Dell Feb 7, 2012  #131

  • Chris,

    The SSDI payment will be subtracted from the LTD monthly benefit amount.

    Gregory Dell Feb 6, 2012  #130

  • Say you get $2150.00 for LTD and Social Security Disability awards you $1700. Don’t you still get the 60% from your LTD insurance company? My wife has been disabled from 2001 and she gets 60% of her salary from LTD and $900 from Social Security Disability.

    Chris Feb 5, 2012  #129

  • Can 401 money be an offset if you are disabled and “eligible” to receive your 401 money?

    Bill Hopper Feb 4, 2012  #128

  • Kelly,

    There is no relationship between unemployment and long term disability benefits. Most people receiving unemployment are not eligible for disability insurance benefits.

    Gregory Dell Feb 4, 2012  #127

  • John,

    Please see the following Frequently Asked Question regarding the SSDI issue for minors at Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability?.

    Gregory Dell Feb 4, 2012  #126

  • My wife was just approved for SSDI and has received her lump retroactive payment. Her long term disability company says that that money belongs to them but we have been told that we have to pay taxes on that money. Is this true? Shouldn’t we pay the taxes out of the money and then give them the remainder? No one seems to be able to answer this question for us. Thank you.

    Please help Feb 3, 2012  #125

  • My long term disability company required that I apply for SSDI and give them any settlement I received. I understand this and complied. However now they are trying to get benefits that my daughter would have received for the time I was on disability and she was a minor. She is now over 18 and is set to receive $5K. Can they legally require that she return that money?

    Concerned Feb 3, 2012  #124

  • My long term disability just ended. I was wondering if long term disability pays into unemployment since I have to pay social security, medicare and taxes on my disability benefits.

    Kelly Gordon Feb 3, 2012  #123

  • OK, from the posts these insurance companies are a royal pain. In our case it is the Hartford, total jerks. We ended up sending them the overpayment after being approved for social security disability. After about 10 months we received a rather large amount because we were not paid the correct amount. Now they are saying the amount our minor daughters receive can be used for offset. Is this correct?

    John Feb 2, 2012  #122

  • Susan,

    That is a bizarre story. Which company was dumb enough to do this to you? If your policy entitles them to an SSDI overpayment, then you need to send the money.

    Gregory Dell Feb 2, 2012  #121

  • I received 5 months initial settlement on SSDI – I promptly contacted the insurer and told them. They advised me of the amount I would need to reimburse them. I sent the check and it was returned to me 6 weeks later asking me for the Claim Number. I was finally contacted about 3 months later asking where the money was – I told them it was returned to me. I then wrote the claim number on the check and their letter and sent it back to them. They sent the check and their letter back to me with no explanation. Now about 6 months since this started they are calling me for the money again and threatening to stop sending my monthly benefit. Am I required to send the money to them, since I have already sent them the money twice and they don’t cash the check?

    Susan Feb 1, 2012  #120

  • Barbara,

    You need to check the language in your policy. The SSDI funds will likely need to be paid back to the company. The proceeds of an auto accident related to lost wages only may be an offset.

    Gregory Dell Jan 30, 2012  #119

  • Dear Lost,

    I believe my employer paid the premiums. I have to pay taxes on it and these other concerns are paramount. I know they can get my SSDI check and then offset that future payment. I can live with that because my income would not change. I can’t survive a hit to my puny 401 A.

    Bill Jan 29, 2012  #118

  • Lost,

    You are only required to pay back disability funds if your disability insurance policy gives the disability carrier the right to request a repayment. The right to a repayment of disability benefits must be contained in the language of your disability policy.

    Gregory Dell Jan 29, 2012  #117

  • Bill,

    If you get paid SSDI during the a period of time that is the same when you were paid Disability Insurance Benefits then the disability company may seek an overpayment. They can only seek an SSDI overpayment if your disability policy gives them the right to do so.

    Gregory Dell Jan 29, 2012  #116

  • Why do you have to pay your Ltd. insurance company back any money when you paid for the service or benefits out of your paychecks while working? This is money you deserved. Why should they be allowed to get any money that you get from SSDI? Why should the disabled person be out any money?

    Lost Jan 28, 2012  #115

  • I have been on long term disability for a year through my employer. I tried for a year to get back to work but failed. I was just approved for disability retirement (Dr. states totally and permanently disabled ) through the benefits office. They back dated my retirement date to one year ago when I started long term disability income. I have a 401-A. Can the long term disability company pull the plug on my income AND claim? I owe them all of last year’s income back because my retirement date was backdated to the point my long term disability benefits started. I’m 51 and in terror since I don’t have much in my 401. Their lawyers are trying, but have not yet gotten me approved for SSI so they can get that backpay but I’m thinking this may be lose-lose for me. Your thoughts?

    Bill Jan 28, 2012  #114

  • My LTD made a point to state they approved my claim for my back problems and not my depression. SSDI was approved mainly due to my depression. Is my LTD company still entitled to the SSDI back pay?

    Also, I have a pending lawsuit against a driver in an auto accident who hit me while I was recovering from back and neck surgery and made it bad again. This will mostly be pain and suffering and not lost income as I had already been laid off from work for taking medical leave. Is the LTD company entitled to anything I might get from this lawsuit?

    Barbara Braman Jan 27, 2012  #113

  • D.P.,

    If your son received SSDI benefits due to his own disability, and not yours, then the disability carrier could not take an offset.

    Gregory Dell Jan 24, 2012  #112

  • My LTD carrier has an offset clause for dependent benefits and I’m OK with that. If my SSDI claim is approved they will reduce my benefits by the SSDI amount received for me and my children. My son’s Dr. recently advised me to apply for SSI for him as his migraines are severe enough to keep him out of school, activities, etc. So my question is, if he is approved for SSI for his own condition and his benefit amount is more than the dependent benefit, can my LTD carrier offset this amount? Or, since his will be an individual application aside from my own will it be exempt from the offset? Thank you.

    D.P. Jan 21, 2012  #111

  • Pam,

    Great question. When I have my clients complete these General Authorizations, I usually have them cross out request for records relating to credit, financial, tax returns, etc. I tell the disability carrier that if there is a specific non-medical record they are looking for, then they should specifically ask us for it in writing.

    Gregory Dell Jan 18, 2012  #110

  • I have been on disability for 18 years with RA. I receive SSD and LTD through my former employer. My employer has had various insurers through the years. Our new insurer, Prudential, sent a letter requesting beneficiaries sign authorization form for all medical records, labs, hospitals, X-Rays, health care professionals, pharmacy, health plan and health care provider who have provided treatment, payment or services to me or on my behalf to disclose my entire medical history concerning me. They want to know if I smoke, drink or take drugs. They want it all but psychotherapy notes. OK, I can do that. No problem. Prudential also wants authorization to contact the social security administration or other persons or institutions to provide any info, data or records regarding social security administration, credit, financial, earnings, activities. If I don’t sign this authorization Prudential may not be able to process any payments to me. My policy states I must release medical records. There is no mention in my policy to release any thing else! I don’t think I should sign a form for my insurer to look at my credit report, bank statement and whatever other financial records they say they “need” for me to receive benefits. What do you think about the financial stuff?

