Can a disability company sue me to recover an SSDI overpayment?

This case shows how a long-term disability insurance company can claim an overpayment once a claimant is approved for social security disability income benefits.

The following is a real life example of a claimant with a Unum disability policy who decided he did not want to pay back his SSDI overpayment.

Daniel N., while employed by ICI Americas Inc., participated in his company’s long-term disability (“LTD”) plan governed by ERISA. Unum Life insurance Company of America is the claims administrator and named fiduciary of this plan.

Like most group long-term disability policies, Daniel’s policy with Unum contained a provision allowing Unum to recover any overpayments due to… [Claimant’s] receipt of deductible sourcesof income.” The policy further defines deductible sources of income to include any Social Security disability income (“SSDI”) benefits and provides that Unum will subtract any SSDI benefits from the “gross disability payment.”

Daniel signs Reimbursement Agreement to repay Unum any overpayments

Daniel’s claim for LTD benefits was approved on May 16, 2005, effective May 1. Upon approval, Daniel received a letter from Unum informing him that any SSDI benefits would be subtracted from his monthly LTD benefits. On July 15, 2005, Daniel signed the Reimbursement Agreement stating his intention to accept the full amount of LTD benefits and later repay any overpayments. By selecting that option, Daniel agreed to “reimburse [Unum] any such overpayment within thirty (30) days of his receipt of such funds.”

In March 2009, Unum received notice that Daniel was approved for SSDI benefits, retroactive to October 2005. Unum then determined that Daniel’s receipt of SSDI benefits resulted in an overpayment of LTD in the amount of $77,900 and after advising Daniel of this overpayment and pursuant to the Reimbursement Agreement, Unum began holding a portion of his monthly LTD benefit to recoup the overpayment.

Unum sues to recover overpayment

When Daniel reached the maximum benefits period under the policy, Unum could no longer deduct monthly benefits to recover the overpayment, the balance of which was then $65, 848.40, and Unum sued Daniel in the Georgia Federal Court to recover the amount in addition to attorney fees and the costs of litigation. The court entered a judgment in favor of Unum requiring Daniel to pay the nearly $66,000 plus the costs of the litigation.

Comments (473)

  • Chris, Recoupment is a carrier’s right to recover an overpayment of benefits made to an insured, usually in the context of an SSDI benefit payment. You will need to speak with a Bankruptcy Attorney for an answer to your question.

    Jay Symonds Nov 11, 2022  #473

  • Can overpayments be added to a bankruptcy?

    Chris Nov 7, 2022  #472

  • Hi hubby was denied metlife ltd initially, so when he had to quit due to disability he applied for his retirement lumpsum payout, we were told there was a process to see if he qualified to be approved for retirement, so while withing for the retirement decision he got approved for ltd through metlife. They told us he had to apply for ssdi so he did, we had forgotten about the retirement when he got approved the second time around, so he accepted the payments we asked them what income needed to be reported and they directed us back to the employer, the employer sent us a 1 page document that didn’t say anything about offsets it was general information about applying, anyway he then rcvd his retirement which we used to pay bills and so on. And didn’t think anymore of it, then I stumble across your website and read others stories about overpayment ofdsets and got concerned. When we initially received the retirement payout we didn’t report it because we thought the employer did that and also didn’t rcv written documentation of payout until we got the 1099. We then immediately contacted his former employer again after reading this blog and finally learned from the meter policy we were suppose to notify them of the retirement lump sum so we emailed and faxed the copy of the 1099 to them. We have since spent the entire retirement amount and have no money to repay any offset which we expect to be around 30,000. What can we do? We own a mobile home and a house thst my daughter is in the process of loan assumption. Our question is can they stop his payments and apply to overpayment or will they disqualify him and demand upfront payment which we can’t reimburse? Also can they garnish my ssdi and va benefits? Thank you in advance

    Bonnie L Feb 23, 2022  #471

  • I just got approved for SSDI. My long-term insurance company (Reliance Standard) said I owe them $117,000.00 in overpayment. They said they are going to hold my offset until the overpayment is paid. They overpayment department works with a 3rd party to collect overpayment. Do I have to pay them back?

    Craig Jan 24, 2022  #470

  • I got awarded SSA Disability befits Initially the amount overpayment $22,821,821.39 then $18991.39 last amount overpayment $16,821.39 minus the amount of Allsups attorney fees of $6,000. Total amount Hartford/Allsup balance due $16,821.39 I have spent some of that money on bills. I did sign a form with Allsup SSA Form that allows Allsup to collect 25% or $6000. I live in California.

    John Z. Aug 8, 2021  #469

  • Margie, I’m not sure, it depends on the laws of the state you reside in.

    Rachel Alters Jul 1, 2021  #468

  • My Ltd (Standard Insurance) overpaid me by $30,000. Can they put a lien on my house?

    Margie S. Jul 1, 2021  #467

  • James, it depends on the language in the ltd policy it may specify that they will offset the benefits if they are due to the same disability they are paying him for.

    Rachel Alters Jun 28, 2021  #466

  • If you finally get approved for LTD disability after you get approved for SSDI BUT the reason for your SSDI is different than the reason you had to stop working (for example LTD application was for worsening of rheumatoid arthritis and you are over 55 or 60 but then you had a stroke and applied for SSDI because of the stroke), can the LTD company claim the offset anyway or are there any restrictions?

    If not what exceptions are there, if any, that preclude the LTD company from claiming an offset? I feel my dad should not have to pay them back for a diagnosis that didn’t ‘exist’ when he stopped working. Between that and lawyer fees it would have been better never to have submitted the LTD application at all.

    James Jun 28, 2021  #465

  • Can long term disability garnish my SSI check when l am fighting stage 4 cervical cancer? l will be homeless if that happens.

    Martha J. Jun 4, 2021  #464

  • Charles, you can work out a payment plan to pay back the overpayment. Yes they can come after you for the money you owe them.

    Rachel Alters Apr 27, 2021  #463

  • I am receiving SSDI benefits as of 10/25/21. I recently receive a payout of $28,000. My wife is not working and I only receive 1,528 for SSDI. This money is the only thing standing between us and certain Eviction. I understand that SSDI benefits is protected moneys can the LTD company Garnish my SSDI or take me to court to pay back the Benefits. What can I do? I am going to talk with the Hartford today.

    Charles R. Apr 27, 2021  #462

  • Jamey: Under most group disability policies, there is an ongoing obligation to repay an overpayment of benefits even if they are awarded after you have exhausted benefits under the group policy. This is typically brought to the carriers attention if you used their recommended SSDI vendor to pursue benefits. Whether or not an individual is “judgement proof” is not a defense to the lawsuit, which would go forward, and the ability to pay a judgment and whether the income you receive is protected from a garnishment or lien would be determined after the trial.

    Jay Symonds Feb 19, 2021  #461

  • I was severely injured and my employee benefits included a disability benefits policy from Lincoln Life who then paid me disability benefits which later exhausted. Thereafter, I applied for and received an SSDI award. Now, Lincoln Life wants me to pay them back. My questions is: if my sole source of income is Social Security disability benefits, aren’t I considered ‘judgment proof’?

    Jamey Feb 19, 2021  #460

  • Penny, you would need to contact and accountant to ask obtain an answer to that question.

    Rachel Alters Jan 21, 2021  #459

  • Prudential insurance company overpaid me $4000 long term disability even though I told them I was receiving social security benefits. I have been paying them back $20.00 a month. Do I have to pay taxes on the amount I haven’t paid back?

    Penny H. Jan 21, 2021  #458

  • Robert, unfortunately, Mutual of Omaha will have rights under the policy to collect any overpayment repayment stemming from the receipt of SSDI for any period of time that overlaps with when Mutual of Omaha was paying your full benefit. I don’t believe there is an option to send your backpay to the SSA, and even if there were, it would not affect Mutual of Omaha’s ability to collect and offset your benefit.

    Stephen Jessup Oct 7, 2020  #457

  • Can I stop Mutual of Omaha from taking my SSDI back pay? Can I send the backpay back to SSDI and have them send it in increments?

    Robert M. Oct 7, 2020  #456

  • Julie, I am sorry to hear this. Please contact us for a free consultation so that we can see if there are any avenues to challenge this overpayment demand.

    Alex Palamara Aug 28, 2020  #455

  • I have a similar situation only MY LTD said I had an underpayment from them from 2012/2013 (over 7 years ago) to the tune of $4600.00. When I called to verify this, they said yes, indeed, it was MY money that they had underpaid. Fast forward, 4 months later, they sent me a letter saying that they had OVER paid me that money and they wanted that back plus another $4500.00 that they say was also OVER paid to me. I will work with them in regards to anything before the 7 years, but can they go back past the seven years even after they said it was originally an UNDER payment? I can’t even go back to bank records that far to do my own calculations…. :(

    Julie Aug 28, 2020  #454

  • Terry: Technically speaking, the carrier can pursue any and all legal remedies available to it to recover overpayments, including withholding existing monthly benefits.

    Jay Symonds Aug 25, 2020  #453

  • What would happen if I didn’t pay them back any money?

    Terry K. Aug 25, 2020  #452

  • Daniel, your disability plan may contain a provision which allows the disability insurer to claim and recover an overpayment of benefits if you receive Social Security retirement benefits. You should review your policy to determine whether they are entitled to claim as an offset. Often times the group disability policy will offset any social security retirement benefits received after you begin receiving long-term disability benefits. However, if you were receiving social security retirement before your disability then they will not claim it as an offset. Require and review your disability policy.

    Cesar Gavidia Aug 7, 2020  #451

  • I have been reading everywhere, and cannot find any language that defines that social security retirement can be used by a disability insurance company as an offset. Everywhere I look they are always talking about benefits that are related to my disability. Can you help me?

    Daniel F. Aug 6, 2020  #450

  • No Names, I advise that you hire your own ssdi lawyer and use them instead.

    Rachel Alters Jul 27, 2020  #449

  • I have Metlife LTD. They are saying I need to allow this company – The Advocator Group, to represent me in filing for SSDA. If I am approved, I have to pay any lump sum payment I receive for retroactive payments to Metlife, and any amount of SSDI I am approved for in the future, my LTD will be reduced by that amount. I was told the services for representation would be no cost to me. It is a service Metlife provides for me. Now I have tons of forms “The Advocator Group wants me to sign, and one of them clearly states – I agree that if SSA favorably decides the claim, SSA will pay my representative (The Advocator Group) from the past-due benefits a FEE equal to the lesser of 25% of the past-due benefits or $4,500.00.

    So… I am supposed to pay Metlife the entire lump sum of any past-due benefits if I do receive SSDA AND I have to pay these people I didn’t even ask for in the first place?! Metlife is making me use their services! Is this right? I really do not want to put my name down here – but is this happening to other people?

    No Names Please Jul 27, 2020  #448

  • Cyndi, you are contractually obligated to pay them back the overpayment. They may work put a payment plan for you.

    Rachel Alters Jul 27, 2020  #447

  • I live in NY and have been receiving LTD since 2017 from one company, they required me to try and get SSDI which I was approved for the second time I requested it. I never signed anything about giving them any money back for anything, this was never even explained to me. Sometime last year I guess this company went under and they never informed me. Then I was approved for SSDI in December 2019 and all of a sudden they pop up and tell me they are my new LTD company and they want the amount of money I received (this is a new company that hadn’t been paying me LTD for more than a few months).

    I never signed anything with them about SSDI either. Upon receiving my back pay SSDI check I used it all to repay rent since 2017 and I did debt consolidation in which a company that I worked for prior to my accident was making the payments for, I used cashier’s checks and can prove this. I have been trying to call them multiple times to no avail, they will not return my phone calls and messages. What can I do about this? I am trying now to learn how to write a certified letter letting them know that due to their not responding to phone calls, not informing me of this… I will not be paying this money.

    Cyndi Jul 27, 2020  #446

  • Tim, you would really need to direct your question to a Bankruptcy Attorney to determine what rights various debtors or creditors may have. Additionally, when filing for bankruptcy you have to indicate you receive disability insurance benefits.

    Stephen Jessup Jul 7, 2020  #445

  • Would filing bankruptcy make it impossible for the LTD company to sue a worker for SSDI backpay?

    Tim F. Jul 6, 2020  #444

  • Tim, I would suggest you look at the statute of limitations for breach of contract claims in your state. I don’t believe filing for bankruptcy prevents the carrier from collecting the backpay.

    Rachel Alters Jul 6, 2020  #443

  • Is there a time limit or statute of limitations for the LTD company to sue a worker for backpay? What if they never find out you got backpay? I live in NC. I saw somewhere that some states don’t allow LTD companies to sue for backpay. Thanks

    Tim F. Jul 6, 2020  #442

  • Reggie: Daniel’s estate may be liable for any existing debts. How that estate is distributed among creditors would depend on the specific facts and circumstances of the case and claim.

    Jay Symonds Jul 4, 2020  #441

  • In using your example, if Daniel dies, is his spouse legally responsible for repaying the overpayment?

    Reggie B. Jul 4, 2020  #440

  • Unum let me afloat during my cancer scare. So I paid them back. No issues.

    Kenneth C. Jun 24, 2020  #439

  • Jones, absolutely. They do this all the time. But even if they denied your claim now they still have the right to collect the overpayment

    Rachel Alters Jun 11, 2020  #438

  • I have an Aetna (now the Hartford) LTD policy due for “any occupation” review two weeks ago, the carrier at that time sent me notice indicating a 30 days extension to provide results. I’m expecting SSDI funds but have not received them yet, could it be possible the LTD is giving me extra time to get the overpayment before denying my claim?

    Jones Jun 11, 2020  #437

  • Michael, yes. If you long-term disability policy provides that you cannot recover benefits will incarcerated, also known as an “incarceration provision” then you may be required to repay any benefits received for the time frame that you were incarcerated.

    Cesar Gavidia May 13, 2020  #436

  • Can long term disability demand a refund for payment while a person was incarcerated in a country jail even though the defendant had power of attorney?

    Michael W. May 13, 2020  #435

  • Chell, if your disability plan allows for it, your long-term disability insurer may offset for dependent SSDI benefits received by your children.

    Cesar Gavidia May 12, 2020  #434

  • Can LTD take the back pay I get for my children if I receive ssdi?

    Chell May 12, 2020  #433

  • Nancy, an insurance company cannot physically take your monthly social security disability check. The most common action would be to withhold all of the monthly disability benefits payable by the insurance carrier to recover what is owed (if that is an option). However, as noted in the above article, the insurance company can sue you to recover the money owed.

    Stephen Jessup Apr 25, 2020  #432

  • Can they take my ss disability if I don’t pay back long term disability offset?

    Nancy B. Apr 25, 2020  #431

  • Michael, I am sorry to hear of Hartford’s demand for an overpayment. If you have a copy of the LTD policy governing your claim, we will gladly review it for you to assess whether their demand for an overpayment is correct. The language of the policy will govern and will state which “Other income” sources can be offset to your LTD claim. If the VA benefits are included, an overpayment may be owed.

    Alex Palamara Apr 15, 2020  #430

  • I recently received a retroactive lump sum settlement from the VA. I sent the award letter to The Hartford Long Term Disability Dept. per my contract. Now The Hartford is demanding I pay back all the LTD I received retroactive back to 2011. This has to be wrong! That will take a huge chunk of the back pay I received from the VA seriously hurting my ability to live and support my family. I am a 100% disabled Veteran about to get royally scr$%ed by The Hartford! What can I do to fight this?

    Michael B. Apr 14, 2020  #429

  • Theresa, Social Security does not typically pay a benefit for the first 5 months, so there may only be one month where there is an overpayment. Regardless of signing the reimbursement agreement, Unum would still have the right to collect an overpayment for any months the STD and SSDI overlap.

    Stephen Jessup Apr 10, 2020  #428

  • I have been on short term disability with Unum for six months they are going to claim my disability is due to pre existing condition so are going to deny me Long term disability. I will be receiving SSDI I have not signed any agreement about overpayment. So can they make me re imburse them if SSDI is retroactive 6 months?

    Theresa Apr 10, 2020  #427

  • Bradley, I advise you to contact them and ask to speak with a supervisor regarding the overpayment. I would also send a letter disputing the amount.