    Pam Jan 17, 2012  #109

  • Donald,

    We cannot answer your question without reviewing your policy.

    Gregory Dell Jan 17, 2012  #108

  • I have long term care with MetLife and have never filed a claim, but I have total kidney failure and am getting SSDI $1579.00 a month and VA 100% $2800.00 and not working – sick everyday. Should I continue with MetLife or stop it and should I request a claim for kidney failure? I know they will offset the SSDI, but what about VA, I need additional income because of this disease?

    Donald Jan 15, 2012  #107

  • Frustrated,

    If you contact UNUM and attempt to work out a payment plan, you can probably do better than the proposal you suggested. Good Luck!

    Gregory Dell Jan 10, 2012  #106

  • Chante’,

    The $6,000 SSDI attorney fee you paid will be deducted from any amount you owed to MetLife. It seems that your SSDI amount will wipe out any payment from MetLife. MetLife will seek an overpayment for any funds that were paid to you by SSDI. You are required to pay MetLife back if your policy contains offset language.

    Gregory Dell Jan 10, 2012  #105

  • First I like to say that UNUM is the worse insurance company, EVER! They treat you horribly. I don’t know how their employees sleep at night. I have been receiving LTD since Aug. 2010 and was approved for social security disability Oct. 2011. UNUM lowered my payments from $1,200 to $134 and recently informed me I will no longer receive any money from them. I informed UNUM that I was approved and they immediately asked for repayment. I recently paid medical bills and payments towards my living expenses in order to bring myself up to date. UNUM has been calling me demanding I pay $17,800 which I only have $5,000 left from my retro from social security disability. My question is, can they send me to collections if I send a lump sum of $5,000 and then make monthly payments of $100?

    Frustrated Jan 6, 2012  #104

  • I have been receiving LTD benefits from MetLife since Feb. of 2009. I was just recently approved for SSDI benefits. I was previously told I would have an overpayment amount to pay to them when/if I was ever approved for SSDI after appealing up to the ALJ level, which I was told is a “requirement” after 24 months of LTD. However when SSDI gave me my benefits amounts, I was told I would tentatively receive a gross amount of $1,450 monthly. And after Medicare reduction of $115, I would now net $1,335 monthly. But from MetLife I have received an amount of $1,317.42. In this case where both my net and gross exceed the amount I’ve been getting from LTD, would I actually owe MetLife back pay? As well, I obtained Binder&Binder for my ALJ appeal. Their fee is 6K, will that also be taken into consideration? Finally, MetLife has not been my employer’s insurance/disability since Jan. of 2009, but because I was out the entire year of 2008 and returned for only 5 days in 2009, I fell under the MetLife umbrella before the insurance transition was complete. Would that be another reason to {not} have to pay into back payment? Any help would be greatly appreciated, as Everyone within MetLife talks in circles.

    Chante' Jan 5, 2012  #103

  • Clay,

    Technically MetLife is entitled to claim an overpayment for the same months that they agreed you were disabled. Since they have stopped paying you, I am not sure they will take any action to come after you for the overpayment money. I am assuming you appealed your disability denial? You may be entitled to additional long term disability benefits, which could offset any amount you owe to MetLife.

    Gregory Dell Jan 4, 2012  #102

  • I had to leave Verizon Wireless do to seizures & anxiety. VZW used MetLife for the company’s LTD insurance. MetLife approved LTD for 2 years from 11/09/09 to 11/09/11. MetLife ended my LTD benefits early on 2/1/11 claiming that I had no issues and could return to work. A specific example, they claimed that I could drive to which all my medical doctors had said no, due to the seizures. An issue that fell under the scope of the policy and was used in my SSDI hearing.

    MetLife had a requirement that I file for SSDI and I did using their approved law firm Allsup. I was just awarded SSDI benefits and MetLife is now claiming they should be reimbursed for 11/09/09 to 2/01/11 benefits. Is this correct, since I believe MetLife refused benefits to me, the policyholder with a legitimate claim, and acted in bad faith?

    Clay Jan 3, 2012  #101

  • Mary,

    If approved for SSDI he may need to give money to AT&T. You need to read his policy.

    Gregory Dell Jan 2, 2012  #100

  • Tony,

    As you can see from the extensive comments above, the answer is unfortunately yes.

    Gregory Dell Dec 31, 2011  #99

  • OMG, I am so confused! My husband works for AT&T and was on STD for one year after a car accident and is now been approved for LTD and AT&T has a company that is filing for SSD for my husband. His accident was in Jan. 2010 so he is eligible for SSD since July 2010.

    If approved, does he get backpay or is that gonna have to be paid to someone for offsetting his STD and LTD?

    mary Dec 30, 2011  #98

  • I have the same problem as most: paying back the LTD insurance, MetLife. Can they actually garnish my only income, SSDI, if, for any reason, I did not, or could not, repay them?

    Tony Dec 28, 2011  #97

  • Perko,

    Some Prudential policies have language that includes any retirement benefits as an offset. You need to check your policy.

    Gregory Dell Dec 21, 2011  #96

  • I received LTD from Prudential and I filed for my social security retirement in Texas and was awarded it at the amount of 2034 dollars. So when I filed for SSDI from the state, I was awarded it and it made my check go up 500 dollars. Prudential cut my LTD check off because it says my social security check is an offset. What I am saying is, why do they include my retirement instead of the 500 dollars disability extra a month that I was awarded?

    perko Dec 21, 2011  #95

  • Betty,

    The answer depends on what your Aetna disability policy says. Some policies do not offset for COLA increase from SSDI. Check the language of your policy. If the policy includes COLA increases, then your analysis is correct.

    Gregory Dell Dec 19, 2011  #94

  • Hello,

    I’ve been receiving Social Security Disability and LTD from my company and Aetna deducts the amount I receive from SSD from my LTD check. Now, I got a letter from SSD saying that I will get 3.6% increase in pay. Can Aetna deduct the increase (COLA) that I will get from SSD from their checks? If so, it means that I will have to live with whatever the amount they set up for me for years until the SSD catches up with their payment and then Aetna doesn’t need to pay me anything? Please let me know, it seems unfair that when I get a COLA, Aetna deducts the amount from their checks, which will end up with nothing to pay to me. Thanks.

    Betty Smith Lee Dec 18, 2011  #93

  • JP,

    Unfortunately, you will not be exempt from an overpayment.

    Gregory Dell Dec 16, 2011  #92

  • My question is: I was billed bi-monthly by employer and had to pay for my LTD & other insurance after-tax (out of pocket) after the accident in order to keep my insurance in effect. Does that make it exempt from Hartford being able to claim overpayment if I get approved for SSDI?

    We have the right to recover from You any amount that We determine to be an overpayment. You have the obligation to refund to Us any such amount. Our rights and Your obligations in this regard may also be set forth in the reimbursement agreement You will be required to sign when You become eligible for benefits under The Policy.

    If benefits are overpaid on any claim, You must reimburse Us within 30 days.

    a) the United States Social Security Act or alternative plan offered by a state or municipal government;
    (Other Income Benefits will not include the portion, if any, of such retirement benefit that was funded by Your after-tax contributions.); or

    5) retirement benefits under:
    a) the United States Social Security Act or alternative plan offered by a state or municipal government;

    JP Dec 15, 2011  #91

  • JP,

    You need to send a request to your employer requesting a copy of your LTD plan documents. If the policy states that Hartford has a right to reimbursement for SSDI, then you will need to pay back any SSDI funds you receive for the period that coincides with LTD payments. If you don’t sign the paper, Hartford may start to offset your monthly benefit check.

    Gregory Dell Dec 15, 2011  #90

  • Smalin,

    If your daughter is no longer collecting from SSDI as a result of your SSDI, then MetLife may not be entitled to the offset for her any longer. They will offset the SSDI from his policy if your daughter is receiving payment as a result of his SSDI approval.

    Gregory Dell Dec 15, 2011  #89

  • Dar,

    You will likely get more money if you are approved for SSDI rather than SSI. Either way, the disability company will offset your monthly check. You should try to get the SSDI first.

    Gregory Dell Dec 15, 2011  #88

  • I was injured at home in Jan. 2011 and went onto STD, then LTD with the Hartford in April. I tried to return to work by aid of wheelchair and walker but was told, several times, I could not return to work until I could walk without assistance. I was allowed to work from home up to 18 hours a week, until I was terminated in Aug. 2011, due to longevity of injury. The part-time income did not affect the LTD.

    Today I got a call from the Hartford asking if I had applied for SSDI (yes), said she was sending a form for me to sign, stating I would pay them back all I had received since July 2011 once I get the SSDI. I do not have a copy of the LTD insurance policy, since employer kept the handbook that had all this info in it.

    Do I need to sign this paper and return, do I have to pay them back $2400 a month, retroactive to July 2011, once I am awarded SSDI? I have filed with the EEOC, handicap discrimination, but have not heard back about a hearing date yet. I am so lost here. Please give me some general advice about Georgia law on this.

    JP Dec 15, 2011  #87

  • Hello!

    I’ve been collecting LTD through SSDI and MetLife for 14 years. My husband recently became disabled as well and now our daughter collects on his work record. I do not believe that dollar amount should now count as a MetLife deductible for me, since it is considered from him.

    I have also gotten an increase in my SSDI due to his record. Would this money be counted as deductible income by MetLife? I am well over the 70% guaranteed income with this added income.

    Not sure if I should contact them or let it be.

    Smalin Dec 14, 2011  #86

  • I am getting LTD. They made me apply for SSDI. While waiting for approval, can I apply for social security retirement? I am 62 years old. I understand there may be a long wait for SSDI. If I get the SS retirement, I know when SSDI comes through, I will get the SSDI only. What I would like to know is, if I get SS retirement, will LTD still pay me also, until I get SSDI? I am worried that I cannot get the amount from the LTD carrier, also.

    Dar Dec 14, 2011  #85

  • Margaret,

    If this is an ERISA governed disability claim then there is no right to bring a bad faith claim. You should file a claim with the department of insurance in the state where the claimant resides.

    Gregory Dell Dec 13, 2011  #84

  • Can my client sue for a bad faith claim against her LTD carrier?

    The carrier claims they are owed over $60,000 in payments and have estimated her SSDI award even though I have sent communication requesting an appeal of the overpayment decision and am awaiting the award letter from SSA stating her award was $18,000. Further, my client selected to receive her LTD benefits with no reduction at a time when she was on pain medication and practically forced to select that option by the LTD representative.

    Is there any merit to a coercion defense/claim when filing the appeal?

    Margaret Dec 12, 2011  #83

  • Nate,

    In the world of disability insurance claims, there is no such thing as a verbal contract. You should speak to a supervisor at your disability carrier and get everything in writing.

    Gregory Dell Nov 28, 2011  #82

  • B,

    If SSDI is paying child dependent benefits as a result of YOUR disability and not your husband’s, then the disability carrier should not be entitled to an offset for the child benefits that you receive.

    Gregory Dell Nov 28, 2011  #81

  • My long term disability insurance company called and said I get all my social security settlement money and I do not owe them back pay. He said he calculated it and they were 100% sure I’ll get it. I asked multiple times if he was right and he said yes, then a day later he calls and says I owe him the back pay. Is that money mine through a verbal contract?

    Nate Nov 28, 2011  #80

  • My husband just started receiving SSDI; therefore I have applied for SSDI for myself and our daughter. He also gets LTD benefits so LTD will be taking back part of what they paid and they will decrease what they pay accordingly. I signed my daughter’s SSDI application obligating myself to do as the federal government outlined (if I don’t, it’s felony). One of the bullet points said that I MUST use child’s benefits for needs of the child or put it away for the child. If they find out it’s not used appropriately they will immediately stop paying.

    Doesn’t this statement from SSDI prevent LTD from taking her benefit away?

    B. Johnson Nov 24, 2011  #79

  • Dennis,

    Prudential will give you a credit for the social security disability attorney fees that you will need to pay. Your SSDI attorney fees will not exceed $6,000. So if you are awarded $20,000 from SSDI and then the attorney fee is $6,000, Prudential would only be entitled to $14,000.

    Gregory Dell Nov 18, 2011  #78

  • I am receiving LTD from Prudential. They require that I apply for SSDI and want to apply any retroactive award as an offset to benefits they pay me. Question is, that if I have an attorney assist, I will owe them about 25% from the award as fees. Will Prudential want 100% of the retroactive award, or will it be 100% less the attorney fees?

    Many thanks.

    Dennis Nov 17, 2011  #77

  • Darlene,

    You can negotiate a payment plan with UNUM to discuss repayment of any money owed. You should look at your policy closely as UNUM may not be entitled to an overpayment for your retirement money.

    Gregory Dell Nov 10, 2011  #76

  • I am receiving LTD from Unum, this month is the fourth month for LTD. Unum sent me a letter stating I am getting retirement money, so I owe them 1,700 dollars. Unum has suggested I sign up for SSDI; so I signed the option A or B form, stating that I will pay Unum any overpayment that I get from SSDI. In the letter they sent me they included the form about giving them any overpayment after I get SSDI. I did not get any overpayment from my retirement fund, so can I repay when I get my SSDI award?

    Darlene Mason Nov 9, 2011  #75

  • A friend of mine is on Social Security Disability and she is thinking of filling a lawsuit for personal injury due to an accident. Would her SSD income be effected if she gets a settlement, and does she has to report that settlement by law? Thanks.

    Malis Nov 9, 2011  #74

  • Broke,

    If you are asked about information and lie to an insurance company then you could be subject to insurance fraud criminal charges.