    Rachel Alters Apr 7, 2020  #426

  • My wife had to go on disability because of a type of blood cancer and is currently in the hospital recovering from a stem cell transplant. She filed a claim with CIGNA which was quickly approved and also applied to SS for disability which was surprisingly approved quickly. There was no lump sum. She applied for SS at age 64 because she can not longer work. Once SS disability was approved it increase around $400 a month. Cigna was watching all this and adjusted her benefits accordingly. Now they have sent her a letter demanding we repay $1900 in over payment. They never contacted us, just sent a letter. I called and was told they would only talk to my wife, so I sent them a power of attorney. They have never called back, in a little over a week but for some reason expect us to send a check for $1900. It looks like there was an error (on their part) but for some reason will not discuss it. This could not come at a worse time, but I am willing to discuss it. I doubt the $1900 is correct because the monthly payment we receive do not match what they claim we got. What are our rights here? We were not expecting something for nothing. If they goofed, shouldn’t they have contacted us and had a conversation? Any help or advice would be appreciated.

    Bradley W. Apr 7, 2020  #425

  • Linda, I’m not sure if they would go back that far but I would advise calling Unum and finding out if they could reinstate benefits.

    Rachel Alters Mar 23, 2020  #424

  • My daughter was disabled in 2012 and had problems getting her long term disability pay from Unum. She had to hire a lawyer to do so. Then when she did receive her social security in 2013 she did not pay back the offset so they stopped her LTD monthly payment. She should have drawn about 500 a month from LTD after her SS was started and now they have not paid her anything all these years, the offset should have been paid. Is there anyway that she could get the insurance company to restart her checks now?

    Linda G. Mar 23, 2020  #423

  • Angelica, I am happy to hear your claim for benefits was approved. Unfortunately, you may owe the insurance company an overpayment. The short term disability insurance policy that you were paid under will govern. You will need to review the section that defines what is included as “Other Income Benefits.” Often, an award for a personal injury claim that is the cause of your disability claim will be an offset under many disability insurance policies. If you have a copy of the policy, feel free to contact us for a free consultation.

    Alex Palamara Mar 16, 2020  #422

  • I received short term disability after a car accident in September of 2018 up until March of 2019 totaling $15,000. I haven’t worked since September of 2018. The award for my car accident was $38,662. Will I have to pay the total $15,000 back?

    Angelica W. Mar 16, 2020  #421

  • Joe: I suggest you contact our office and speak with one of the attorneys to address the specific questions you have regarding your situation. You may have alternatives.

    Jay Symonds Feb 26, 2020  #420

  • Unum is a snake! I had short term disability with them and after I went back to work 3 months later they are now trying to say they miscalculated my payment and want me to repay almost 4 grand. I don’t understand how these companies get away with this? They require you to fill out a book of info to process your claim then because they make a mistake it somehow becomes my liability. Outrageous!

    Joe Feb 26, 2020  #419

  • Thank you Cesar for your informative reply. If I could followup, specifically if the disability insurance company cannot obtain the status of a SSDI Award, can they sue you to provide the information? Or do they need a confirmation (i.e documentation) of the SSDI Award before any legal proceeding? Thanks again for your help.

    John D. Feb 24, 2020  #418

  • John, if you have signed an authorization they may be able to contact the SSA or the group who represented you to receive a status of your SSDI claim. It is possible that they could also bring a legal action to recover any overpayment of benefits that has occurred if your insurance policy requires that you reimburse them.

    Cesar Gavidia Feb 16, 2020  #417

  • If a LTD plan has stopped paying benefits due to a 24 month limitation (e.g. mental health) and you received a SSDI Award, how will the plan ever know that you received the award (assuming you did not used their suggested representative)? Can they sue you for discovery of the information or an estimated over payment amount? It would seem that they would have no basis in either case. Please advise, I am without work and in a situation where I need the over payment money to survive.

    John D. Feb 16, 2020  #416

  • Glen, we do not specialize in employment law. You will need to contact an employment lawyer.

    Rachel Alters Feb 11, 2020  #415

  • I have been over paid by my job while out on disability. I was out for 7 months, my employer paid me for the first 3 month and was told they would pay me @ 100% until the state disability benefits kick in. Once benefits kick in, I was informed by HR, I must payback the amt paid out. I asked to please send me the amount but never received an email. When the state began paying to my surprise, employer continued paying me… 7 months later, I rejoined the company, HR contacted me and said they accidentally paid me out. Sec 221 I believe says, employer can only go back 8 weeks?

    Glen B. Feb 11, 2020  #414

  • Glen: I suggest you contact an Employment Lawyer to address the specific questions you have regarding your situation.

    Jay Symonds Feb 11, 2020  #413

  • I have been over paid by my job while out on disability. I was out for 7 months, my employer paid me for the first 3 month and was told they would pay me @ 100% until the state disability benefits kick in. Once benefits kick in, I was informed by HR, I must payback the amt paid out. I asked to please send me the amount but never received an email. When the state began paying to my surprise, employer continued paying me… 7 months later, I rejoined the company, HR contacted me and said they accidentally paid me out. Sec 221 I believe says, employer can only go back 8 weeks?

    Glen B. Feb 11, 2020  #412

  • Julie, I believe your mother will be responsible for the overpayment unfortunately.

    Rachel Alters Jan 16, 2020  #411

  • My mother went on short term disability, the mployer HR department entered her earnings wrong in the paperwork that they had to send over to MetLife. So she was given more than what she should have for her disability checks. After returning work she was sent over a bill from MetLife with a letter stating she has been overpaid and that she would have to pay all the overpayment back. My question is, is it her doing or HRs doing to have to pay this money back?

    Julie Jan 16, 2020  #410

  • Raymond, the insurance carrier can file suit against you to collect the overpayment. They should only be able to go after you for the repayment.

    Rachel Alters Nov 1, 2019  #409

  • What is the worse that can happen if I decide not to pay back the LTD reimbursement. I have lost my house, credit and own nothing. Can my disabilty be garnished? Will I be sued? Will they garnish my wifes pay? Can they go after my wife and children for repayment?

    Raymond Nov 1, 2019  #408

  • Gary: The Group Disability Policy sets forth the terms and conditions of your coverage and what constitutes a source of “Other Income” that they are allowed to offset for. I assume you are referring to SSDI, which is considered an Other Income Offset under the majority of group disability policies. I suggest you review the Policy to confirm. Assuming it is, I would confirm with Reliance Standard that any payment to the collection agency satisfies your obligation to Reliance Standard.

    Jay Symonds Oct 30, 2019  #407

  • I owe reliance standard 8900 and they already sent what I owe them to a collection agency. Am I obligated to pay the collection agency since my contract was with reliance standard and not the collection agency? Also I was never informed that I would owe any amount of overpayment by them when I first started getting disability from them. Then when I got my backpay a couple months ago they told me that I owe them. I already used my backpay to pay bills that I was behind on and can’t afford the repayment. What can I do?

    Gary Oct 30, 2019  #406

  • Chris, you can ask Unum if you can pay pack part of the overpayment and have them deduct some from your monthly benefits going forward. You also may want to consider doing a lump sum buyout of your claim. If you would like a consultation regarding a buyout please e-mail me at

    Rachel Alters Sep 21, 2019  #405

  • Unum been paying me long term disability. I just got approved for ssdi. When I get my ssdi back payments. Does unum take all the back payments that I get from ssdi. Do I get to keep any of the back payments from ssdi. And can unum ask for more than my back payments are. And if they can ask for more than my back payments are. I need the money from ssdi. When I start getting monthly payments. To pay my bills.

    Chris Sep 21, 2019  #404

  • Nisar, it sounds like your issue is due to an overpayment of the Liberty benefit on account of SSDI. Liberty is allowed to reduce what they pay you by the amount that SSDI pays. Typically, Liberty will work with you on a re-payment plan. It may be easier to discuss your situation on the phone so please feel free to contact our office to discuss.

    Stephen Jessup Aug 12, 2019  #403

  • Have no idea how things work with Liberty Mutual LT disability ? I am out of work for my mental condition and have doctor who take care, I have SS disability approve and start paying me 1300$ and they start to give me from Feb 2019 a 2 checks. Now August inform the Liberty Mutual, the agent told me paid too much and have to return it! Now have no idea what to do ? Because I have no money to pay and every time I asked them they said not to worry? Have no idea what they are paying 60% of my salary $ 2,800 a month. Starting was August 2018 and I want to stop it because I did not know what to do? And how to fight, my doctor did not let me work at all.

    Nisar M. Aug 12, 2019  #402

  • Worried, just Let the carrier know you were denied and you are appealing the decision. They are not entitled to the back pay until you receive it.

    Rachel Alters Jul 21, 2019  #401

  • Hello. I need some advice. I lost my first SSDI case after waiting 2 1/2 years. I got another atty, we just started a brand new case and won in 5 months at DDS level. There is no back pay to give to my LTD carrier. Since the LTD carrier pays at the end of the month for that month, example, I get paid for June at the end of June but SSA pays the opposite-I get paid at the end of the month for the upcoming month, I was afraid they would stop benefits immediately and drop down to minimum, not giving me the allowed time to pay my attorney and the following month, they would owe me because my SSDI check will be for the month after that. I think I’ve got that correct. All the paperwork is going to them as soon as I get this final check. For the record, I’m making more in SSDI than I do with LTD, so all I will get is the minimum-10%.

    Did I break any laws? I have dealt with this company since late 2015, they are sneaky. They actually reduced my monthly payment by $24 because I took out my pension. $24 a month for until 2030 is not enough to pay them back $8000. They were counting on that backpay. What do you think they are going to do with me not getting backpay?

    Sorry. Guess I had more than one question.


    Worried Jul 21, 2019  #400

  • Julie, please refer to our website and review the information regarding overpayments and offsets of long-term disability benefits. Since you have been receiving MetLife LTD benefits since August 2017 you will likely owe an overpayment of benefits if you are awarded SSDI benefits. If your SSDI benefit exceeds the amount of your MetLife benefit then you will likely qualify for the minimum benefit under your policy.

    Cesar Gavidia Jun 3, 2019  #399

  • I just had my SSDI hearing and am hoping g that I get approved. I have been receiving $1625 a month long term disability from Met Life since Aug 2017. If I am granted disability and my SSDI pmts are more than my long term disability pmts will I owe Met Life any of my Social Security back pay? As it appears my SSDI will be more than my long term disability pmt so there would be no offset amount if I am determining this correctly.

    Julie Jun 3, 2019  #398

  • Mr. Cooper, if your claim is under a group policy governed under the ERISA laws, it is my understanding that Prudential is not liable for the hardship they placed on you while they were reviewing and denying your claim. I believe the are only liable for benefits that they have not paid (with interest in certain situations). It does not make sense and is certainly not fair, and I hate hearing of your situation.

    Alex Palamara Apr 26, 2019  #397

  • I was put on leave over a year ago by my doctor. I started receiving STD through my employer and after 6 months it was to switch to the LTD (Prudential). LTD started requesting forms and information before it was even time to begin. I diligently complide and returned everything they requested within 48 hrs of receiving. Well that went on for 9 months before they finally gave me a ‘soft denial’ letter due to medical records from yet another provider not being received in time. So I finally had to retain an attorney to get them to pay me. I also recently found out that my SSDI will be approved with award letter forthcoming.

    My question is this: Can Prudential be held liable for the hardship they placed on me by denying payment for 10 months? I feel that they didn’t act in good faith by bombarding me with requests and then denying my claim. The fact that they did approve me once I sought counsel and also the fact that I was approved for SSDI within 4 months of application for such only reaffirms the obvious physical limitations I suffer from and they were just doing the ‘missed deadline’ move used by a lot of insurance companies as grounds to deny. The hardships I endured included me not being able to continue my Cobra health insurance for which I relied on for extremely expensive maintenance meds I had to take for a lifelong condition not related to the LTD case.

    So I had a gap in medicine of several weeks and had to switch the type of medicine all together as state provided health insurance wouldn’t pay for the medicine I was on. Since then my condition has gotten much worse including a week long hospital stay and possibly surgery in the near future. So as you can tell the impact of them not paying me for months goes well beyond just not being able to pay the bills or afford food. The actions and tactics they use have profound effects on their clients and can even be the difference between ‘life and death’ in some cases. I’m not sure what is going to happen to me health wise now that my condition has deteriorated but I know it could have been a lot easier had they simply done the right thing initially.

    Mr. Cooper Apr 26, 2019  #396

  • Robert, (1) Unfortunately, under the policy most likely no. Most policies will contain language that if there is an overpayment, even if due to the error of the carrier, it does not waive their ability to recover same. (2) That is a really good question and the only way to verify would be a letter from the SSA, which you may not be able to obtain. If you have any tax reporting documents from the SSA and they only reflect your benefits then that could also serve as proof. (3) With respect to bankruptcy, you would have to speak to a bankruptcy attorney as to what your options would be. As we do not handle those actions we would not be in a position to properly advise you. Alternatively, you can seek to work out a re-payment plan with MetLife. MetLife will not drop benefits for filing bankruptcy, they can only deny coverage if they determine you are not disabled under the terms and conditions of the policy.

    Stephen Jessup Apr 23, 2019  #395

  • I have Met-Life LTD. They asked for my SSDI award letter to be faxed to them, which I did. I was told my their representative that I was approved and everything was set. A year later (this year), they then informed me they never received the original SSDI award letter, so I faxed it yet again to them. After that they said I was overpayed and now are asking me to repay. The amount, which is over $37,000, is not something I have lying around or can come up with in a reasonable amount of time (being terminally ill). In addition, they never previously asked for information regarding other forms of income or SSDI payments to my family (wife and children), but now are doing so. I told them I had not applied for those benefits because one of my children is to old and since my SSDI and LTD benefits were enough to cover our expenses, I did not apply for my wife or other child. They are asking me to provide proof I did not apply, which I don’t understand how I can prove that.

    My questions:

    1) Is Met-Life culpable for not informing me they did not have the information especially after approving me to receive benefits?

    2) How can I be expected to prove I did not apply for SSDI benefits for others in my family?

    3) Since I am sick and do not have the money to pay back the debt, could I declare bankruptcy and discharge my debt to Metlife? Follow-up, if I do that, can they drop my LTD benefits?

    Robert T. Apr 23, 2019  #394

  • C.M., it is unlikely the insurance company will come after you 4 years after you were denied to recover a possible overpayment.

    Victor Peña Apr 10, 2019  #393

  • I was just recently approved for soc security disability and it only took 6 yrs! ;) (Gotta laugh at this point, because it’s ridiculous that it takes this long, but I digress)

    Anyway, I collected LTD benefits for 2 yrs, after which the ins co canceled my claim. That was 4 yrs ago, and I never heard from them again. I only used the attorney that the ins co assigned until my first hearing, after which I hired a local disability attorney who took my soc security disability case all the way to federal court.

    I never thought about the LTD stuff again until recently when a friend, who is also receiving soc sec disability, asked if I needed to pay back the LTD from the 6 yrs of backpay that I just received. I didn’t know, so I started researching online, and here I am.

    Since it’s been such a long time ago, is there a time limit, or statute of limitations, in which the ins co can request the overpayment? For some reason, I thought there was, but I can’t locate any paperwork.

    If I owe them, I will pay, but if there is no reason, legally, for me to inform them, how would they find out I was finally approved?

    C.M. Apr 10, 2019  #392

  • Darryl, if your policy requires that other income benefits, such as Social Security Disability Benefits will offset to your monthly LTD benefit, and that they may recover any overpayment of benefit that occurs from your receipt of social security disability benefits, then your disability insurer can seek to recover the overpayment benefits from you. Please review the videos on our website regarding offsets to monthly long-term disability benefits for more information.

    Cesar Gavidia Apr 6, 2019  #391

  • Hi Mr. Gavidia.
    I received $950.00 for 24 months from LTD. I was just approved for $1250.00 from SSDi plus back pay. Insurance wants me to send my approval letter to determine my overpayment amount. Do I owe them. Can they find out I was awarded benefits without me telling them?

    Darryl Apr 6, 2019  #390

  • Julian, Unum can attempt to recover the overpayment of benefits by withholding your benefits or by filing suit against you to recover those benefits. You can contact our office to discuss possible buyout options that may be available to resolve the overpayment.

    Cesar Gavidia Feb 27, 2019  #389

  • I did receive LTD benefits from Unum. SSDI has been approved. I will receive a check for back pay of $30,000. I understand that I am suppose to pay back the overlapping amount but what if I don’t and they try to sue me? What can they sue me for if I have nothing? Can they sue me and try to take my house or car? The $30k will be gone by then. Thanks

    Julian D. Feb 27, 2019  #388

  • Wanda, I am not sure why they would be seeking more than his retroactive lump sum benefit from SSDI unless they are including the amount paid to an attorney who handled the SSDI claim for your husband. The $150 likely represents the “Guaranteed Monthly Minimum” amount under the Group Policy, which is the absolute minimum they will pay regardless of whether the total other income offsets exceed the monthly benefit payment. I suggest you contact our office and speak with one of the attorneys to address any additional questions you have regarding your specific situation.

    Jay Symonds Jan 18, 2019  #387

  • Do you know if Hartford accepts buy-outs on policies for paybacks? My husband was getting payment from them for 4 years before getting approved for SSDI benefits. They are asking for more than his lump sum back but say that they will still pay him $150 a month on top of his SSDI. How is this correct?

    Wanda Jan 17, 2019  #386

  • Blythe, unfortunately, it is hard to say, as the language in and requirements of a disability insurance policy can differ greatly from the SSA guidelines. Even if your claim for SSDI was approved, it wouldn’t prevent a disability insurance carrier from denying your claim based on its own review. Having the SSDI in place is certainly a positive factor for your claim, but it is not the end all be all. Please feel free to contact our office to discuss your claim further.

    Stephen Jessup Dec 28, 2018  #385

  • HI,

    I have been on LTD for almost a year and was denied initial SSDI. My ALJ hearing is not scheduled to come up until a few months past the “any occupation” standard starts. What is likelihood that my LTD will kick me off at 2 year mark even though SSDI hearing hasnt come up yet? If they kick me off would I still owe them SSDI backpay once approved since they gave me the boot?

    Blythe Dec 27, 2018  #384

  • Terry, Alabama has a 6 years statute of limitation for collecting a debt. This may prevent Unum from going back that far. You may want to tell Unum that you would agree to go back 6 years but no farther as this was their error.

    Rachel Alters Dec 23, 2018  #383

  • I was Approved for Social Security Disability beginning March 1991. At that time, the Company I worked for handled and paid their own Long-Term Disability Claims. I was approved for their long-term plan immediately after being approved by SS. I sent my SS Award letter in to the Company as I was asked to. It showed my Primary Amount of Social Security was 952.00 per month. The Company sent me a letter showing my full LTD benefits to be 1647.16. , minus my Primary SS Amount of 952.00, minus 87.00 for Taxes = 608.16. The Company paid me this Amount until 1-1-1997, when the turned the Claims over to Unum. Unum continued to pay me this same amount until this month, at which time I received a Check for 582.16- exactly 26.00 less. They had not let me know why my Benefits were reduced after 27 years at the same amount, so I called them.

    I should mention here approximately one month ago I received a letter from Lucens Group-whom I had never heard of- saying they were writing me on behalf of Unum and they were doing a routine review of the status of my Social Security and verifying my Benefits. I called Unum to make sure this was a legitimate request on their behalf and was told it was- and I had to sign the Release for Lucens Group to obtain the info from Soc Sec. I did so because I believed everything was fine with my Soc Sec benefits. In any case-when I called Unum to see why my benefits had been reduced after 27 years I was told the following.

    Lucens Group had found despite my SS Award letter showing my Primary Amount to be 952.00-that SS had made an error due to my making more the last year I worked (1990) and that my Primary SS Amount should have been 978.00. I argued with the Unum Rep-but after digging out my records from 1991-SS did indeed make an error on my Primary Amt and in Nov 1991 sent me a check making up the 26.00 per month covering March to November 1991 and changed my Amount to 978.00 going forward.

    So, here are my Questions –

    (1) Can Unum make me Re-pay the 26.00 per month Overpayment for the whole 27 years-or is there a Statute of Limitations? I live in Alabama.

    (2) Secondly, Unum, as previously stated, was not the Company that originally Approved my LTD-It was my Employer that paid it from 1991 til Unum took over my Claim in 1997. Might Unum Waive some part of this given the length of time that has passed?

    (3) Lastly, do I necessarily owe any of this back or should Unum have had all this verified when they assumed Administration of my Claim in 1997?

    Thank you for any guidance you may be able to give me.

    Terry Dec 22, 2018  #382

  • Concerned, no, I don’t think you will go to jail, but they can sue you to recover the overpayment of stop paying your benefits if you are on claim until they are paid back.

    Rachel Alters Dec 20, 2018  #381

  • I recieved my backpay from ssd but it was used to pay bills that acumolated. Can the Hartford send me to jail for not paying their overpayment?

    Concerned Dec 19, 2018  #380

  • James, you will have to apply for SSDI on line and send Liberty proof that you applied.

    Rachel Alters Dec 19, 2018  #379

  • I HAVE BEEN TOTALLY DISABLED SINCE Oct of 2017. Liberty is my LTD insurer through Wells Fargo Bank. They have been paying me LTD payments Since June 2018, I failed to apply for SSDI, so liberty did a $1245 offset. They have had proof of my SSDI application submitted online by an attorney’s office working for Liberty on the 29th of November. It has been 13 business days and still haven’t sent the reimbursement for the offset. Which has resulted in my electricity to be shut off. Credit cards and truck payment are over questions what can I do to get my offset back, this has caused undue stress, fees for late payments.

    James Dec 18, 2018  #378

  • Sherry, yes you can fight them, but you must appeal the determination within 180 days of the denial. The insurance company is not required to follow the SSDI decision, but they do need to give it consideration. If you would like a free consultation please email me at and we will set up a time to talk.

    Rachel Alters Oct 4, 2018  #377

  • I was receiving long term disability payments and they hired a lawyer to represent me in filing for SS Disability. I got my disability from Social Security. Now the long term disability company is dropping my claim and says their doctor says I can do sedentary work. The Admistrative Law Judge and a Vocational expert said due to my medical problems, age, education, and work history that there are no jobs I am qualified for. Do I have a case against the long term disability company? I feel they should honor the decision by the judge and continue paying my benefits.

    Sherry Oct 3, 2018  #376

  • Vanessa, your Unum group disability policy likely contains a provision described as “Deductions for Other Income Benefits”, which allows Unum to deduct from your monthly LTD Benefit any primary social security disability benefits received by you and any social security benefits received by your dependents on your behalf.

    Cesar Gavidia Sep 5, 2018  #375

  • I got awarded ssdi and now Unum is taking my disability payments which is fine but now they are trying to take my son’s payments too. Why should they be able to take his money when they never paid in him the first place.

    Vanessa Sep 4, 2018  #374

  • Twila, unfortunately you may in fact owe an overpayment for the time period that Cigna paid you the full monthly benefit amount. If your social security disability benefits are for the same time period that Cigna was paying you, your LTD policy may have a provision that Cigna gets to pay you at a reduced amount for that time period. Even though it took years for SSA to award you benefits, it may be that Cigna should not have been paying you the full amount.

    Regarding your LTD claim, did you ever appeal the denial to challenge Cigna’s denial? If you did, we may be able to assist you with another appeal or with a lawsuit for your LTD claim with Cigna.

    Alex Palamara Sep 1, 2018  #373

  • Can Cigna get all the back pay from social security? They paid short term and then long term but decided that I was not disabled and then quite paying me. Two years later social security has excepted me. I never got any money from social security during the time cigna was paying me. I have only received an over payment, which was quite a bit and have not yet received monthly payment from social security. This is a disability. Cigna is telling me I have to pay back ALL that they paid me.

    Is that correct even when they quite paying me and I had never received a dime for a over a year? Also I was under the impression that they would take up the slack from the difference between cigna and social security. Since they cut me out a long time ago and denied my claim I don’t imagine they will pay me anything. The big think is do I have to pay back all that they gave me?

    Twila J. Aug 31, 2018  #372

  • Booch, please keep in mind that your policy may require you to inform the insurance company of your SSDI status. If you don’t, they may withhold a portion of your benefit that they believe would be an estimate of what your SSDI claim would be if approved. Also, if you don’t, they may claim you are in violation of the policy.

    Alex Palamara Aug 15, 2018  #371

  • Who notifies the Ltd carrier that you’ve been awarded SSDI if you don’t volunteer that information?

    Booch Aug 14, 2018  #370

  • Libby, you can deduct the $6,000 paid to the ssdi attorney from the total overpayment.

    Gregory Dell Aug 11, 2018  #369

  • I have just received my ssdi award letter and back pay check from SS. I received std for 3 months starting July 2015 and ltd from Sept 2015 until the 24 months ran out in Sept 2017. SSDI back pay was from Dec 2015 until July 2018. SS deducted $6,000 for attorney fees. So this means I only owe ltd their backpay for the time Dec 2015 until Sept 2017, correct? Also, my SSDI award amount was minus attorney fees, which left me x amount of dollars, of that amount of money I actually got a check for, when I pay back ltd, do I deduct the $6000 attorney fee from what I send the ltd company if the $6000 fee was already taken out of my SSDI award amount? Hope this makes sense. Thank you

    Libby Aug 10, 2018  #368

  • Fred, that is a really good question. I believe the LTD carrier is allowed to take an offset for any other income you receive from the SSA, even if it isn’t linked to your current positon. You may want to review the policy carefully, but I don’t believe an argument can be made that the SSDI benefits cannot be offset by SSDI due to the fact that the credits were earned in a position you had prior to becoming a teacher. But if I were you I would write a letter to the carrier and argue your position. It can’t hurt.

    Rachel Alters Jul 15, 2018  #367

  • Okay, I worked several years in a job that paid into Social Security. Later, I began working as a public school teacher in Kentucky, during my tenure as a teacher I paid into a teacher pension, not into Social Security. While working as a school teacher, I was offered a LTD policy based on the earnings I received with the school district. Unfortunately, I have become disabled and cannot continue employment. I have started to receive benefits from my LTD insurer that I signed up with while working for the school system and while not paying into Social Security.

    Recently, I found out that I am eligible for SSDI benefits due to my employment prior to working as a teacher, and prior to holding a LTD policy. My question is, can my LTD policy company request SSDI over-payment and offset current benefits because of SSDI benefits earned prior to holding a LTD policy, of which that policy was based on income earned while not paying into Social Security?

    Thanks for any input you can provide.

    Fred Jul 14, 2018  #366

  • Paula, unfortunately this is an issue that comes up often and is definitely complicated. I am not an accountant so I am not qualified to give such advice. But you may want to have your accountant speak to your insurance carrier’s accountant to come to some understanding of how much you would be required to pay.

    Rachel Alters Jun 29, 2018  #365

  • I have been fighting for SSDI for 5 years. It looks like after going to the Council in VA I have won. My back pay is substantial, but a majority of it will go back to my LTD carrier. The taxes on the back pay is the problem. My company paid part, I paid part so a percent of my LTD has been taxed. Using box 3 as my income for each year I could potentially owe taxes on my back pay. How is that handled when I already paid taxes on the LTD. It’s like being taxed twice for the same money. To complicated it more my husband is a sm dairy farmer with little to no profit. Even our normal tax person is unsure how this will work. I don’t mind hiring someone, but who would understand this? Any suggestions.

    Paula Jun 28, 2018  #364

  • Irma, you will need to discuss your question with your Bankruptcy attorney to determine if the debt can be included. It is also imperative that your bankruptcy attorney is aware of your LTD benefit and SSDI benefit.

    Stephen Jessup May 23, 2018  #363

  • I was awarded SSDI after 3 years of applying. I received STD and LTD during this time. The monthly disability insurance was not enough to pay my bills, got behind on mortgage and had to stop paying credit cards. I will file bankruptcy this year and my attorney is working to reduce my mortgage payment. The disability insurance wants me to reimburse almost half of the SSDI payback. Most of my payback was used for personal debt with family and friends since we stopped using credit cards. Can I include this debt with insurance company in the bankruptcy?

    Irma F. May 22, 2018  #362

  • Concerned – 1. It is likely that as it stands now the information submitted supports her inability to perform any gainful occupation and will be entitled to benefits beyond September 2018. Because the change in definition actually occurs in September 2018, Cigna is likely going to re-evaluate to see if she has improved by/before September 2018. 2. Indexed Monthly Earnings is a defined term in the Policy and would need to be reviewed however, generally speaking, they must find an occupation in which she could earn 80% of her prior income and has the physical and cognitive functional capabilities to perform. Otherwise she would continue to be eligible for benefits. 3. I believe you can terminate your Advantage 2000 relationship at will so long as you continue the process of applying for SSDI benefits. An SSDI attorney would likely be able to provide guidance on that issue. 4. Each state has different laws regarding surveillance but generally speaking, so long as the PI is on public property and the activity is open and visible to the him/her from that vantage point it is not inappropriate.

    Jay Symonds May 17, 2018  #361

  • Concerned in California

    My Wife was diagnosed with neursarcoidosis,3/2016. After, months of treatment, with immunosuppresants, both oral and IV infused (which she continue to take today) the inflammation on her brain was reduced as per MRIs. However, she has nerve damage from having massive amount of inflammation on her brain which affects her in the following ways daily: extreme vertigo/dizziness which is triggered by her movement triggering the following: hearing , vision-at times, breathing,balance, focus, concentration, memory, can’t sit for long periods, drops items at times, etc… She is seen by the following types of specialty docs: Neurologist, Rheumatologist and ENT. Her doctors state her damage is permanent and describe it as a scar on her brain referring to the damage as described above. She has Cigna LTD and September 2018 marks to two years of LTD. She has applied for SSDI which was required by Cigna at the start of the LTD and assigned to Advantage 2000. She has been denied twice by SSDI and now pending an appeal date. Prior to becoming disabled, my wife worked as a medical-hospital sales representative, traveling by company car and or airplane to her hospital accounts covering: California, Arizona, Nevada, Utah and Washington. My wife has worked in this field, medical sales for different pharmaceutical companies approx. 20 years.

    Approx. 2 months ago Cigna reached out to my wife and her doctors requesting her doctors send their medical records and complete a physical ability assessment. I assisted my wife with the disability Questionnaire and activities of daily living. All the Cigna requested documents including my wife’s were completed and sent back to Cigna 4 weeks ago. At the 24 month mark, Cigna re-defines Disability from regular occupation to any occupation. Here’s the statement from the policy: After disability benefits have been paid for 24 months, the Employee is considered Disabled if, solely due to Injury or Sickness, he or she is: 1. unable to perform all the material duties of any occupation for which he or she is, or may reasonably become qualified for based on education training, or experience and 2. unable to earn 80% or more of his or her Indexed Earnings. Here’s my questions:

    1. Cigna initially stated that once all documents, are received they would render a outcome in 2 weeks. Now after having our documents beyond that time, they change the timeline to September 2018 and stated will require her doctors to complete another assessment in June 2018. HUM??? Attorneys please explain why Cigna would change the timeline, your thoughts?

    2. Please explain unable to earn 80% or more of his or her Indexed Earnings. How real is this, meaning if denied, Cigna will look for a job for my wife that pays 80% or more of last job salary, prior to her disability. What happens if they can’t find a job given her limitations?

    3. What can we do if we are not satisfied with the Cigna/Advantage 2000 attorney? We would like to get out of this arrangement and hire a independent but not sure how to go about it.

    4. Regarding Surveillance, we live in California, can a Cigna appointed PI take pictures/videos of a person in their backyard?? is this legal? I would think a backyard is considered private property too?? and what about the front yard and driveway of the home, are these considered private parts of the house just as inside the house?

    Thank You

    Concerned in California May 17, 2018  #360

  • Rob, most employer provided disability insurance plans require that you inform the insurer of an award of SSDI benefits. The disability plan also likely requires that you pursue SSDI benefits and exhaust all appeals in the pursuit of those benefits. If you fail to inform the disability insurer that you have been awarded SSDI benefits, the insurer can attempt to bring a legal action against you to recover any overpayment of benefits, or withhold you disability benefits until the overpayment is repaid.

    Cesar Gavidia May 14, 2018  #359

  • Exactly HOW does the Ltd insurer discover ssdi benefits? Can the insurer request ssdi records? Isn’t there a privacy rule here?

    Rob M. May 13, 2018  #358

  • Darryl, is your claim with Cigna currently closed? If so, for how long? If it has been closed for some time and you did not use one of Cigna’s attorneys/advocator groups for your SSDI, they may never learn of it. That being said, with respect to your question – you cannot go to jail for failure to pay back any overpayment – so no need to worry there.