    Gregory Dell Nov 8, 2011  #73

  • What happens if you do not report lump payments to Ltd. Co.? Will they find out?

    Broke Nov 7, 2011  #72

  • Lennie,

    MetLife cannot force you to apply, but they can deduct an estimated amount each month that you would receive from SSDI. I have seen them do this many times.

    Gregory Dell Oct 27, 2011  #71

  • I understand overpayment, deductible source of income etc., but my question is this: can the LTD company basically force us to apply for SSA benefits? We are philosophically opposed to having the government pay for something that private insurance is contracted to cover. Its MetLife and the representative ALLSUP. The constant contact and pressure to get off MetLife and over to SSA disability benefits is driving me crazy but I don’t want to lose the LTD coverage either.

    Lennie Nicholson Oct 24, 2011  #70

  • D. Flanagan,

    The government is aware and they have taken no action. There is no refund of premium available in your situation.

    Gregory Dell Oct 18, 2011  #69

  • I am like all the rest – paid my social security for my whole life and bought short term and long-term disability insurance. I became ill from the trigger of the stupid “canned” air everyone in offices love and despite my request that the person across the way and to his supervisor that it not be used. I now have 33-40% reduction in lung function and am permanently disabled. Guardian Disability is a company from whom group disability coverage is provided. They are wanting the entire social security payment $18,000. However, I was never provided with a copy of the contract until recently. The full terms and conditions of the policy were not provided to me. Additionally they will received the benefit of my years of having paid to SSA to the tune of their reduction in their obligation by over 55%. Since the premium was based on income – shouldn’t I have benefit of the reduced premium and return to me of the 55%? Is there a cap over which they cannot take it all? With the government struggling – does the public know this?

    D. Flanagan Oct 17, 2011  #68

  • Emily,

    Your disability policy should contain specific language explaining what Hartford can or cannot consider as a set-off. Unfortunately, almost all group disability insurance policies contain language which allows them to offset your disability check with payments your receive from social security disability or other potential sources. You may want to ask Hartford for a payment plan if they are entitled to the money.

    Gregory Dell Oct 10, 2011  #67

  • I was awarded a back-pay and Hartford has waited four months and sent a letter wanting back pay. I want to know how these insurance companies can keep getting away with this? They can garnish my disability check? If so, why did I pay out of my check every month? Should it not be unlawful for them to do this? I need help, I can’t afford to pay them back. I have already paid bills, can I not fight this?

    Emily Oct 8, 2011  #66

  • Rochell,

    MetLife has the option to allow you to enter into a payment plan. You need to ask MetLife.

    Gregory Dell Oct 7, 2011  #65

  • I have been on long term with MetLife since Oct. ’07. More – I am expecting a lump sum payment from workers’ compensation. Do I have to pay it all to MetLife at one time or make payment arrangements?

    Rochell Oct 7, 2011  #64

  • Faye,

    If you received SSDI benefits for the same time period that UNUM paid you, then you would technically be required to pay UNUM back a portion of your SSDI award.

    Gregory Dell Oct 6, 2011  #63

  • I became ill in late November 2008, and went on LTD in May of 2009. Unum, my LTD carrier, ended my coverage this May 2011. I am appealing their decisions, but want to know if I am awarded SSDI will I need to repay Unum because they terminated my LTD?

    Faye with bad heart Oct 5, 2011  #62

  • Marie,

    The answer to your question depends on the setoff language in your policy. If your policy states any SSDI benefits you or your dependents receive, then Lincoln Financial may be correct. It is unfair. If your daughter is not claimed as your dependent then the carrier may not be entitled to the offset. You should submit an appeal in a timely manner in order to preserve your legal rights to sue them.

    Gregory Dell Sep 30, 2011  #61

  • Stupid,

    If you have not been awarded SSDI, then it would be unusual for a judge to enforce an offset. Some policies allow the disability carrier to estimate the SSDI award and offset in advance. If you are in litigation already then a settlement usually involves a buyout of your policy. Please call us if you would like to discuss your claim.

    Gregory Dell Sep 30, 2011  #60

  • Gregory,

    I am also dealing with Lincoln Financial like Kristina above. They are demanding I pay back money to them that I never received. My social security did not activate until my child was an adult. Lincoln claimed I was eligable for dependent pay, so I conctacted the Social Security department. They told me I was not eligable because she was 18, but that she could get the money. So she went in and applied and was paid back pay for the time of my disablility until she turned 18. Not a penny came to me and she doesn’t even live with me. Lincoln has played the delay game now as the “review” my “very unique” circumstance and after almost two months told me that the language of the policy states I must repay this money that I never received nor have any access to! They encouraged me to “appeal” it, a common delay, deny, hope they die tactic. They claim there is Michigan case law for this, so before I start incurring further attorney fees, is this true? Is there some law that says you have to pay back money that was never paid to you?


    Marie Sep 29, 2011  #59

  • I have a group STD and LTD plan with Unum. I was awarded STD, they started paying and stoped 4 weeks short. I was then approved on the LTD (STD never finished paying). 45 days into LTD they stoped paying. I have been turned down twice for SSD and I am currently waiting on the appeal. I am also waiting on a court date for a case against Unum (both STD and LTD). They have called after 18 months, now wanting to know if I will settle the case out of court. I was thinking I might. Listening to numbers, I hear that if I go to court the judge will only reinstate (and figure back payments) on the off set amount (a shortened payment by my entitled SSDI), which i have not been approved for. Is this right? Or is this a trick to get me to settle for less? The amounts STD and LTD were paying were not offset amounts. How can this change just because they want to? I understand paying back the lump sum if and when it happens but before? Would a judge do this? And I am told if SSD does go broke in 5 years the LTD will still only have to pay the offset amount (never having to make up what SSD can’t pay). Am I being lied to by more than Unum here?

    Stupid Sep 29, 2011  #58

  • Hard Worker,

    The language of your disability insurance policy defines what types of income are setoffs. In most group disability insurance policies, any type of social security income is considered an offset. If your policy does not have such language, then the disability company is wrong to deduct your social security disability retirement benefits.

    Gregory Dell Sep 27, 2011  #57

  • I got very sick and began receiving short term disability in 2009. I then was approved for long term diability in 2010. In 2011, when I was 70, I applied for and began receiving my social security retirement income, which was retroactive 6 months. I needed this money to assist me due to the reduction in income. I notified the disability insurance company, who now says I owe them several thousands of dollars because social security retirement is a deductible source of income. How can one’s social security retirement income be an offset when it is my money, no one contributed to it but me, and it is based on the income I earned over the years? If I had not gotten sick and was still working, I would still be entitled to it while collecting a paycheck; the employer would not offset. I waited until I was 70 to collect because of the enhanced benefit option the the SSA offers if you wait. Please help me understand.

    Hard Worker Sep 27, 2011  #56

  • PG,

    If you were awarded SSDI for a period of time that cover the same time period you received MetLife coverage, then MetLife may seek an overpayment. If you are no longer dealing with MetLife, then it is unlikely they will ever know that you received the 30k from SSDI. If MetLife seeks a repayment, they may have the right to sue you in order to seek repayment.

    Gregory Dell Sep 20, 2011  #55

  • Kelley,

    I don’t know what state you are in, but it does seem that the statute of limitation has run and they should be prohibited from collecting anything from you. You should demand that they prove what you owe them for. I doubt they will sue you to make a recovery. You should contact a collection attorney to see if they are violating any of your rights by seeking collection 8 years later.

    Gregory Dell Sep 20, 2011  #54

  • Laura,

    The issue with the overpayment is a civil matter which could not result in an arrest. He can be sued and he could be responsible for attorney fees in addition to the back SSDI benefits. This all makes the assumption that his disability gives them the write to seek an overpayment.

    Gregory Dell Sep 19, 2011  #53

  • My husband had a loss of license insurance policy, had an injury and lost his license. After having paid premiums for seven years, the loss of license insurance co. refused to pay benefits to cover our expenses until he signed a paper stating he would file for Social Security Disability. He did get the disability after two years and now the loss of license insurance wants his back payments. Can Social Security or Veterans benefits be guaransheed if he is sued and loses? I have read these benefits can only be taken by student loans and government issues. What can happen to him if he refuses to give the back payments to this company? Could he be arrested?

    Laura Sep 16, 2011  #52

  • I recieved LTD in 2008-2009, maybe about 12 months – not sure, but I haver suffered many years of no income at all. I’m still disabled but out of fear of losing my chance at getting any money at all I went with the judgement under the premise that I can go back within six months to refile for SSDI since I agreed to a closed disability time frame. So I was awarded around $30K and now I fear that MetLife is going to state that I have to pay them back everything. What happens if I don’t pay them back? I have been working on getting my debt cleared and pay back some school loans and think that I’m going to file backruptcy. I’m not sure what to do or who I can go to for help.

    PG Sep 14, 2011  #51

  • I was on LTD back in 1999-2003, at which time they discontinued my coverage. I received my SSDI around the same time so I wasn’t too concerned about continuing my coverage with them, they were always trying to cancel my for one thing or another and my doctors were getting tired of filling out their paperwork every month. Well, June 2011 I am contacted by a collection agency and am told that I owe a large amount of money to my LTD company. I was never informed via mail, phone or person of this debt until 8 years later, I moved out of state around that time. I am still disabled and there is no way for me to pay this back. I am scared to death and having a lot trouble sleeping, my doctor has had to add anti anxiety meds. My question is can they still come after me after 8 years. I have looked up statutes of limitations in both states (the one I lived in while receiving benefits and the one I live in now) but I am unclear what kind of debt this falls under. I responded to the letter from the collection agency, they sent me a letter that does in no way prove I owe the amount they say I do. Please advise.

    Kelley Sep 12, 2011  #50

  • Rick,

    Metlife can either stop paying your benefits or they can sue you to attempt to recover the $33,000. Whether or not a lawsuit would be successful depends on numerous factors sucha s the language in your MetLife disability policy and the law that will apply to your claim.

    Gregory Dell Sep 5, 2011  #49

  • Mr. Gregory Dell,

    I understand that Insurance companies have lobbiest at D.C. and are the reason they have group policies that setoff overpayments of SSDI income but it should actually be treated like any other federal income (VA, Retirement etc.). But – like most messages on this blog – why should they benefit from government funds that most Americans earned for contributing to social security? If we paid premiums to STD/LTD insurance companies what is the benefit of claiming against them since eventually they are going to get back the offset or overpayment of income received from SSA which we actually contributed to? Why has Congress not looked at this and realize that these insurance companies are actually stealing from citizens of this country and only one that benefits is the insurance companies?

    JR Sep 1, 2011  #48

  • I was on LTD through Metlife. I filed for SSI at my company’s insistence and signed an agreement that if I was awarded SSI I would pay Metlife back through their attorney representing me and a portion would go to the attorney. I was awarded the back payment, I sent the major part ($33,000) to their attorney as instructed, the attorney in turn paid Metllife. I also paid the attorney representing Metlife (me) seperately. Both checks were cased and paid out (cancelled checks). Subsequently, several weeks later my checking account reflected a credit in the exact amount of $33,000. It took a few months for them to contact me but they when they did they wanted me to “pay them back” and that it was a an error on their part. What if anything can they do to make me “pay them back”

    Rick Jamison Aug 31, 2011  #47

  • Murielle,

    If the policy states that SSDI is an offset, then MetLife may be entitled to an overpayment reimbursement. However, I am not sure that they can go back and recover 14 years. Also, there are some cases that limit an insurance companies ability to recover for an overpayment from funds that have already been paid. You can find some of these case on our website. Your Northwestern Life disability policy will govern your claim if you were disabled when the Northwestern policy was in force.

    Gregory Dell Aug 26, 2011  #46

  • I am on soc. sec. disability and Metlife is also the ltd. insurance carrier since 2001.

    Prior to Metlife, Northwestern was the ltd. insurance carrier and they did not deduct the social security cost of living every year from their benefits. They were the ltd. insurance from 1987 to 2001.

    Now Metlife is reviewing my case and claim they have overpaid me since they apparently never send in to Soc. Sec. with the release I signed to them right from the beginning.

    Do I owe them anything since for 14 years the other ltd company never adjusted my monthly benefits for cola.?

    Murielle Aug 25, 2011  #45

  • Confused,

    You have a contractual duty to tell the disability carrier about your SSDI. You do not need to be concerned about being arrested as long you don’t commit insurance fraud. You cannot lie if they ask you if you are receiving SSDI.

    Gregory Dell Aug 24, 2011  #44

  • I was approved for social security, March 2011. They paid me 5 months backpay. I didn’t tell my longterm disability that I was approved for SSD because I know I have to give them back all that reward money. I am handicapped and disabled and this money will help me a lot for my medical expenses. I did not sign the papers that the long term disability sent me so that they can get information regarding how much benefit I get from SSD. Will my longterm disability find out that I’ve been collecting SSD. I am confused and don’t know what to do. If I tell them the truth now, they might question me why I did not tell them that I’ve been collecting SSD benefit and I will end up in jail. I need help.

    Confused Aug 23, 2011  #43

  • Michael,

    You may be able to recover the money you paid to the disability carrier. You need to be careful that you don’t jeopardize your current claim with your disability company. You will have to send a letter requesting money back from MetLife if you choose to go that route.

    Gregory Dell Aug 22, 2011  #42

  • I live in Texas. I was awarded SS disability in July 2009 and it was backdated to April 2008 (12 months before I filed.) The date of onset was determined to be in July 2007.

    My LTD carrier deducted the award amount ($20,000) from my monthly benefit check until it was paid back to the LTD carrier.

    Today (8-15-2011) the SS office finished a review of my case and decided to reset the date of onset to early 2009 and says I have $19,000 overpayment. I will work a payment plan out with them.