    Stephen Jessup Mar 21, 2018  #357

  • I left work due to illness in August of 14. Cigna was supposed to start paying me LTD after six months. Long story short my short term started several months late and Cigna didn’t show up until nearly a year after My last day of work. (I paid a separate premium for my own Cigna LTD coverage through work) I was pretty sick so I wasn’t capable of reasoning when and who was supposed to paying what benefit when or for how long. Cigna ended up shorting me $4,000 and using the excuse that I couldn’t have two different disability insurance payouts at the same time. Cigna actually backdated my claim several months from the time I signed my paperwork for my claim so they could short me the $4,000. Then to add insult to injury they shut me off at the two year mark of the backdated start of my claim. Now I’m about to get some SSI and survivor benefits as well as back pay, some of which overlaps the time Cigna was paying me. I was also considered totally disabled for fourteen months of the Cigna payout. I’m expecting Cigna to have their hand out for repayment. I’ll refuse all the way to the jailhouse for what they did to me. How long will my sentence be?

    Darryl Mar 20, 2018  #356

  • Debra, I am sorry to hear that Aetna is giving you so much trouble. Unfortunately this is typical. I would suggest you go to your local Social Security Office and tell them what’s going on. It sounds like your daughter should never have applied for dependent social security under your disability since she was already receiving it. There has to be a way to reverse it. Also Aetna should not be able to take an offset for her SSI if it is not related to your disability.

    Rachel Alters Mar 16, 2018  #355

  • I have been dealing with Aetna for 18 months now. Was TOLD to work with Allsup to file for SSI. I understand that Aetna is eager to place the financial burden on SSA. I was also told that any back payments from SSI would go to them to recover what they had paid me. I was quickly approved, and retroactive to April 2017, and Aetna would still be paying me a little each month for the next year … PROBLEM … my daughter (minor) has been on SSI Disability most of her life. Now I’m being told her benefits have been stopped, she is placed under my case, and she has lost over $300 per month by doing this. SSI says she “qualified as of the date of my disability” so now Aetna/Allsup want to reduce the little they are paying me now to compensate for her “back pay” … which she did NOT get because she was already on her own SSI case…

    Bottom line, they are costing my daughter almost $5000 over the course of the problem…

    Do I hold funds from the back payments to cover my daughter’s loss?

    Debra Mar 15, 2018  #354

  • Kim, the obligation to repay is often contractual and survives even after the carrier has stopped making payments if the back benefit received from SSDI covers a period of time during which the private carrier provided benefits. If the retro SSDI benefits are not for a period during which you received private disability benefits, there would be no obligation to notify or repay.

    Jay Symonds Mar 14, 2018  #353

  • I was wondering if I have to pay my LTD back if payments have stopped because of being denied do to there determination of disability and I was granted SSD for a closed period.

    Kim Mar 13, 2018  #352

  • Dee, unfortunately, as we are not tax professionals we cannot provide any advice or guidance on the filing of your taxes. Your question would be best suited for an accountant/tax professional to determine what deductions/credits you may be able to assert.

    Stephen Jessup Mar 3, 2018  #351

  • I have already paid the full agreed Overpayment amount back to my LTD, Hartford, from the SSDI received. The payment was made within 5 days of receiving the breakdown letter from Hartford. We are now in the process of filing our taxes, and because my husband works we will owe a substantial amount in taxes this year, when in the past we have always received a refund. My question is do we legally have the right to request a “credit” from Hartford for the proven tax dollars incurred, if done by an independent source? Along with having documents to prove that if not for the SSDI recovery being listed on our taxes, we would recover a refund of over $6K. I am not asking a tax question, but a subrogation question. My understanding of insurance policy subrogation language and their rights of collection is based on doing the insured no harm. In other words placing the insured back in the same/like condition they were in prior to the SSDI recovery, and not causing the insured financially hardship. By paying the overpayment to Hartford, we did not financially “gain” anything from the SSDI payment, and still have the same medical bills etc and monthly stipend from LTD/SSDI. But now with the incurred taxes on the SSDI, we are being placed in financial hardship and there for no longer in the same like condition prior to the SSDI recovery.

    Dee Mar 2, 2018  #350

  • Traci D.,

    The answer is, possibly. Most group long-term disability plans contain provisions which require you to pay back any portion of benefits that you may have been overpaid by the disability insurer if you begin receiving SSDI benefits. It is important that you speak to the disability insurer to determine the amount that you are responsible to pay back and determine that the amount they are representing is owed is accurate. You may ask that they provide you with a specific accounting of the months owed. You typically are not required to pay back any portion you were required to pay in legal fees to you social security disability attorney.

    Cesar Gavidia Feb 10, 2018  #349

  • I’ve only been paid $5800 by ltd and my SSA was just approved with $10,000 in backpay. Will ltd take the whole $10,000?

    Traci D. Feb 9, 2018  #348

  • Jewels,

    You should consult with your accountant to determine how your taxes should be handled and what information is needed. Usually, the insurance carrier provides the information needed to file your taxes, not AllSup.

    Victor Pena Feb 7, 2018  #347

  • My long term disability was awarded through Reed Group. Per the plan, I was required to file for SSDI and that a company name Allsup would help me throughout the process. Once I was awarded, I received a letter stating I have an overpayment with Reed Group in which I can make the payment back by using Allsup’s service. Allsup will collect the overpayment amount and give it to Reed Group.

    It is my understanding that the amount will be reflected on my wage and earning reported on the W2 from Reed Group. Reed Group is now denying me government forms to help me file my taxes. They are stating that since the payment was paid back through Allsup, I would need to use a letter or reciept to file my taxes. Allsup is stating they did not collect the funds for them but it was given to Reed Group therefore, Reed Group should be providing a 1099 or 1098 to show the adjustment.

    I am so beside myself going between these two companies. Can you tell me if this is legal what Reed Group is doing? Eventhough Allsup intially collected the money, it was Reed Group who has the final amount.

    Jewels Feb 6, 2018  #346

  • Diana,

    Often the amount requested from the LTD Company differs from the amount received from the initial payout from SSDI. It can become confusing since the SSA pays benefits in arrears while the LTD carrier sometimes does not. If you disagree with the amount requested by your insurance company you should ask them for a breakdown of their numbers to see how they calculated the overpayment.

    Victor Pena Feb 5, 2018  #345

  • Can a LTD company ask for more money then the amount that you receive back pay from SSD?

    Diana Feb 5, 2018  #344

  • Fran, as Bankruptcy is a specialized area of law we do not handle, you will need to speak with your Bankruptcy attorney/or a Bankruptcy to discuss any implications as to what will remain after the chapter 7 approval.

    Stephen Jessup Jan 23, 2018  #343

  • I have been approved for a closed period of time. LTD covered me Oct 2014 thru June 2016. They dropped me after my chapter 7 was approved. Will I owe the LTD an overpayment if they were included in the bankruptcy? I was just approved.

    FRAN Jan 22, 2018  #342

  • Susan, either $1,000 for every month, or if there was a minimum benefit amount in the policy, such as $100 a month, then $900 for each month.

    Stephen Jessup Dec 15, 2017  #341

  • I received 1000.00 a month from Hartford and ssa is 1225.00 a month. How much will over payment be?

    Susan G. Dec 13, 2017  #340

  • Dan, it sounds like they are using form language common in correspondence leading up to a denial of benefits. I highly doubt they would sue you over $645, but they may try to put it to collections. With respect to a potential new claim- no, Liberty could not deny you solely on an unsettled bill.

    Stephen Jessup Dec 2, 2017  #339

  • Looking through these comments.. I am happy I don’t have any long-term health-related issues.. Anyway, in my case, I just had a few days of STD after a minor surgery. But the company (Liberty Mutual) overpaid me WAY too much. They sent me multiple checks after I had returned to work. I only cashed 1, the one I thought was for the few days of STD I actually was on. The others I shredded and Liberty Mutual finally got their stuff together and also put a stop on those extra checks that I shredded a long time ago.

    The problem is, apparently even the first check they sent me was too much. They are saying I owe them $645.00
    The last letter I got said if I don’t respond it could “result in an adverse claim determination.” What exactly is that, and how does it affect me?

    I really don’t have the money to pay these guys back and I’m looking for some honest advice. I can’t imagine Liberty is gonna sue me over $645. I could care less if they put me in collections because I literally don’t have any credit to worry about.

    My main concern is, say I do just completely ignore all this and , IF, for any reason, I ever needed to go back on STD or LTD, since through my job Liberty runs that stuff, can they deny me a new claim for STD or LTD, not on medical basis, but because I never paid them back $645???

    Any advice is appreciated, thanks!

    Dan Dec 1, 2017  #338

  • Cary, Principal may consider a buyout depending on policy language and claim history. They will certainly require that any overpayment on account of receipt of SSDI be repaid before they will consider discussion. If you would like to discuss what to expect in a buyout please feel free to contact our office.

    Stephen Jessup Nov 29, 2017  #337

  • I have ltd thru Principal Financial, what do you think about asking for a buy out? I was just approved for ssdi and Financial is to pay me the offset amount till I’m 65. I’m 49 now. Ssdi is paying 1035 Financial 1517 = 2552, think they might buy out and can you give me a round about figure? Thanks for your time.

    Cary Nov 28, 2017  #336

  • Scared, you are certainly free to utilize your own SSDI attorney and I would encourage you to consult with one. Any fee earned by a SSDI attorney is paid from a portion of the back benefit paid by the SSA. Your LTD carrier cannot make you responsible for the repayment of any amount awarded by the SSA that is paid to the attorney. With respect to your LTD claim it is crucial to file a strong appeal. Please feel free to contact our office to discuss how we may be able to assist you.

    Stephen Jessup Nov 20, 2017  #335

  • Hi. I received LTD for the 2 years then they just denied me saying I was able to do any job, which I’m not and I have several Drs to back it up. They required me to apply for SS disability using a company (not the same name as my insurance company so not sure if they own it) of lawyers and SS advocates saying it was a free service they offer me. My SS claim was denied in Oct, it was the first time so the company they have me using filed an appel 5 days later. And the appeal has not been decided yet but the LTD company has dropped me.

    My question is would it be in my best interest to get my own attorney or stay with their company they had me go through to file my original and my appeal? I called to cancel and get my own lawyer stating I didn’t think it would be in my best interest since my insurance co that hired them denied me my LTD. She said it would be silly to get and pay for my own when i csn use them for free. I also read in a previous response to a question that if SS approves me it can not be added into the lawsuit that I am going to file against my LTD co after my appeal has been put in motion, which they gave me 180 days to file its been 10 days. Now I’m worried that the company they have me using will mess it up somehow so I don’t get approved so I can’t add it to my LTD appeal. I’ve tried to find a lawyer that does both SS and LTD but not able to. I found a lawyer for my LTD she is coming this next week to start the process.

    Any advice you can give would be greatly appreciated. As of right now I’m not getting any money. I worked in healthcare for 18 years and I was diagnosed with Kidney Disease and Fibro and its been kicking my butt.

    Scared and Uncertain Nov 19, 2017  #334

  • Paul, if your LTD carrier asks you directly about receipt of SSDI or sends you a claim form with an inquiry and you withhold that information you could be committing insurance fraud, so I would caution you tremendously. With respect to potential bankruptcy you would need to speak with a bankruptcy attorney to best answer your questions pertaining to same. If you would like to discuss the possibility of securing a lump sum buyout of your policy please feel free to contact our office.

    Stephen Jessup Nov 1, 2017  #333

  • I am on LTD from my company’s group carrier. My last bit of paper work to file for social security disability was in April 2017. I was awarded social security disability benefits in June of 2017 which is quite fast considering that it can normally take years to get approved. My LTD carrier does not know of the award of social security disability, nor the back pay amount that I received. How do LTD carries know when a person starts receiving social security disability and the amount of the back pay award amount except for what was provided on my social security letter? I will likely be disabled for the remainder of my life and my policy states that for physical disability I should be covered until age 65 and I am currently 53 years old. If my payments were to be offset by my monthly social security disability pay, I would still be receiving $1495 from my disability carrier.

    I do not plan on telling my LTD carrier of my social security award, nor the back pay that I received. Not only that, I had to spend a major portion of my award to payoff debt so that my wife (who is also disabled) and I will be able to afford to live on just our social security disability income because my LTD carrier has a habit of terminating benefits without just cause. That happened to me this year. I appealed and won, but it took them 3-months to overturn the termination. I realize that eventually my LTD carrier will find out about my social security disability award, and that my policy will likely be terminated for refusing to reimburse them the back pay and all over-payments. They are also likely to file suit against me for the money owed which will result in a judgment against me.

    I have been considering filing bankruptcy, but I am basically judgment proof due to the limited assets that I have and my state’s exemptions that I can claim. I have read where the LTD carrier could object at the creditor’s meeting. If they are successful in their objection, then the back pay and over payments will still remain as a judgment against me which lasts for 10 years and then expires without the possibility of it being renewed. I do not plan on selling or refinancing my house because I already have a really good interest rate and we plan to stay in this home the rest of our lives.

    Are there any other concerns that I should be worried about other than an eventual termination of my benefits and a possible judgment against me? Should I hire an attorney that can try to work on a lump-sum buyout of my policy so that I don’t have to pay back my social security lump-sum payment and the over payments that I have received? One last thing, do LTD carriers search these forums looking for potential claimants that match the information described? I found this forum through a simple Google search regarding lump-sum pay backs to LTD carriers.

    Paul Oct 31, 2017  #332

  • Vanessa, it is important to get an appeal in before the deadline to preserver your legal rights. Additionally, Cigna gives a voluntary level of appeal so if they uphold the denial you would get a new 180 day period to appeal. Of practical importance – even though Cigna has denied you, if you receive SSDI, Cigna would still have rights to recover an overpayment. By appealing the case, and thus preserving your legal rights, that would leave the opportunity to file a lawsuit where during settlement negotiations that occur during the course of a legal action, waiver of SSDI overpayments can be discussed as part of a potential settlement. Please feel free to contact our office if you would like to discuss your claim further.

    Stephen Jessup Sep 28, 2017  #331

  • Hi Stephen,

    Thank you for your quick response! Actually I haven’t appealed yet, I just had my SSA hearing in August and it looks promising. I had a hard time at the end with Cigna so I don’t know if I have the mental fortitude to continue working with them!!! Anxiety makes my conditions a lot worse and these people were calling me on a weekly basis and asking me to send things nonstop. And if I didn’t have any updates they’d get very rude about it. I don’t have much time left to appeal but we’ll see.

    Vanessa Sep 27, 2017  #330

  • Vanessa, Cigna would still have rights to any funds paid by the SSA that overlap with the timeframe they paid you. Did you appeal the denial of benefits?

    Stephen Jessup Sep 26, 2017  #329

  • I had Cigna LTD benefits for the last two years and they ended my benefits in March citing I no longer met their definition of disability. I’m in the middle of a SSA disability application and just had my hearing. If I am awarded Social Security Disability benefits and back pay, will I still have to reimburse Cigna even though they are no longer giving me benefits and haven’t been since March?

    Thank you!

    Vanessa Sep 25, 2017  #328

  • Miosotis, it is not uncommon that there is still an overlapping period of benefits paid by an insurance company that is not reflected in a back benefit check. For example if a back benefit check represents payment for January 2017 to July 2017, yet the carrier paid the full benefit for August and September, then they would have a right to recover the back benefit plus the two months. Or, the carrier is not accounting for an attorney fee award. If that is the case you will need to provide evidence as to any SSDI attorney award.

    Stephen Jessup Sep 20, 2017  #327

  • Blanca, the carrier is entitled to recover up to $1700 for each month they paid.

    Stephen Jessup Sep 18, 2017  #326

  • I have to pay over payment to my LTD insurance, but they want more than what a got awarded from social security. I need advice I don’t have the amount they want. Can they charge more than what a got awarded? I’m with Sun Life Financial.

    Miosotis G. Sep 14, 2017  #325

  • My husband have LTD they give to him $1700 a month, he also get SSDI for $1800. Now the LTD said he was overpaid and he has to give back around $10,900 dollars. How he was over paid when they paid less then social security?

    Blanca Sep 13, 2017  #324

  • Vern, if you are on claim the LTD carrier will explicitly ask you if you are receiving SSDI benefits. If you do not answer truthfully on a claim form regarding same it could lead to potential legal actions against you.

    Stephen Jessup Sep 4, 2017  #323

  • Ken, there stands a likely chance your carrier will not learn of the award of SSDI, especially if you did not use one the carrier’s suggested advocator groups.

    Stephen Jessup Sep 4, 2017  #322

  • How does a ltd carrier find out you made application and was awarded ssdi benefits to include any back pay unless you tell them?

    Vern Sep 1, 2017  #321

  • I applied for SSDI in 2015, and was approved in 2017. During this time I received 12 months of benefits from a group long term disability policy. They dropped my claim in 2016. Is it my responsibility to contact them to inform them of the SSDI favorable ruling? If not, what is the statute for insurance company to request repayment?