    My question is can I recover the award monies paid to the LTD? It seems fair because I no longer have the award technically.

    I hope I worded the question correctly.

    Michael Aug 15, 2011  #41

  • Lottie,

    We would need to review the exact language of your disability policy in order to determine if Prudential is entitled to a setoff for widow social security disability benefits. In most cases the disability carrier is not entitled to a setoff for the widow benefits. You should write to Prudential and explain the situation. Additionally, you were receiving the widow benefit prior to receiving disability benefits from Prudential, which is another reason that they should not be entitled to the $7,000 they are seeking.

    Gregory Dell Aug 8, 2011  #40

  • I was receiving ltd from Prudential. I also applied for widow’s ss disability. You see, I am a widow, my husband died in 2004. I became disabled in 2010. Now my long term disability company wants me to pay back money I received from my widow’s disability that I was receiving since January of 2011. Can they do this? I thought when it’s a widow’s disability they could not do this. They are claiming I owe over $7000.00. Do you have any insight on this kind of situation. I appreciate any feedback. Thanks so much.

    Lottie Taylor Aug 8, 2011  #39

  • Kadee,

    In most group disability insurance policies if you are approved for ssdi, then the disability carrier will seek the entire ssdi disability award as a repayment. The amount sought will be to offset any disability benefits that the disability carrier has paid the claimant.

    Gregory Dell Aug 8, 2011  #38

  • I’m currently on longterm disability and MetLife has given me the run around and cut me off for months even though my medical documentation supported my disability claim and was reinstated upon appeal. I’m wondering if approved for social security for fibromyalgia if MetLife requires that I have to pay back everything over the 100% allowed of predisability earnings or if I am required to send entire monthly them amount received for each month from social security?

    Kadee Aug 7, 2011  #37

  • Disability, not much left to live for. Finally got my SSD, now I finally have a little money I could use to fix some things and pay some bills but have to turn it over to Met so OK. I was told they would pay me a certain amount when this was over and now they changed their minds, so even less money!!! Oh goodie, this means I get to move again, all these years protecting the public, proud of what I did, washed up with siezures two years ago, other medical problems that won’t go away and it’s all over, not what I planned for at 53. Food boxes, bread lines, free farmer’s markets, no one comes around and it’s not my attitude, I am just not in the loop anymore, and I am broke all the time plus the meds. I keep telling myself this will get better but alll it does it gets worse.

    Lucy Aug 6, 2011  #36

  • Floknoes,

    The answer depends on the language of your policy. Please see the following frequently asked question which may help answer your question of child social security disability benefits: Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability?

    Gregory Dell Jul 7, 2011  #35

  • Hello,

    I have been paid by my LTD company, The Standard, since I became disabled 11/2008. Social Security has just approved my claim back to 12/2008. My LTD company didn’t start paying until my STD plan ran out in 1/2009. I was contacted by the SSA today. They advised me that I have been approved and that the $45k back payment they owe me will be deposited and that I would need to transfer that over to my LTD company. That’s fine. Then they said that they are also retro paying me for my children to the sum of $23k. I asked SSA if I need to sent the $23k to my LTD company and they told me no, that the LTD company does not have a right to my children’s money, only to my money. My policy states that any “deductible income” will be considered. Then it talks about full offset, primary offset and partial dependents offset. It doesn’t tell me which one applies to me? It is very confusing! Are they entitled to the backpay for my children? Are they entitled to future benefits paid to my children? What’s your opinion? I would appreciate any information you can give me. I live in the state of Florida. Thanks!

    Floknoes Jul 5, 2011  #34

  • James, unfortunately we cannot answer your question without reviewing your policy. I have seen many disability policies that consider 401k pension to be a deductible source of income.

    Gregory Dell Jul 2, 2011  #33

  • Disabled in Texas: If the Cigna date of disability is April 2010, then Cigna would seek reimbursement for any SSDI benefits paid back to that date. Cigna may require you to appeal the SSDI denial, but you are correct that is does nothing but benefit Cigna. A back date of SSDI may help your husband get medicare sooner. I am not an SSDI attorney so I don’t know about medicare approval. If your husband is still unable to work, them Cigna and SSDI should continue to pay. If you need assistance please contact us.

    Gregory Dell Jul 2, 2011  #32

  • I have received ERISA Short Term Disability that has now ended; my LTD claim is now on hold for review. I have since requested and received a total withdrawn of my 401k pension, I still have the check. Will the insurance company be entitled to my pension for pass STD received or future LTD if my claim is rewarded?

    James Jul 2, 2011  #31

  • My husband had a serious wreck in April 2010. Has LTD through his employer through CIGNA. His employer hired a company to help him get on SS Disability. Within the last week husband was approved Medically with a onset date of the accident, but non-medically approved him a year from the date of accident, April 2011. After reading all the information above now I wonder if we should appeal his case or accept the approval of benefits with the effective date of April 2011? That way we shouldn’t have to pay back CIGNA anything, correct? My assumption is that CIGNA would stop the LTD effective October 2011, correct? We live in the state of Texas and from what I understand SSDI benefits will not begin till October 2011, 5 months after the approval date of the onset of SSDI benefits. I would love to hear your thoughts and suggestions! Thanks!!

    Disabled in Texas Jul 1, 2011  #30

  • Thomas, the answer to your question depends on the language in your long term disability policy. If you have a group disability policy provided by your employer, then your disability policy probably does not allow you to receive ssdi and Long term disability at the same time. You want to look at the deductible sources of income section of your policy.

    Gregory Dell Jun 30, 2011  #29

  • I was hurt and started to get short term disability from an insurance policy from my job, now thay started me on long term disability. Can I get my social security and the long term at the same time?

    Thomas Glandon Jun 29, 2011  #28

  • Bonnie, your question does not have a concrete answer. Please see Can a disability insurance company claim an overpayment for social security disability benefits payable to a child as result of the parent’s disability? for more information that may be helpful.

    Gregory Dell Jun 16, 2011  #27

  • I was approved for Social Security Disability and as expected MetLife is asking for an overpayment of funds they paid me on my LTD I had through my employer. My question is can MetLife ask for my children’s retroactive payments that were sent to me by social security? I have asked this question two times to Metlife and cannot get a straight answer from them. To date I have only been asked for MY retroactive payments not the kids’ but I am afraid to use the money to help with college bills for the kids only to have MetLife come back and ask for it.

    Bonnie Kennedy Jun 14, 2011  #26

  • Kristina, I am aware that some disability carriers will claim an offset even though the claimant has not received the funds. The problem is that some policies contain language that allow the disability company to estimate the amount of a setoff. If you write a letter and tell Lincoln Financial that you have not received any funds beyond those that you have sent them, then they should resume paying the full benefits.

    Gregory Dell Jun 2, 2011  #25

  • Gregory,

    My husband has been receiving Long Term Disability pay from Lincoln Financial since March of 2007 in the amount of $2016.00 a month. In December of 2010 he was awarded Social Security in the amount of $1138.00 a month a we received back pay of approx. $6000.00. Knowing that the backpay would go to Lincoln, I have held this money aside for their payment.