    Ken Aug 31, 2017  #320

  • Tammy, you will need to provide proof to Liberty Mutual that the SSA discontinued your daughter’s benefit. There are formal letters from the SSA as to same. Upon receipt, Liberty will have to reimburse you all of the money they have withheld on account of the DSSDI.

    Stephen Jessup Aug 29, 2017  #319

  • I have been on SSDI for 7 years now. Liberty Mutual is my LTD. They have been taking an offset for my daughter who is 23 now. I was told by my caseworker from Liberty Mutual that she was still entitled to benefits as long as she stayed in school. According to Social Security the age is 18. So I believe I am going to owe them alot of money. Will they take my SSDI check for repayment or will I be able to make payments.

    Tammy Aug 27, 2017  #318

  • Mark, you will only be able to deduct the amount awarded by the SSA to your SSDI attorney from the amount of the overpayment owed to Cigna.

    Stephen Jessup Aug 16, 2017  #317

  • I received LTD benefits for 8 mos when Cigna cut off the payments and stated that I was not disabled. I hired an attorney, and Cigna restarted benefits and paid back a lump sum for the 13 mos that they had previously denied: this attorney took 50% of the award. I also had to hire an attorney to appeal Social Security Disability denial: he will take 25% of SS award. I have been approved for Social Security now. Will I be able to deduct the costs for both attorney’s fees from the overpayment that I have to pay to Cigna? Thanks!

    Mark Aug 12, 2017  #316

  • Bob, MetLife would only be able to cancel your claim if they determined the medical information did not support ongoing disability. If there is an issue with the SSDI amount and their monthly benefit then there could be an offset issue resulting in an overpayment of benefits – but that in and of itself would not be grounds to deny your claim for benefits. Another thing to consider since you have been on claim for so long is potentially securing a lump sum buyout from MetLife. If you would like to discuss the possibility of same, please feel free to contact our office.

    Stephen Jessup Aug 9, 2017  #315

  • Tonylab, typically, yes – however if it has been an extended period of time since the STD claim closed the carrier/employer may never become aware of it. Was the LTD claim ever appealed?

    Stephen Jessup Aug 3, 2017  #314

  • DReyRose, Allsup is not your insurance carrier, they are social security advocator company hired by your insurance company to assist in obtaining SSDI. With respect to your questions: (1) Yes, your wife would be responsible for any overpayment resulting from the receipt of SSDI and the back benefit check. Employer provided disability insurance policies always contain these offset provisions. (2) I cannot advise you as to what you can do with the money, only tell you the insurance company unfortunately has a contractual right to the money so you could find yourself in collections or similar legal action. There is no difference between the idea of overpayment and back payment – SSDI is a dollar for dollar offset to your wife’s policy so the carrier is entitled to recover the back benefit amount as they have the right to reduce by the SSDI, and they will reduce your wife’s check going forward by the amount she receives from SSDI.

    Stephen Jessup Aug 3, 2017  #313

  • Quick question for you. I have been on Met Life Disability since 2010 for numerous back surgeries that went wrong. I have an intrathecal morphine pump for the pain. Every so often I get a letter from them requesting medical info from my doctors and additional info on my SSI disabilitybenefits. I gave them the info and realized since Jan 2016 I didn’t give them my gross total. They are now requesting more info. Can the cancel my claim because I made a stupid mistake?

    Bob Aug 2, 2017  #312

  • All I keep seeing is claims for reimbursement LTD. My wife was on Short Term disability and when it came time for it to go into LTD, the claim was denied. She eventually was awarded SSDI. Do the repayment as mentioned for LTD also apply for STD?

    Tonylab Jul 29, 2017  #311

  • My wife was recently approved for SSDI. She was also given “back pay” for her time on LTD. However, the company paying her LTD, is called Allsup. They are now saying she has to give them her entire back pay amount of $34,000. Because of her inability to work, we’ve incurred quite a bit of debt and planned on using that money to pay that debt off. I guess my question is 2 fold.

    1) Do we really have to pay them the entire amount? I mean, whats the point of having insurance if you have to pay it all back like this? Its not like we made any real income, this was basically 1/3 of what she was making and honestly, still isn’t enough to pay off what we’ve incurred and lost because of this.
    2) Can we use that money to pay off this debt and make monthly payments back to Allsup?

    May I also ask, is there a difference between “overpayment” and “back payment”? I don’t know this whole thing seems like scam. She was awarded $1100 a month. What the hell is that going to pay when her income was 3 times that? In addition, then pay them for a benefit that was supposed to be provided to help us if this ever happened?

    DReyRose Jul 29, 2017  #310

  • Bry, the offset should be based on the initial benefit amount awarded – that is at least the way it is typically calculated. Has the carrier provided you an explanation of how the offset was applied – if not, I would demand one and then question as to why they are not using the original SSDI award amount.

    Stephen Jessup Jul 25, 2017  #309

  • JW, they would have a right to collect the overpayment for likely at least a 3 year period before a Statute of Limitations could expire (most policies have a 3 year clause). Did you ever appeal Hartford’s decision? If so you would at least still have the ability to bring a civil suit against them to try to continue your benefits or reach some type of lump sum settlement that could include a waiver of any applicable overpayment. If you did appeal the denial, please feel free to contact our office to discuss your options.

    Stephen Jessup Jul 25, 2017  #308

  • It took 4 years to be approved for SSD and during that time I was receiving LTD payments. When the SSD/LTD offset was figured it was in current time not 4 years earlier when SSD payments would have been 10% less because of cost of living increases. I feel like I have been shorted.

    Bry Jul 24, 2017  #307

  • I received LTD benefits via The Hartford for 2 years. They required me to file and appeal claims for SSDI. As of January 2017, The Hartford has stopped payment. I have not been awarded any SSDI up to this point, but will have a hearing with a judge in August 2017. It is my understanding that any overpayment that is awarded from SSDI is owed to The Hartford during the same time that they had paid me.

    Is there a statue of limitations that The Hartford has to abide by regarding a time limit to requesting reimbursement?

    They have stopped paying me and I have had no further contact with them. The attorney I am using was provided to me by The Hartford and states that they are reimbursed by deduction of SSDI awards or if SSDI denies the claim, then they receive no payment. They have also stated, that it is in their experience (but not a guarantee), that The Hartford does not typically go forward with acquiring any overpayments.

    JW Jul 21, 2017  #306

  • Susan, MetLife would still have a right under the policy to recover an overpayment. However, MetLife may not find out about the award of benefits if they have closed out your claim in the system.

    Stephen Jessup Jul 7, 2017  #305

  • My LTD from MetLife has a cap, ending this month. My ssd/ssi court hearing isn’t until October of this year. If approved, do I have to send to MetLife since I won’t be under thier plan any longer?

    Susan B. Jul 7, 2017  #304

  • Hankster, the onus would be on you to advise them. Should you wait it will only result in a much higher overpayment being due to the carrier. Furthermore, as the SSA standard is “any occupation” having this information into the carrier over a year in advance of the change in definition will only add further support to your claim.

    Stephen Jessup May 30, 2017  #303

  • My SSDI was recently approved and back pay was direct deposited into my bank account. Is the onus on me to share this information with my LTD carrier now and will that benefit me in any way? Or should I just wait until they do their due diligence and find out that SSDI has approved and paid me? My thinking is to wait, since I fear that once I send back the overpayment they will start their denial process on me, as that seems to be the modus operendi of most of these LTD companies. Also, should I attempt to negotiate a repayment plan (as opposed to sending them the overpayment in one lump sum), proposing that they hold back their monthly payment until they’ve caught up to the overpayment amount (it should only take about 4 months). I have 14 months left before I reach the two year any occupation criteria, at which point I’m sure they will send me a denial, if not sooner.

    Hankster May 29, 2017  #302

  • Tanisha, I am sorry to hear of your loss. The carrier could still have a right to the overpayment. If you have an estate attorney I would suggest you discuss with him/her. I would also recommend, if you haven’t, that you advise the carrier that your mother has passed away. There may stand a chance that they will write it off.

    Stephen Jessup Apr 26, 2017  #301

  • “Wife in worry”, Prudential would have a right to recover an overpayment but I would not expect them to file a lawsuit. When you say that they stopped paying him last spring/summer, do you mean his claim was terminated? Were any appeals ever filed?

    Stephen Jessup Apr 25, 2017  #300

  • My mother was received long term disability benefits from 2016 to 2017 and was approved for SSDI last month. She passed away on 04/03/17 and we have received a letter from the long term disability company to pay the over payment. Do we still have to pay this if my mother is deceased?

    Tanisha W. Apr 25, 2017  #299

  • Husband began receiving paid into LTD from prudential in 2014. He had stop receiving them for whatever reason on prudentials part and we did not push for anymore last spring/summer. As of this year they are demanding that he owes them in overpayment. And has plans to pursue legal action. He is unable to work due to renal failure and has no assets and was unaware of the clause that of he received ssid that it offsets the LTD? Can they sue him? Is there a way to fight back if they stopped covering him ?

    Wife in worry, maryland Apr 23, 2017  #298

  • Jason, regardless of the reimbursement agreement being signed, the policy language would govern that the amount received would be an offset under the policy. Unfortunately, not knowing the provision is in the policy would not alleviate any obligations regarding to overpayments.

    Stephen Jessup Apr 18, 2017  #297

  • Glenn, Cigna would have a right to repayment of any SSDI back benefit portion that overlaps with the timeframe they paid you. If you have not appealed the December denial and had your benefits reinstated then Cigna will not be issuing any additional benefits. If you have not appealed the Cigna denial please feel free to contact our office to discuss the process of filing same.

    Stephen Jessup Apr 14, 2017  #296

  • I’ve been on LTD through my previous employer for almost 2 years. About 6 months ago they made me apply for social security disability. I got approved last week and I called my LTD caseworker the next day and told her. She asked me if I received any back pay. Today I got a letter in the mail saying they needed me to sign a Social Security/REIMBURSEMENT AGREEMENT. After reading the agreement it was clearly suppose to be signed before I even applied for social security. Is it me or did the LTD company make a major screw up?? Do I have a case here since I was unaware this whole time due to their mistake? Thanks!

    Jason S Apr 13, 2017  #295

  • I was on LTD from Cigna for 24 months then they stopped paying in December. I was approved for SSDI in March. My question is: after I pay back Cigna the 24 months backpay am I entitled to payments for the five months that I didn’t receive any LTD and can I withhold that amount from my SSDI backpay?

    Glenn Apr 11, 2017  #294

  • Morgan, does your inquiry pertain to a concern of an overpayment to a private insurance company such as MetLife or Prudential, or is it solely on how the SSA computed your benefit? If it is the latter we would not be the best source for your inquiry and I would not know who to direct you to outside of requesting a complete accounting from the SSA. If you do have concerns regarding an overpayment due to a private disability insurance company on account of the SSDI award please feel free to contact our office.

    Stephen Jessup Apr 4, 2017  #293

  • I have been pending for SSI/SSDI for the past seven years and just recently got a favorable decision. I just received my first retroactive SSI check which was $31,000 and they said for my SSDI backpay I’m owed $71,000. I would like to Avoid the whole problem of them messing up with their numbers and then me owing them money so I’m curious as to if I can hire a lawyer to look over my paperwork to make sure the numbers are accurate or a financial advisor and if so which one and what type of lawyer if it’s a lawyer what I need. What type of person could help me with this?? Because with numbers this large if I end up owing money back it could possibly hurt me very badly.

    Morgan M. Mar 29, 2017  #292

  • Donna, the insurance carrier could withhold your monthly benefit to apply towards the overpayment, send you to collections or try to place a lien on your property.

    Stephen Jessup Mar 23, 2017  #291

  • Tina, if there is an applicable overpayment on the file it would create an obligation. Based on the amount I don’t know how much of an issue the insurance company would make. Are they aware of the overpayment?

    Stephen Jessup Mar 23, 2017  #290

  • Good morning. I am currently receiving long term disability through my employer. Once I receive my SSI, what happens if I don’t pay them all of my back pay? Can they garnish my SSI?

    Donna Mar 23, 2017  #289

  • I was overpaid by my disability insurance in the amount of $1094.00 I started a job the day I was released from my doctor and provided all this information to my insurance/ disability Metlife. They apparently still overpaid me a week out after the Date. Am I obligated to pay? What would an insurance company do in this case? I do not have the money to pay them.

    Tina Mar 22, 2017  #288

  • David, the carrier would still maintain any rights under the policy to collect any applicable overpayment if they were to find out. Did you ever appeal the denial of benefits? If not, you could be precluded from bring a lawsuit against the company for terminating your benefit.

    Stephen Jessup Mar 8, 2017  #287

  • I received LTD for a year then was fond fit to return to work by the insurance companies doctors. After being off of the LTD for 6 months my Social security disability was approved. Do I still have to pay them back if they dropped me? I did sign the offset agreement and would I be able to sue them for dropping me?

    David L. Mar 6, 2017  #286

  • Charlene, although SSDI is evidence of disability to be considered as part of your file, Unum can still determine based on its own reviews that you no longer meet the definition of disability and terminate your benefit. Have you considered requesting a buyout? Please feel free to contact our office to discuss your options.

    Stephen Jessup Feb 24, 2017  #285

  • Mickey, they have a right to seek repayment if the back benefit reflects benefits paid during the period that Unum paid you, if it does not, then know. Also if it has been 7 years since your Unum case I don’t know how realistic it would be that they would know you received SSDI or that they contact you.

    Stephen Jessup Feb 24, 2017  #284

  • I have UNUM for long term disability. They have been a nightmare. Can they decide I am no longer disabled and qualify for payment from them, even though I have been deemed 100% disabled through SSD?

    Charlene Feb 21, 2017  #283

  • I just wo. My SSI and SSDI case 7 years later. Could Unum collect my backpay? I was with Unum from my former employer for a little over a year.

    Mickey Feb 21, 2017  #282

  • Thomas, the carrier could attempt to place a lien on property or send you to collections.

    Stephen Jessup Feb 14, 2017  #281

  • Sue, employer provided retirement plans, especially those funded by the employer as opposed to a complete deferred compensation plan, are almost always an offset under a disability insurance policy. A full list of these offsets is found under the policy section regarding sources of “Other Income.” Please feel free to contact our office to discuss your situation further.

    Stephen Jessup Feb 13, 2017  #280

  • What happened if he has already spent the money?

    Thomas S. Feb 11, 2017  #279

  • I signed an agreement to pay Hartford the LTD if I was awarded SSD. My case is still in appeals but in the meantime I started receiving my pension. Hartford says I owe them 16000 because of the pension but I have a copy of my signing to repaying for receipt of SSD ( and no mention of any other sources). Hartford is saying it is in their ” handbook” for me to do so. I was very sick when I started this process and in no mind to sign anything but I do remember signing for SSD and I have no proof or signature to anything other than SSD. Am I obligated still? I am on a small pension and don’t have 100, much less 16000.

    Sue Feb 8, 2017  #278

  • Aidan, your only responsibility under the policy would be to repay any overlapping period of time that Prudential paid. That being said – with respect to your policy ending after 24 months, is this due to a medical condition only covered for 24 months (such as a mental health claim) or a denial because Prudential thinks you can do other work? If it is the latter you would have rights to appeal the denial of benefits. Please feel free to contact our office if you wish to discuss further.

    Stephen Jessup Jan 24, 2017  #277

  • It’s pretty obvious the insurance companies are getting away with egregious behavior. We suffered as well. I have sedgwick. I am on disability. I recieved a comp and release from work comp and they took that. I recieved medical payments from work comp. They took that. These payments were from injuries prior to being disabled, but, sedgwick drug their feet and it was all done while on disability. If I would have known this, I would have Never settled. I signed off for nothing! I was approved for ssdi. As soon as I got the retro money, they took that too, ie. Shut off my benefits. I have read where if they are governed by ERISA, and according to title 42 ssdi they have to have no financial interest, therefore they can take it? ( their actions say they do). Secondly, they have to prove the funds they are pursuing are theirs. According to ssdi they cannot take funds. I do not recall signing anything, therefore, probably why they have not sued me. So without handing over half of what I should get, or pay 15k in advance. What are my options? Ie. First step? Also they claim they can take my husbands social security. We were not married when I purchased this policy. AND, if a contract exists, there was no disclosure of any of the egregious things I have written about. I think this was all done in deceit and coercion. No benefits if you do not sign our paperwork when you are under duress and no other income. How do we fight?! Guys, we have been stripped by the big corporations and by the last few lousy presidents. Is it acceptable that bankrupting people while the insurance companies are getting wealthy good? Special interests lobbying criminals? They all Belong in jail for doing this to the people. Please help! I need to recover my funds and these are the only options I have found, but, never the details to build the case. Fan we cancel the contract for deciet, but, maintain the benefits since that was what was sold?

    Sludington Jan 21, 2017  #276

  • Hello, I’ve been receiving LTD benefits from Prudential through my employer, however the 24 months granted through my policy expires in Feb 2017; I’ve received a letter terminating my claim. I did sign the standard repayment agreement should I get an SSDI award. They suggested that I apply for SSDI back in September 2016, which I did. I did not go through a third party such as Allsup, though they tried to get me to use them; I applied on my own. SSDI has not come to a decision as of yet and since Feb is the last month that Prudential will cover me, would I still have to pay back any overpayment amount should SSDI approve my claim after February?

    Aidan Jan 20, 2017  #275

  • Maria, unfortunately, I am not aware of any potential legal recourse you would have against Hartford for the hiring of the investigators. With respect to SSDI overpayments, Hartford would be entitled to recovery of any overpayment stemming from the receipt of SSDI benefits and the time frame they have paid.

    Stephen Jessup Jan 9, 2017  #274

  • The Hartford was my LTD Company, they basically tied my hands and told me if I didn’t agree to sign with the Advocator Group they would cut me off financially. Due to lack of funds and the inability to work because of injury, I signed. The Hartford then sent me to their IME and we all know they are in the insurance Company’s pockets. That IME said I could work full time, long story short none of my medical reports or doctors agreed.

    Here is my two part question The Hartford hired PI’s to follow me and they broke the law and harassed me, beyond what I can go into right now. It was horrible and frighting. The Hartford paid these henchmen over $10,000 to make my life and my sons life a nightmare. Can I do anything about this?

    Second I did sign a form when the Advocator assigned a Attorney for my ALJ hearing, he didn’t do his job and only talked to him for less than five minutes on the phone, second in court visit less than 5 minutes due to another case.

    Do I have to pay The Hartford for my back pay from SSDI for the last four years of fighting ? I have done the work not the Advocator Group and I had no income at all for over a year in a half.

    Thank you
    I finally won and am about to get my money.


    Maria Jan 5, 2017  #273

  • Wayne, you should not be responsible for the amount awarded to your attorney, but the SSA cap for payment is $6,000 so I am not sure how your attorney was awarded $9,000. Your carrier may be paying you the “minimum benefit” under the policy- you will need to inquire with them as to the $350 going forward.

    Stephen Jessup Dec 22, 2016  #272

  • NAME WITHHELD, if MetLife discovers the income they will certainly come after you for any applicable overpayment, which could include garnishing your entire disability benefit until it is paid off, and/or terminating your claim for benefits if your policy does not allow you to work and collect disability benefits.

    Stephen Jessup Dec 21, 2016  #271

  • Jim, technically, any overlapping periods of payment between the LTD carrier and SSDI would result in an overpayment, but your carrier may not be aware or ever know if no action has been taken on your claim since Feb 2016. Did you appeal the denial within the 180 day deadline? If so, you would still have rights under the policy, to include filing lawsuit. If you did not file the appeal then you potentially have no further rights under the policy.

    Stephen Jessup Dec 21, 2016  #270

  • I was given STD payments at first then denied LTD by disability insurer , and SSDI by SS . Hired an attorney for representation . After 2 yrs. received $27,000 from insurance for back pay . Of which attorney was paid $9000 . 6 mths later received $43,000 from SSDI . Of which attorney was paid $5,000 . Both times the attorney fees were deducted from the awarded money and was paid the attorney with a with a separate check . Now LTD insurer wants to be reimbursed the $27,000 . How much of this will I be required to pay {$27,000 or $18,000 amount received after attorney fee} ? Also my LTD was $1500 per mth – my SSDI is $1900 per mth , for the last couple of months LTD has been paying me $350 per month , what will be status on this when all is said and done .

    Wayne Dec 20, 2016  #269

  • Hi,
    First thing first, I am collecting both SSDI and LTD. I’ve been working part time on and off for almost 6 years and haven’t reported the income to LTD (MetLife) during that time. I know I’m supposed to report the income, but I am still heavily in debt. I don’t have any money saved unfortunately. My question is, what happens if I can’t pay back the overpayment to LTD (MetLife)? I forgot to mention, I am HIV positive, have bad psoriasis, diabetic, and fatigue. What to do? Please help.

    NAME WITHHELD Dec 20, 2016  #268

  • I received long term disability payments from my former employer from feb 2014 until feb 2016 .they sent me to an ime and said i was no longer eligible for ltd ….i applied for ssd in 2014 and just received a favorable letter from my hearing … since they deyermined i was not eligible for ltd i have to repay them with my back pay. .Their doctor said i was able to work..vocational expert says no… since they terminated my benefits does that mean my ltd agreement was terminated as well

    Jim S. Dec 20, 2016  #267

  • Name, most policies do not state you have to sign the reimbursement agreement. Regardless, the policy will clearly give the insurance carrier rights to collect any overpayment even if you do not sign the agreement.

    Stephen Jessup Dec 13, 2016  #266

  • Are you required to sign a Long-Term Disability Insurer’s Reimbursement Agreement?

    Name Witheld Dec 11, 2016  #265

  • Lee, I am sorry, but I do not follow your question. If you already have legal representation, the terms of fees should be spelled out in your contract. If you are considering hiring an attorney, it would be a factor when determining what type of fee arrangement could be made.

    Stephen Jessup Dec 8, 2016  #264

  • I am in a similar situation, and am trying to decide if I should repay as agreed, or if I would rather manage that money myself. With the trouble people have with being wrongly dropped, it seems safer to elect to keep the money. How would that impact any LTD attorney fees?

    Lee Dec 5, 2016  #263

  • Thanks, Mr. Jessup (as soon as I receive my LTD file and written explanation of my claim closure from Cigna), I will contact you.

    Gerald Dec 3, 2016  #262

  • Gerald, you would have rights to pursue an administrative appeal of Cigna’s denial. Please feel free to contact our office with a copy of the denial letter to discuss your rights and how we may be able to assist you in filing same.

    Stephen Jessup Dec 2, 2016  #261

  • My LTD insurance carrier closed my claim 20 days ago without either a phone call or written explanation. Fortunately for my wife and I, Cigna did pay benefits through February 2017 (which was the 24th month of the policy period – own occupation). I was previously advised by A2K that my ALJ hearing would likely not occur until late 2017 or early 2018. We will not be able to meet our financial needs until then without additional income. If I file for unemployment insurance, I am certifying that I am capable and actively seeking work which is in direct contradiction to my ALJ appeal. Although I am still under supervised care, I believe that I am being forced to nullify my ALJ appeal. Please offer any assistance you can at this troubling time.

    Gerald Nov 29, 2016  #260

  • Berry, if you have a doctor supporting your claim then you always have a case, barring any potential policy language limiting certain conditions to a set period of time- such as a 24 month mental health condition limitation.

    Stephen Jessup Nov 8, 2016  #259

  • I know i have a previous message. I have contacted your office but still haven’t received denial from Liberty Mutual. It is coming up on my 2 year mark. I figure its going to be the any work clause they are going to bring up. I want to be proactive because I am getting beat down from these people AND Drs. My current situation is. Prone to P.E., still have DVT almost conclusive in right leg, Have severe bulging disc, ruptured disc, post laminectomy syndrome, chronic back pain, i have had the spinal cord stimulator implanted. I can’t afford anymore drs. Have tried to get 3 different neurosurgeons to operate. They are afraid of the conclusion due to blood clots and 2 previous surgeries. I am at a loss, and losing my mind worrying about finances. I am also seeing a psychiatrist by referral from my family Dr. Do i have a case when 2 years is up?

    Berry Nov 4, 2016  #258

  • Lucy, it would depend on the language in the policy. Many policies indicate a overpayment is recoverable even if the error was made by the insurance company. However, that does not mean you cannot fight them on it.

    Stephen Jessup Oct 12, 2016  #257

  • NW, I am sorry for your loss. You would need to speak with an estate/probate attorney to see what legal obligations you would have to re-pay the money.

    Stephen Jessup Oct 12, 2016  #256

  • I was diagnosed with cancer and began treatment in late April. I received short term disability benefits from my employer for a period of three months. My employer’s long term disability insurer approved my long term disability benefits effective the end of July. Note that throughout this entire time I continued to work as many hours as I could (in an executive administrative position) which I was able to do pursuant to the plan my employer had with the LTD insurer under a program where they encourage individuals to work part time and then compensate them 100% difference in their normal income compared to their earnings. In late August I received an LTD payment that I believed to be too large an amount. I contacted the insurance carrier due to my concern and their representative confirmed to me (via telephone) that the payment I received was indeed correct. Two weeks later, the representative contacted me to say that their automated system had sent me that check; that I had made 12.11 more than the allowable 80% of my salary for the month of August so I was not qualified to receive LTD; that they were terminating my LTD claim accordingly, and lastly that the amount that they paid me they would look to me to reclaim as it should not have been sent to me. Will I have to pay this amount back or do I have any legal ground to stand on?

    Lucy Jo Oct 3, 2016  #255

  • My husband was collecting a $1,000 LTD benefit from private insurance carrier since Sept. 2011.
    The carrier requested that he apply for SSDI & initially was denied. The case went to appeal & he was approved in May 2016. He rec’d a retro payment from Social Security in June 2016.
    Unfortunately, my husband passed away August 2016.
    I just rec’d a letter from the carrier requesting a back payment owed to them after his death.
    I’m I legally responsible for the repayment & should I respond to the carrier?

    Name witheld Oct 3, 2016  #254

  • Gerald, you most certainly can.

    Stephen Jessup Sep 13, 2016  #253

  • Mr. Jessup, thank you for your assistance and guidance during this troubling time of my life. Because of your insights, I will call your firm for further guidance. I have many more questions now because of your answers to my queries. Since you are somewhat knowledgeable of my dilemma, may I ask to speak to you? Good day.

    Gerald Sep 12, 2016  #252

  • Gerald, typically the third party vendor (Advantage 2000 or whoever) will continue to represent because they have a vested interested in getting their fee from SSA. If you are awarded the benefit, Cigna would still have a right to seek repayment for any overlapping period of time that benefits were paid by them that the SSA also issues a benefit. Any period of time Cigna didn’t pay you they would have no right to. If you have additional questions, please feel free to give our office a call to discuss your claim as you enter the any occupation review.

    Stephen Jessup Sep 12, 2016  #251

  • Mr. Jessup, thank you for your expertise and follow up. If I may, I have two more questions. I am 18 months into my LTD (Cigna providing benefit payments and initially utilizing Allsup and now Advantage 2000 for SSDI query). Advantage 2000 has informed me that I should not expect my ALJ hearing until late 2017 or early 2018. If Cigna chooses to end my benefit payments after two years (March 2017), should I expect A2K to follow through with representation at the hearing (since Cigna has walked away)? Secondly, if my SSDI ALJ hearing goes my way with A2K representing me, does Cigna have the right to expect back payment from me for the two years of benefit payments (when they walked away approximately one year earlier)?

    Gerald Sep 8, 2016  #250

  • Gerald, Advantage 2000 would be paid by the SSA for representing you. Cigna does not pay them if they are successful in obtaining the benefit.

    Stephen Jessup Sep 7, 2016  #249

  • If, I understand your response Mr. Jessup, does Cigna have to keep their contractual obligation to pay A2K to represent me until my ALJ hearing (that Cigna required me to accommodate, follow, and abide to)?

    Gerald Sep 5, 2016  #248

  • Paul, the carrier would typically not take into consideration any taxes paid on the SSA amount, but would credit any attorney fees. Is your carrier requesting a repayment? If it has been over 12 months since your benefits ended they may not even know of the award.

    Stephen Jessup Sep 5, 2016  #247

  • Gerald, yes, an LTD carrier can terminate benefits at any time it determines you are no longer disabled under the terms and conditions of the policy and therefore no longer entitled to benefits under the policy.

    Stephen Jessup Sep 5, 2016  #246

  • Rex, the policy would allow Hartford to seek overpayment for any months that overlap with the time they paid you and SSDI is paying a benefit. Hartford will provide you with a detailed explanation of any overpayment calculations upon request.

    Stephen Jessup Sep 5, 2016  #245

  • This is a follow-up to a previously submitted comment.
    I am currently receiving SSA retirement, and am having a percentage withheld for federal income taxes (having submitted a W-4). I was recently notified by SSA that I have been approved for SSA Disability. In the Award Letter, it states “The next check you will receive will be for $33,000, which is for the money you are due through July 2016”. This amount was arrived at after federal income taxes and attorney’s fees were withheld; the gross amount was $49,000. Both these amounts are far less than the total of all LTD payments received by me; I am now retired and received my last LTD payment 12 months ago.
    The LTD Summary Plan Description states that “the Plan has the right to offset the participant’s monthly benefit by amounts paid, payable, or for which there is a right to payment to a participant from SSA benefits”.
    I consider the “amount paid” to be the $33,000, since that is what I was given by SSA, and which I will gladly return. Am I on solid ground with that thinking? Thanks.

    Paul Sep 3, 2016  #244

  • Can my LTD insurance company stop paying benefits to me while I am waiting for my SSDI ALJ hearing (which by the way, my LTD carrier is paying for (A2K to represent me))?

    Gerald Sep 1, 2016  #243

  • Hello
    I have Hartford ltd and they have paid me 988 a month since 2012. I have lost ssi and appealed, lost again got an attorney to help and lost again got another attorney and we won a partial going back to july 2014. My quiston is now that I get ssi and received a backtime money how far back do I have to pay hartfoed. 2012 until present hartford payed 988 social security going back 20 months 1158. So do I have to pay them the money for all the months I do not get social security back time?

    Rex Aug 31, 2016  #242

  • Joao, please feel free to contact our office. Provide them with proof of filing as well as the form and there stands a chance they will refund that money due to the financial hardship. I recommend you put everything in writing.

    Stephen Jessup Aug 26, 2016  #241

  • Back on july 2013 I was giving a back pay agreement letter to sign to pay reliance when I was awarded ssdi benefits, I signed and sent the letter to Reliance , well for the first ten months of ltd benefits Reliance was holding an estimated ssdi benefits, after my wife read the contract we were able to call the administrator and ask him why they were doing that, the answer was i never answered his call, I ask him if he had my letter and he was not aware of any letter I ask him again to look in my file a few second later the letter was there, and at that moment he started to apologize and will stop the estimated, and would ask the upper management to see if I would get the ten months prior. the answer was not , it was my fault i knew it and I should’ve complain sooner, I have ask them several times about the same thing and they still denying of any wrong doing even the administrator apologizing for misplacing the letter. what should I do now, Im still waiting for SSd aproval, and I need the money.

    Joao Aug 25, 2016  #240

  • I understand that I have to pay back over payment to LTD after receiving SSI. But now, after 2.6 years, I find out that Cigna who was my LTD ins, did not inform my employer that I was no longer on LTD. Now I have to pay my employer 2.6 years of over payment for medical. How can a big company like Cigna get away with NOT DOING THEIR JOB which results in messing with my life????

    Pam Aug 8, 2016  #239

  • Paul, unfortunately, we cannot provide any type of tax advice, you will need to consult with a tax professional.

    Stephen Jessup Aug 4, 2016  #238

  • I am currently receiving SSA retirement, and am having a percentage withheld for federal income taxes (having submitted a W-4). I was recently notified by SSA that I have been approved for SSA Disability, and am expecting a substantial lump sum payment. My question is this: will that same percentage of tax be withheld from the lump sum, assuming I do not submit another W-4? Thanks.

    Paul Aug 1, 2016  #237

  • Amber, by having a lien/enforceable judgment against you and your assets.

    Stephen Jessup Jul 27, 2016  #236

  • tj, have they put it in writing that they will not apply the entire amount?

    Stephen Jessup Jul 27, 2016  #235

  • If you do not repay the LTD policy and they take you to court and get a judgment how can they collect that judgement. Like they cannot garnish your SSDI payment can they ? So how could they get their only is my question? Thanks

    Amber D Jul 25, 2016  #234

  • Greg-
    What do you do when the insurance company won’t deduct the entire $6k that SS did for the attorney? They are deducting most of it but still a few hundred is rightfully mine. What do I do? TJ

    tj Jul 22, 2016  #233

  • TJ, if you have already appealed the denial of benefits your only option would be to bring a lawsuit. I would be cautious of Hartford as a denial of Waiver of Premium is typically a precursor to a denial of LTD benefits- even in light of the new SSDI award. Please feel free to contact our office if you wish to discuss your situation further.