    When he was awarded Social Security, we contacted Lincoln and they reduced thier payment to offset the amount he is receiving. At that time, he also asked for the amount we owed them so we could quickly get it resolved (I hate owing money!). He faxed over the award letter with the backpay amount we received to help them calculate what was owed.

    Finally 6 months later he has received a letter from Lincoln demanding payment of $39,000.000 in the next 30 days. This to me seems obviously wrong but when he called to let them know they told him that he was eligible for dependant pay of $550.00 a month (that we are not receiving) and they are asking to be payed back to March of 2009.

    Is it even possible that we owe them money we never received from Social Security? Please take a look at this scenario and tell me what I’m missing.

    Kristina Snyder Jun 1, 2011  #24

  • John, the disability carrier could deny your claim for failure to provide medical records. VA and SSDI can be more difficult to obtain in some states, but approval of these two government benefits is not binding on your disability company. You should watch our video on monthly claim handling to learn about the advantages of having an attorney assist you with your claim.

    Gregory Dell May 30, 2011  #23

  • Greg, I have a private, own occupation, non-erisa policy until 65 (40 now) that pays over $5000.00 a month and am receiving benefits for PTSD, anxiety, and depression (Iraq war veteran). I also receive 100% permanent and total disability from the VA and SSDI for the same conditions. From time to time, I get harrassed by insurer for psychotherapy notes (we refuse to provide them) and more independent medical exams. I have two questions:

    First, is it likely that they will attempt to terminate my benefits now that I am receiving VA disability and SSDI? I thought those were much harder benefits to get than benefits from an own-occupation policy.

    Second, is it wise to retain an attorney to shield myself from the nonsense and intimidation of the insurance carrier?

    Please advise, thanks.

    John May 28, 2011  #22

  • Rob, most Short Term disability insurance policies don’t have setoff provisions for social security disability benefits. However, you need to review the terms of your Short Term disability policy.

    Gregory Dell May 24, 2011  #21

  • Due to Aids/bipolar 1 disorder. suicide attempts, chronic diarrhea, frequent Migraines, as well as frequent nausea and Seritonin Syndrome, I was advised by both of my doctors to apply for SSDI since I was not able to work and they both felt I was not going to return to work. I recently received my approval for SSDI, which I will only bet back pay after a since month period due to there rules, Through Gentiva Home Health I received Short term disability through December then I was approve for LTD. I called them and my Doctors office sent a letter from the approval letter of the SSDI, then I also called met life and spoke to a “representative”, since they will not let you talk to the case manager, God forbid one of them is disterb, I was told that I would have the long term disability deducted from my SSDI benefit, which will leave me $50 dollars a month to live on, so I have to canceled Cobra, $480.00 a month and I will be able to pay me mortgage payment, not to mention food, utilities, etc. I think this a poor benefit just putting off the enevital forclosure and not insurance and living on the street, hopefully I can find a tree here in AZ since it gets over 100 degrees in the summer. So I also want to know if they take your STD payments back as well, there is no mention of this in the employee handbook, all it says is that we have a ST benefit and a LT benefit, pretty sneeky I think. Any information would be helpful and soon before my electricity is turned off. Thanks, Rob.

    Robert May 22, 2011  #20

  • Brian, the situation you have described is unfortunately normal.

    Gregory Dell May 10, 2011  #19

  • I have a situation where the group carrier not only claimed an overpayment for the SSDI received by my client, but also claimed as part of that overpayment the amount of the SSDI child benefit received by his minor daughter. Is this usually considered normal offset provision as well?

    Brian Loreti May 9, 2011  #18

  • Douglas, your question is challenging. Hartford’s contract may give them the right to seek the funds, but their are some cases around the country that suggest that a disability carrier may not be entitled to receive the funds that have been overpaid. I have discussed some cases on this site so you should do a search with the terms overpayment and also SSDI overpayment. You may not need to pay any money back to Hartford in your situation. Since I am not your attorney I can not give you any legal advice at this time. You may want to contact us if you are approved for SSDI and Hartford seeks an overpayment.

    Gregory Dell May 6, 2011  #17

  • I started receiving long term disability payments for bi-polar disorder in February, 2009. They continued on until February, 2011 and then stopped because The Hartford only pays mental health disability for 24 months. They had me file for SSDI with a law firm they recommended. Even though I am no longer getting LTD payments, the law firm is still representing me to try and get me on SSDI. I asked them if I would still have to pay The Hartford back and they said yes. This doesn’t seem right to me since The Hartford is no longer paying me LTD payments. Is it legal for them to demand I pay them back even though they aren’t paying me anymore? Keep in mind, I haven’t been approved yet for SSDI. Thanks!

    Douglas Odom May 5, 2011  #16

  • Susan, it is our understanding that SSDI benefits can only be sent to you and not your disability insurance company. I have seen situations where SSDI benefits are withheld for child support. If you are approved for SSDI you will have an overpayment and probably owe the entire award to UNUM. The government will pay up to $6,000 of attorney fees for an SSDI attorney. Unum will deduct the award of any attorney fee from any overpayment. So, if Genex gets an award of attorney fees it is not costing you anything because the $6,000 paid to Genex from your SSDI benefits would have gone to UNUM anyhow.

    Gregory Dell Apr 28, 2011  #15

  • Can the Long term disability company, in any way, get the Social Security Disability people, to send them my back payment? Or will SSDI only send the back payments to the disabled person?

    Also, I am being “assisted” by Genex… they have asked from SSDI a “representative payee information”. From what I am reading it is a request to be paid for services. I was told by UNUM that if I used Genex there was no cost. If I am not getting the rason that Genex asked for this information, what othr reason would they have to what the payee information?


    Susan Whitehurst Apr 26, 2011  #14

  • I have the same concerns as several of the blogs above. In my case Lincoln Financial is the LTD Insurance carrier. They have done countless, less than honest practices managing my benefit payments. Blatant “slow walking” or with holding of benefits, failure to disclose requirements neccessary for continued benefits, un-accessible representatives available for assistance regarding benefits and more have been the nightmare I have had to endure. The compounded stress for the last five years has seriously affected my health, well being, recovery and state of mind. I feel as though I live in terror. One example: I did not recieve my benefit payment for three months. I was not given a reason for the interruption of my funds? I kept explicit documentation of the daily calls and faxes to my representative of my attempts to resolve the matter with no success. When I was finally contacted I was apologized to and it was explained to me that she had gone out on maternity leave and forgot to set up my scheduled payments. Do you have any understanding what that does?

    It tears a person down and belittles them. The mismanagement of funds took away the position of being empowered and able to manage my own life. I didn’t know how I was going to pay my mortgage, my utilies were in jeopardy of shut off, I had no money to buy food or keep a scheduled doctors appointments, in short I could not be sure I could maintain the basic daily living standard. I had no money to even purchase perscribed medication. I spent most of my life working hard. I am a productive member of my community. I deserve to be treated fairly. When our major institutions are allowed to employ decietful practices as the ones I have experienced with Lincoln Financial it is easy to understand why we are angry. Why should we play by the rules when the rules don’t apply to everyone.