    Stephen Jessup Jul 7, 2016  #232

  • Hello,

    I went out of work on April 2014 and was put on STD. In Oct 2014 I was moved to LTD. The Hartford approved my claim. I was already receiving disability from the department of veterans affairs at a rate of 80%. I had a new claim in with the VA to be moved to 100% totally disabled. Everything was fine and The Hartford even carried over my life insurance from my employer and gave me a waiver for the premiums. Here is my problem, after almost two years of filing SSDI and appeals, I was awarded fully favorable from a SSDI judge on April 2016. Right before the judge made her decision, The Hartford canceled my waiver for my life insurance policy saying I don’t meet their definition of disable anymore but for some reason are still paying me for LTD benefits. I appealed but was denied even when the ruling came out of my approval for SSDI. Now they want me to pay a premium of $3,000.00 a month to keep my life insurance that I had with my employer. Now, who can afford that, especially one that is on disability? Is this wrong?? What are my options here?

    TJ Melvin

    TJ Melvin Jul 5, 2016  #231

  • Jamie, Prudential would still have a legal right to repayment of any overpayment amounts if they were to discover it was awarded. With that being said you do have rights to appeal the denial, and receipt of SSDI, though not in and of itself a guarantee to continued Prudential benefits, is certainly strong evidence in support of continued benefits.

    Stephen Jessup May 5, 2016  #230

  • I have been receiving LTD benefits from Prudential for 2 years. I was just approved for SSDI, have not received benefits or award yet. After learning of my SSDI approval, prudential terminated my claim with them, claiming that I can work again according to their standards. I know that they were entitled to my back pay from SSDI as an overpayment. But, since they have dropped me, can they still claim that award? I have my contract but there is nothing about this situation in it. Its only worded as if I were still an active customer. If I am no longer a customer, can they take my benefits that come after they drop me?

    Jamie May 3, 2016  #229

  • Jill, I think it is something you can reasonably request from Lincoln, and from my experience I have not had a problem with them working out some type of repayment plan.

    Stephen Jessup Apr 15, 2016  #228

  • I have LTD through Lincoln Financial. Like many others I’d like to repay them the retroactive SSDI payment on a payment plan, not as a lump sum. My SSDI attorney fee will come out of the lump sum and I need to pay some bills. Any idea if they will agree to that? Any idea if they have a history of suing beneficiaries?

    Jill Apr 14, 2016  #227

  • Dee, you can certainly work directly with Cigna to satisfy the overpayment, but you are correct that the third party (Advantage 2000) provided by Cigna will also coordinate this. Have you already advised Cigna of the award of benefits, and have they provided a letter detailing the overpayment?

    Stephen Jessup Mar 29, 2016  #226

  • Bella, based on your math, yes.

    Stephen Jessup Mar 29, 2016  #225

  • In reading all your comments I do understand that I must pay back the SSDI overpayment to the insurance company I have been collecting from for the past 3 yrs. I also see a comment that you suggested to Call Cigna direct to discuss this payment rather than just pay it back to Advantage 2000…??? I was under the understanding that they were a “team” to work for me to gain my SSDI approval and am awaiting the deposit of my retro pay of around $25,000… Advantage is calling almost daily to claim this deposit so do I just send it to them or call Cigna..??

    Thank you for your time.

    Dee Mar 28, 2016  #224

  • If you could please advise. Ltd pays 40% monthly 741.00 PR month… SSD backpay is 26 months so 741 times 26 months is 19266 minus 6000.00 attorney fee so the lump sum is 13266.00.correct since they only paid me 40% wich is LESS than SSD… this is all I should owe. They can only collect for the 26 months right. Thank you for your help.

    Bella Mar 28, 2016  #223

  • Mike, without plan documents we would not be able to say. However, if 3 years have passed and they have not contacted you about the money it stands a very likely chance they won’t.

    Stephen Jessup Mar 14, 2016  #222

  • Robert, you can certainly request the file on your own to provide to them. To hopefully ease your mind a bit, I have not seen a situation where the SSAI denies or overturns its own decision based on an private insurance carrier.

    Stephen Jessup Mar 14, 2016  #221

  • Susan, it is not uncommon for a carrier to apply an estimated offset for what it deems failure to apply for the dependent SSDI benefit. I would recommend you contact them with a copy of the application your husband made (or proof of filing) and request that they life the estimated reduction until such time that the DSSDI benefit is received.

    Stephen Jessup Mar 14, 2016  #220

  • My long term disability insurance wanted 75000 in overpayments after they claimed I was working part time they cut me off and I agreed to pay 500 s month which I did for a year. I stopped after that due to losing my job but never heard back from the company. It has been 3 years now and statute of limitations is 2 years. Does this mean they cannot come after me for the rest? Thank you for your reply.

    Mike W. Mar 12, 2016  #219

  • Hello from Maine. I’ve been on LTD for 3 months with UNUM and was just awarded SSDI. I sent UNUM my award letter and was expecting a calculation of overpayment. Instead they want my entire SSDI file which contains the contact info for the DDS. Now I am worried about UNUM communicating with SSA and causing a reversal of my award. Can this happen? I would rather lose my LTD and keep my SSDI if authorizing UNUM to get my SSDI files puts the award at risk. Thanks.

    Robert Mar 10, 2016  #218

  • Hello, I am receiving benefits from unum that are already offset by my ssdi. My husband is also disabled and has already applied for ssdi dependant benefits and is currently awaiting approval. Unum recently tried to persuade me to apply for ssdi dependant benefits although I had already told them that that my husband had applied.
    More recently, unum decided to jump the gun by estimating the ssdi dependant payments I would receive had I applied for them instead of my husband and offset my unum payment.
    Is this practice legal? -Susan in California

    Susan Mar 9, 2016  #217

  • Berry, please feel free to contact our office to discuss how we may be able to assist you in monthly claims handling.

    Stephen Jessup Feb 28, 2016  #216

  • Hi guys, Drs have been hesitant to do surgery on my back again do to recent surgery. The only thing I have been offered is to fuse. I have osteoarthritis, degenerative disk disease, and if fused i have been advised by neurosurgeon that fusion will be temporary because any disk not fused will be worn at an accelerated rate. Liberty Mutual was paying LTD benefits but started using very strenuous tactics about medical information to close my claim. Even though i have sent them restrictions from neurosurgeon, MRI report showing ruptured disk, canal narrowing, and other defects. Also MRI of hip reporting labral tear. To be honest i can walk a very short distance and left leg goes to sleep, right leg just hurts. I have contacted your office but have not received denial just closed. I have caught them in, well don’t want to say lies but thats what they were. My agent would tell me they haven’t received information. All i would do is simply call back and dial 0 and talk to another agent and they would say they have received the medical information. I am not highly religious by any means, but i am honest. I have told them the truth from day one and Liberty is very deceitful. I understand they need to have strenuous tactics to weed out dead beats this day and age. They should not treat everyone this way! Is there anything your firm can do before I am denied? Can i just sue for settlement now. I have applied for SSDI was denied once and appealed through a SSI specialized law firm. Don’t care to give them the whole damn check SSID back pay check if i am approved. I feel it will be hard to get approved since i am only 40. Main question is there anything we can do without the denial.

    P.S. There is also a clause from employer stating I can not return to work without 100% active duty release. I don’t believe I can get from any neurosurgeon. I would rather go back to work but can’t.

    Berry Feb 27, 2016  #215

  • Maxine, many employer provided policies contain language that indicates if your disability is caused by the negligence of a third party (in this case an automobile accident) any settlement proceeds from any action against said party would be an offset under the policy. However, without seeing the policy we would not be able to definitively know what your obligations for repayment under the policy are.

    Stephen Jessup Feb 20, 2016  #214

  • I was involved in a automobile accident and was receiving disability payments since I could no longer work.Unum forced me to apply for SSDI and I was awarded SSDI.Upon reaching a settlement from my car accident Unum said they overpaid me when they added my settlement from car accident and SSDI award.Can they recover my settlement money from car accident an say I was overpaid.I realize they can use SSDI award as overpayment .Please help me this company is ripping me off.

    Maxine Feb 19, 2016  #213

  • Donnell, unfortunately, most policies include dependent SSDI benefits received based on your disability a source of “Other Income” subject to offset under the policy. We would need to see the correspondence in order to determine any liabilities you may have. Regardless, most policies contain a “minimum monthly benefit” that will pay some amount (typically $100 or 10% of the gross monthly benefit, depending) regardless of all other sources of offset income.

    Stephen Jessup Feb 5, 2016  #212

  • Christine, MetLife would have no rights to any money paid to your attorney or for any month they did not pay you a benefit. You say that the claim ended September 2015- is that because they determined you were no longer disabled or because of the end of 24 month limited period for certain conditions? If it was for the former then you are still within your appeal rights, though time is running out.

    Stephen Jessup Feb 5, 2016  #211

  • I was on both short term and long term disability from 3/13 to 10/15. I applied for SSDI and was approved all the way back to my onset date (3/13). I will receive a lump sum overpayment of 64,000. My LTD with Met Life ended at the end of 9/15. The lump sum includes payment for 10/15, 11/15 and 12/15. They also took out my attorney fees of 6000 from the lump sum – the 64000 is after the payment for the attorney.

    I’m confused as to whether I get to keep my payments for the 3 months in 2015 I was not receiving benefits from Met Life and the 6000 attorney fees from the lump sum.

    Am I entitled to remove that amount before paying MetLife?

    Christine Feb 4, 2016  #210

  • After appearing before ALJ. A decision was made to approve my disability. My onset date however was changed to 04/01/2014. I received a retro check in Dec 2015, and received a letter from MetLife and the company I had representing me called Allsup telling me how much I owed them back. I paid the amount that they sent me in full. After they received that payment, about two weeks later I receive a letter from the company representing me stating I may owe a balance if I should receive benefits for my kids. MetLife was paying me half of my monthly income base on what I was making with Verizon Communications monthly. Now they are say that I may have been receiving money for my children which was included in the 50% of my monthly payment from them. How is that even possible? My income from my employer was not based on my children, it was based on what I made hourly. Can they come back and do that? I paid them over 32,000 with no hassle. For example 50% of my monthly is 2700.00 that MetLife is paying. I am awarded 2300.00 from ssdi. So I pay them retro for amount I was awarded by ssdi. MetLife will stil be paying me 400.00. So they are saying I may have to pay that 400 back going from onset date.

    Donnell Feb 4, 2016  #209

  • Mike, if your policy is governed by ERISA, any legal action under the policy will be the jurisdiction of the federal courts. ERISA does not allow for jury trials. Additionally, if your SSDI award came after the final denial of benefits and/or the information as to SSDI is not in the administrative record, a Judge cannot factor receipt of SSDI as proof of disability for purposes of trial. Unfortunately, regardless of the decision made by the LTD carrier they would still have a legal right to assert an overpayment for any period of time they issued benefits that coincides with a time period SSDI is attributed to. If you were to go to trial and lose, the LTD carrier would still be able to go after you for the repayment. The LTD carrier will not garnish your SSDI, but would assert a personal judgment against you. Please feel free to contact our office should you have any additional questions regarding a potential civil action and what the possible outcomes and options you have may be.

    Stephen Jessup Feb 2, 2016  #208

  • If the LTD carrier has cut you off after two years by saying that you can do “other jobs for which you are reasonably well suited”, and SSDI awards benefits based on “inability to do any substantial gainful activity that exists in the national economy considering age, education , work experience and residual functional capacity” , and you have appealed the cut off of the LTD benefits, can you refuse to pay them back out of the SSDI award? If they try to sue you aren’t you just going to have a counterclaim? Does that go to state or federal court and do you get a jury? Most insurance companies are not going to want to take that before a jury. If you are denied on your internal appeals do you have to go to federal court under ERISA or can you just assert the counterclaim if you are sued without taking the appeal on the denial further? If you take the claim to federal court and lose, isn’t that going to be able to be used to bar the counterclaim whereas if you just go through the administrative appeals, there is no judicial determination. Also, if SS benefits are not subject to garnishment, how would they collect any judgment?

    Mike Feb 2, 2016  #207

  • John, when was the initial denial of benefits? Did you ever appeal that decision? Your claim for benefits would stem from the initial date of disability, so if you still have rights under your STD and/or LTD policy. Please feel free to contact our office to discuss how we may be able to assist you.

    Stephen Jessup Jan 30, 2016  #206

  • I initially filed for short term disability a few days after taking a ldisability leave from work and Cigna denied my claim. As a result I went without any income to this day. My company sent a termination letter today citing my disability as the reason sine I have been on leave for over a year and denied my leave extension. Since my company fired me because of my disability am I able to file a back claim with Cigna even though my insurance lapsed a month after my leave?

    John Jan 29, 2016  #205

  • Amelia, your best course of immediate action may be to contact Aetna to see if in fact the back benefit proceeds were forwarded to Aetna already, and also to advise them that the fee to Advocator group was $5376 and not the $4500 they subtracted from the overpayment amount.

    Stephen Jessup Jan 29, 2016  #204

  • Hi there,
    I have two concerns. One is that I was awarded my SSDI back pay in December and also received a letter from my LTD carrier with two payback amounts (a net and a gross). It was stated that it would obviously benefit me to pay the lower amount which had to be done by Dec 31 otherwise after that date the higher amount would be due. I was told to communicate though Advocator Group (the attorney representative as far as making the payment). Advocator told me not to send a check because it may take too long to process as in after the first of the year and they suggested Electronic Funds Transfer since it would be immediate. I made the transfer on the morning of Dec 28 and by the next day the money was gone. I received a follow up letter from Advocator Group dated January 12 stated they had sent the overpayment to Aetna. The letter never reflected the amount I paid nor the date I made the payment. Recently I logged on to Aetnas site to download my tax info and noticed under the tab labeled Overpayment Details it was showing the exact amount of the difference between the gross and net amount as if I still owed that with a box that said “Make a Payment”. Why would I be responsible for that if I paid the amount they asked, in the time frame asked, the way they asked for it to be expedited?
    My second concern is that Social Security withheld $5376 out of my back pay to send to the attorney for their fees (a standard percentage). In the overpayment letter I received from Aetna they stated they had deducted Advocator Groups fees which was $4500. I mentioned this to Advocator because my SSDI award letter stated that either myself or the attorney must notify them within 15 days if the amount they withheld was incorrect. Their response was “The most important thing we need to worry about now is you paying back this overpayment to Aetna and once they get their money & we see that you’ve done that we’ll then contact SS and let them know they overpaid us and SS will probably direct deposit what is owed to you.” I was still worried about the 15 day deadline so I called SS myself & they told me to go ahead & mail in a copy of my award letter & Aetnas letter showing the actual fee they charged Advocator Group. I did. A couple of weeks ago I’ve been calling Advocator asking about the money they owe me as well as when they paid my overpayment to Aetna & they won’t give me a direct answer they keep saying “We need to know if you’ve filed for your dependants benefits yet”. I contacted Social Security and they said its now out of their hands, that they went ahead and sent out the check for $5376 to Advocator Group and suggested something about filing a complaint if they try to keep that extra money. How should I best handle this? Thank you so much for your time.

    Amelia Jan 29, 2016  #203

  • Bryce,

    The carrier will still find a way to recover their money by withholding benefits until it is satisfied, or worse – file suit to recover.

    Stephen Jessup Jan 20, 2016  #202

  • What happens if you don’t sign reimbursement agreement?

    Bryce Jan 20, 2016  #201

  • Ken,

    The SSA does not notify a private disability carrier of any information without request under authorization.

    Stephen Jessup Jan 18, 2016  #200

  • Does SS automatically notify your LTD company when SSDI benefits are awarded?

    Ken B Jan 15, 2016  #199

  • I received Liberty Mutual LTD benefits July 2013 through July 2014. I received the denial letter from LM in August 2014. In September 2014 Liberty Mutual requested proof of SSDI status, which I obliged. I started collecting my reduced pension October 2014. In December of 2015 I was awarded SSDI benefits with back pay to January 2013. I know I probably owe LM the benefit months they covered. It will be a cold day in hell before I pay them. I really expected them to request SSDI status again. My question is when does this 3 year statute of limitations begin? If they do find out I got back pay, I plan to ignore any collection attempts. How long before they bring me to court?