    I relate with Carla, above, they have tried several different ways to discontinue my policy. You know that if you give them back pay from SSD it will only be a short time before there is another reason to with hold benefits. I feel they should be responsible for the improper disclosure and with holding of funds which resulted in serious damage to my credit rating as I literally had no available money to keep my financial obligations current.

    I have two daughters graduating college this May 2011, one from Palomar’s R.N. Program and the other from Madera State Center Co. College and accepted to Loma Linda’s P.T. Program. My son served in the U.S. Navy and was a Navy Seal Sharp Shooter. My mother is a Lt. Colonol in the U.S. Army. I come from a strong hard working family. I don’t know how to tell anyone I will not be able to pay rent next month. I am terrified and have no idea of what I am going to do. I will be homeless, unable to maintain insurance for my vehicle or pay fees, unable to pay for medical exams neccessary to continue policy coverage. They have finally managed to back me into a corner. I have a policy that pays me until I am 65 years old, worth approximately $300,000.00 yet I face these circumstances next month.

    Linda Kelley Apr 26, 2011  #13

  • David, I have seen thousands of overpayment request, but I have never seen a company go back 15 years. My impression is that it would be unlawful for MetLife to seek an overpayment do to a mistake they made 15 years ago. I think that worse case scenario that MetLife is limited to the statute of limitations in your state or the limitations clause on all claims in your wife’s policy. The statute of limitation for claims varies in every state but is never longer than 6 years. The policy may limit all claims to three years and this could be argued to apply to your wife’s claim as well. You should ask MetLife to provide you with the legal basis they are relying upon in order to seek payments from 15 years ago. I would tell them that they are estopped from collecting an overpayment from 15 years and that the statute of limitations for them to claim a 15 year overpayment has been exhausted. Certainly if your wife had waited 15 years to make her claim for benefits, then they would have denied the claim. You have to right to file an Appeal with MetLife if they don’t agree with you the first time. I don’t have the exact answer and I have never seen this issue before. This repsonse is my opinion and should not be construed as legal advise as you are not my client. I am required to give you this disclaimer so that you do not rely on my opinions. I wish you luck.

    Gregory Dell Apr 21, 2011  #12

  • I have a general question that you may know the answer to. My wife has MS and has been on LTD since 1986 from a policy provided by her former employer (Northrop). She also receives SSI and, of course, the insurer (MetLife) reduces her disability payments each moth by the amount she receives from SSI. Yesterday we were called by MetLife saying they made a mistake in their initial calculations (15 years ago) of their monthly payments to us by $8/month, and they want us to return 15 years worth of claimed overpayments ($1,440). First, can they do this (since it was their error), and second, can they go back 15 years worth? Even the IRS allows one to go back no more than 3 years. Also, they have never applied COLA to their payments, unlike SSI. Do they have to?

    David Margolias Apr 21, 2011  #11

  • Mike, without seeing your policy it is difficult to answer your question. Generally, if income is for services provided prior to disability, then it should not be deductible. You should maintain copies of all documentation clarifying the time period for which the payments covers.

    Gregory Dell Apr 13, 2011  #10

  • Help. I went on Long term disability because of Kidney failure in 2005. I stopped working and started receiving benefits from Metlife in November of 2005. In 2010 I received an award for a class action lawsuit unrelated to my disability, I opted in as a class menber in 2006 for Wells Fargo OT class action Lawsuit.

    My share of the award was detemined to be from 2/2001 to 10/31/2005 based on the number of weeks worked. When I received the check the law firm stated that 1/2 of the settlement award must be treated as “back wages” and the other 1/2 as “Liquidated Damages”.

    Can MetLife offset my benefits by this income? My LTD plan has a provision for deducting amount of income stating: The gross LTD benefit will be automatically reduced by the amount of income you are eligible to receive from other sources, including but not limited to:

    Further down the list it states:

    Third party recovery for loss of income by judgement, settlement or otherwise, including recovery amounts you may receive from future earnings.

    Can they claim an “Overpayment” and request that I reimburse them these funds?

    Mike from Minnesota

    Mike Moen Apr 12, 2011  #9

  • Carla, they can garnish your future disability payments and they could try to sue you for the overpayment benefits they are claiming. There is no guarantee that they will continue to pay you once you send them the overpayment money.

    Gregory Dell Apr 5, 2011  #8

  • What happens if I dont send (company paid) LTD the overpayment from social security disability? My paperwork reads: “It will reduce to minimum amount required by law, and referral to collections till paid.” Can they guarnish my disability? I’m afraid once they receive the “overpayment” they will find a way to cut me off & I will lose my home, due to less income. I can pay off home with backpay.

    Carla Mcvay Apr 5, 2011  #7

  • Judy, you doctor can certainly send a clarification letter to Hartford and it would be a good idea to have him do so. Please make sure he is specific about any of the mistakes that were made. This should be done ASAP.

    Gregory Dell Jan 26, 2011  #6

  • I have a different kind of problem going on, my doctors office completed a FCE wrong, the secretary who filled it out did not put my restrictions on the form basicly saying i can return to work and my doctor signed the form and it got sent to Hartford I have been on disabilty with Hartford for 3 years also collecting SSD. My doctor is willing to write a letter to Hartford to explain my restrictions my question is are they going to accept it since he signed the FCE with the wrong information. Thanks for your help.

    Judy Jan 24, 2011  #5

  • Josephine, most ERISA governed long term disability policy contain language stating that SSDI benefits are a deductible source of income. You need to check your disability policy to see if The Standard is entitled to an offset for SSDI benefits.

    Gregory Dell Nov 3, 2010  #4

  • I was a Geogia State Employee and became disabled and I was receiving long term disability from the Standard when Social Security approved me for SSDI. Now the standard claims and overpayment and wants to be reimbursed 15,000.00. Why do I have to repay them if my LTD premium was deducted biweekly from my salary. Additionally, I find no legal authority which requires repayment…

    Josephine Ortiz Nov 1, 2010  #3

  • Sharon, you need to check the language in your long term disability policy and see if retirement income is a deductible source of income. If the disability company is looking to offset your disability benefit by the amount of your retirement distribution and you want to tell them they can only offset one month’s benefit check and not the entire amount of the retirement distribution.

    Gregory Dell Sep 7, 2010  #2

  • I need your help. I am disabled. I pull my retirement ’cause I was suffering with bills the company fired me and my company did not pay into social security so I had to go on their long term disability. Now I pull this retirement 2 years a little after they had approved me for the the long term disability. This was done in 2008. Now I have recieved a letter form them stating that I was supposed to let them know. This is my money that I worked hard for so can you let me know what you can do for me. Thank you, Sharon.

    Sharon Campbell Sep 1, 2010  #1

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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.

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