    Name Withheld Jan 8, 2016  #198

  • Terah,

    Unum will unfortunately not decrease the amount of the overpayment on account of any tax withholdings. As we are not tax professionals, you will need to consult with an accountant as to any questions/concerns you may have regarding the taxability of the SSDI and how it will affect your tax filing.

    Stephen Jessup Dec 30, 2015  #197

  • Michael,

    Although that would be ideal, that is not how the law and courts have interpreted the policy provisions and abide by the overpayment rights for any time that the carrier was paying you that SSDI later issued benefits for the same period. Your remedy is the administrative appeal process and civil litigation beyond. If your claim was denied please feel free to contact our office to discuss your rights and options available.

    Stephen Jessup Dec 29, 2015  #196

  • I am going to receive a $32K SSDI award that I know has to be returned to UNUM for all of their LTD payments. My main concern at this point is whether income tax will be levied on the back pay. My husband’s income combined with mine will exceed the $44K annual income cut off I have been reading about. Will I have to pay income taxes on the $32K? If so, will UNUM decrease the amount I owe them in order to allow me to have the money to make that tax payment?

    Terah Dec 28, 2015  #195

  • This example did not mention if UNUM was still paying the employee. UNUM policies contain various exclusions which they can use to terminate benefits, usually after two years. If SSA awards the case and finds that the claimant is unable to perform ‘any job which exists in the national economy considering age, education and prior work experience’, and UNUM refuses to renew benefits because they say that their definition of total disabiltiy is ‘different’ and ‘they are not bound by the SSA determination’ , the employee should have a counterclaim which could be asserted that they should have been continued on benefits with UNUM and that this offsets the amounts that UNUM claims they are entitled to recover. Also SS benefits are not subject to garnishment so I don’t know how UNUM would be able to collect any judgement. This can set the stage for a standoff in which you should be able to get UNUM to agree to forgive the overpayment in exchange for dismissal of the counterclaim.

    Michael W. Dec 28, 2015  #194

  • Mary,

    We would need to see all of the information from the carrier as it relates to how they calculated the overpayment, as well as your initial SSDI Award Letter. Please feel free to contact our office to discuss.

    Stephen Jessup Dec 11, 2015  #193

  • I had an over payment from a long term disability company while disabled because my Ssd started 6 months after I became disabled due to having been on it before I had grace period. I let ltd know and they told me they would straighten the financial out soon. They sent me the full amount monthly and eventually asked for almost all of it back. The Ssd expert said that there was a law recentlty put into effect that allowed them to calculate what you initially were awarded from Ssd. In my case if they went back that far I was awarded 500.00 monthly and I would have only owed 5000.00 which I already paid. The collection agency took over almost immediately when this happened.and I was paying 300.00 monthly but I am no longer in a position where I can do this. Can you help me figure out if I really owe this or what I do owe?

    Mary Dec 10, 2015  #192

  • CG,

    Correct. The carrier will also give you a breakdown of the overpayment.

    Stephen Jessup Nov 24, 2015  #191

  • In regards to my previous comment and your response:

    So in other words, I can basically expect to break even as long as I just submit my entire SSDI check to Cigna without spending anything from it, and then receive the same benefit amount as before but just split between the two sources assuming my qualifications do not change?

    How do people end up owing thousands of dollars if their SSDI check is enough to reimburse their other LTD insurance?

    CG Nov 23, 2015  #190

  • CG,

    You will owe back the amount you receive from SSDI, less any applicable attorney fee award your attorney receives.

    Stephen Jessup Nov 23, 2015  #189

  • I’m very confused and don’t understand a lot of these terms, so I need to ask about my situation specifically. I went on short term disability in January and then long term disability in March through my employer’s plan with Cigna. Cigna is telling me that my employer requires me to apply for SSDI if I’m out of work for 1 year. They want to start the process now since that point is coming, even though I anticipate being able to go back within the month.

    Anyways, if my SSDI gets approved, I understand I need to pay Cigna back. But, do I pay them back everything they’ve paid me up until this point, or just what I get from SSDI to make up for not having it adjusted this whole time? In other words, can they make me pay back more than what my SSDI back pay check totals? I’m panicking! I read somewhere that if you get approved for SSDI they can claim you should have never received their benefits and make you repay everything. Thanks!

    CG Nov 20, 2015  #188

  • Paul,

    Typically the amount of the overpayment repayment is non-negotiable. Most policies contain language that if you do not apply for a source of Other Income subject to offset under the policy (SSDI being the most common) then the carrier can estimate what you would receive and reduce your benefit by same. If the policy you are covered under has such language, then if you were to walk away from SSDI the carrier could potentially estimate your monthly benefit and reduce by same.

    Stephen Jessup Nov 13, 2015  #187

  • I am a recently retired pilot with a major US airline. I received disability payments through a company paid “Loss of License” policy insured by Harvey Watt for almost 24 months up to my retirement date (airline pilots are required to retire at age 65). I was required to apply for SSDI through The Advocator Group, paid for by Harvey Watt. I am awaiting a hearing having been denied twice.
    Should I be awarded SSDI, I fully expect the company to request the gross monthly SSDI back payments for the months I received Loss of License payments. If that is the case, the tax burden on the lump sum SSDI would be considerable, and put me “way in the hole”.
    1. Is the payback to the company something that can be negotiated, so as to mitigate my tax burden, and
    2. Could you predict the possible actions taken by the company if I chose to terminate my application for SSDI and simply walk away from the whole thing?
    Thanks for your time.

    Paul Nov 12, 2015  #186

  • Rich- you are right I cannot understand your struggles as they are not my own, nor are they the struggles of any other person. I am sorry that you feel my unfortunately honest response to your inquiry as to how “the benefit of the bargain” with respect to a contract works. I understand that it is not an easy pill to swallow, but one that has little choice but to be swallowed. I am sorry that I cannot provide you with the response you would like to hear, and no doubt deserve after all you have been through, but I do feel your anger is misdirected.

    Stephen Jessup Nov 6, 2015  #185

  • Mr. Jessup,

    Whether you buy a Ferrari or a used Yugo, your insurer does not take the car back after repairing it. So your analogy falls short. As far as making more on disability, that’s like saying life insurance should take that money from the widow because she didn’t have it before. Live ONE day with my pain, deal with what my family deals with losing their husband/father/son or brother. I was killed, it just so happens my heart still beats. I’ve paid tens of thousands of dollars out of my own pocket for medical expenses that will continue my entire life. If I make more because I paid for an insurance policy than so be it.

    And it is highly insulting that you believe that anyone who wants to can be considered eligible for disability since you think everyone would apply rather than work. I will make less in social security in the future, I no longer have employee paid benefits and of course no 401k or any other way to invest with matching funds. And that doesn’t begin to explain the other losses. If my earnings were trebled I wouldn’t choose this. No one would.

    You owe every person on this blog an apology. I doubt you could make it one day dealing with what we deal with. I also bet you own a policy that won’t steal your money. Because you were properly educated and not lied to. So rationalise all you want. Maybe that helps you sleep at night.

    Rich Nov 3, 2015  #184

  • Greg,

    You will need to consult with a bankruptcy lawyer to determine what your wife can and cannot do under same.

    Stephen Jessup Oct 30, 2015  #183

  • My wife was just approved for ss disability and the long term carrier will be asking for overpayment; she is considering bankruptcy, can she file against them as well?

    Greg W. Oct 29, 2015  #182

  • Liz,

    A disability insurance policy typically states that legal action must be brought within 3 years that proof of loss is required. Many courts interpret that to mean starting from the date of a denial of benefits, or the time a claim should have been filed. It is not a clear cut situation with a definitive answer. Additionally, if the policy is governed by ERISA you are also required to pursue administrative remedies (Appeal) prior to filing a lawsuit. Failure to do so within the designated timeframes can also prevent the ability to bring legal action. If you have concerns that your statute of limitations to bring a suit has passed please feel free to contact our office to discuss.

    Stephen Jessup Oct 21, 2015  #181

  • You state that most policies are written to limit any legal action under the policy to 3 years. My question is from what date does the 3 years start?, from what point?

    Liz Oct 20, 2015  #180

  • Ron,

    Unless you were receiving SSDI benefits before ever applying for Unum benefits you will most likely have to repay the back benefit. Additionally, Unum policies typically limit both mental health claims and substance abuse claims to a 24 month maximum. With respect to your inquiry on taxes- as we are not tax professionals we cannot offer any tax advice. You will need to consult with an account or other tax professionals.

    Stephen Jessup Oct 15, 2015  #179

  • What if my Long Term disability (UNUM) was approved for Substance Abuse but my Social Security Disabilty is for Depression? Are they still entitled to the the backpay. Also if I am responsible for the backpay will they let me deduct what I will owe in taxes first? We will have to pay taxes on 85% of it as my wife makes decent money. My backpay is in excess of $22,000.

    Ron Oct 14, 2015  #178

  • Anna,

    If the benefits received from the SSA overlap with a period Cigna paid benefits then you would most likely have an obligation to repay an overpayment. Cigna cannot deny your claim for failure to provide any overpayment immediately. If Cigna approves the remaining balance of the LTD claim (you stated you only received 2.5 weeks over 2 months) they would even likely apply the overpayment to the funds they owe you and reduce for same. Please feel free to contact our office to discuss your situation further.

    Stephen Jessup Oct 1, 2015  #177

  • Tracee,

    Your responsibility will be for repayment of any source of overpayment- to include your State based disability and Federal. Your obligation to Reliance will only be for the remaining amount in LTD benefits paid AFTER the months the TDI was reduced.

    Stephen Jessup Oct 1, 2015  #176

  • It was only $1518.00 and I tried really hard to inquire if I had to pay it back for 2 weeks but to no avail. I had even supposedly had a scheduled phone call for last Friday and no one called until today and still was unable to tell me. When I hadn’t heard back from anyone especially when I was supposed to I thought that they were not worried about it so paid some bills etc. I have $800 of it left. I guess I was incorrect. This new lady was today seemed very serious but like I said she still could not tell me how much but did say I have to pay it all in one lump some. I find it very interesting considering I have only received 2 1/2 weeks pay for almost 2 months now while it has been transitioning over to long term.

    Anna Sep 30, 2015  #175

  • I am with cigna and SSDI just paid me for 2 months back pay. I was approved very quickly because of my condition. If I don’t pay cigna all the money right away will they drop me even if its a policy from my employer before I became disabled.

    Anna Sep 30, 2015  #174

  • Hi…I am currently on LTD with Reliance.
    I was receiving TDI and LTD offset their payments already with the TDI received from the state.

    So when/if I get approved for SSDI…I have to repay Reliance MORE money so that it ends up they really paid me nothing for the policy I had in place with them?

    Tracee Sep 30, 2015  #173

  • Frank,

    Technically, under the law it is the responsibility of the insured (you) to provide proof of disability, so it would be your responsibility to provided medical documentation regardless of USAble’s prior conduct in procuring same.

    Stephen Jessup Sep 16, 2015  #172

  • I was on ltd with uasble life for about 10 months. I was cut off because I would not do usablelife leg work for them when this first got started they got all of my doc. statments then they wanted me to do their work for them. After I gave them written consent to get what they wanted from my doctor they cut me off. What should I do?

    Frank Sep 15, 2015  #171

  • Ron,

    How long ago was your claim denied? Did you undergo the administrative appeal process following the denial? Please feel free to contact our office to discuss what remaining legal rights you may have.

    Stephen Jessup Sep 8, 2015  #170

  • I have been reading the posts on here. I too am disabled and have been through all of this. It literally makes me sick seeing all these people suffering from disabilities and then having to deal with these ltd companies. I was recieving $1870 a month from The Standard. I am still disabled but they cut my claim off after 2 years. I got my ssdi and paid them 35000 pack pay. If I could do it again I would not pay them my back pay. I wish I could get it back. I have 3 lawsiuts against me now for credit card companies that I owe. Something needs to be done so needing people can keep their back pay.

    Ron Sep 7, 2015  #169

  • Mark,

    Unfortunately, it does sound like Hartford is gearing to terminate your claim and go after you for the balance of the overpayment.

    Stephen Jessup Aug 31, 2015  #168

  • I have been on disability with Hartford since 2011 long term. I also met the requirement of any occupation. I never paid Hartford Back the SSDi award money even though I signed the statement. They have been keeping over $1000 a month in offset. Recently Hartford Video taped me and I had to meet with a field Rep. They then set me to an IME I’m assuming to cut me off. I noticed they cut my offset off already the last 2 months without notifying me. I still haven’t been told by Hartford they are cutting my disability but I am assuming they are. Can they cut my offset off before telling me they are cutting me off from my disability? I think they are trying to not only cut me off but try to sue for the $37000 of back pay they claim I owe them.

    Mark Aug 31, 2015  #167

  • Confused,

    Most employer provided disability policies allow for an offset of the benefit due to receipt of benefits/income from an employer retirement plan. However, if the pension money is due to a 401(k) or other deferred compensation plan then often it is not a source of other income. When you receive a copy of your policy it should clearly state which offsets are applicable. Please feel free to contact our office to discuss in greater detail.

    Stephen Jessup Aug 29, 2015  #166

  • Attorney Stephen Jessup,

    CALL ME CONFUSED. I paid into LTD through work for years.
    I worked for State Government, then off on LTD due to work related problems. I collected LTD from CMI, the Policy contracted from the employer.

    I followed all the rules, i.e. paperwork, doctors did their portion and I was approved for LTD, then even paid for continued insurance COBRA after months-on CMI/aka-LTD.
    However they-CMI; failed to pay through the allowed time frame by approx. 7 months owed to me.

    I was allowed permanent Disability, SSDI and had to retire as a disabled worker and receive a small pension.
    I was awarded back pay on SSDI before I was found able to be awarded a Disability Pension.

    Now, even after I had informed the CMI unorganized worker I was allowed a permanent Disability. Now, an entire year later I received a letter with a print out stating I owe them back pay…a total more than SSDI gave me. No, no minor children in the home. Their calculations were based on What CMI paid, my SSDI AND MY PENSION.

    I have responded in writing asking for such a policy and with my John Hancock.

    I have paid taxes on my earnings, Paid out COBRA after my State employment insurance ran out
    during the time I was taken off work and during the paperwork nightmare while dealing with extreme medical limitations from those CMI payments. blah blah blah. The costs were higher than the reduced payments. CO-PAYS, MEDICATIONS AND ONGOING TREATMENT plus daily, monthly living costs.

    Sorry, I thought this could be a short story… What can happen here…I have read that CMI could NOT obtain over the amount I was awarded for back-pay from my SSDI.

    My confusion is how can they ask for back pay- before I was even on CMI from my SSDI award?
    Also, if there is a back pay owed even though I am “exempt status” from garnishments per say.
    What is the worse they can do? sue me, get a judgment even though they failed to live up to their contracted time I was to be paid? OR can this become a nightmare and MY SSDI and even my Pension reduced or eliminated until they have received their requested back pay in full? I don’t have thousands of dollars setting around to hand over on their demand. Any advise available for the confused? I am willing to pay small payments like a monthly bill. However, I still have my other living expenses/monthly bills too.

    Confused Aug 28, 2015  #165

  • Kenny,

    Receipt of SSDI benefits in and of itself is not a guarantee that your wife will be eligible for benefits through the insurance company. That being said it is STRONG evidence in support of disability and if she is approved you should certainly make the carrier aware so it has to consider the findings of the SSDI when making its own. Please also note that receipt of the SSDI will most likely trigger an overpayment under the insurance policy.

    Stephen Jessup Aug 13, 2015  #164

  • My wife goes for he SSDI tomorrow, her LTD stop paying about 5 months ago because they said they did not receive the paper work from the doctor on time. She called them and they told her that they did receive it but had filed it in the wrong folder. And because her claim had been denied it would have to be reviewed by and independent doctor and they would have and answer for her in 45 days. We got a letter this week saying they was going to take another 45 days to make a decision. If she get approved for SSDI will they still have to keep paying her? Even though I know we will have to pay them back any over payment.

    Kenny Aug 13, 2015  #163

  • Irate,

    Unfortunately, insurance is just that-insurance in case something does happen. It is no different than car or homeowner insurance that you maintain and pay premiums on but hope to never have to use. The cost of disability insurance through an employer is incredibly low as compared to comparable insurance you can acquire privately through an agent. However, with that low premium rate comes less than ideal coverage.

    Stephen Jessup Aug 11, 2015  #162

  • Why then should anyone use any of these LTD services, it’s more like them being a loan shark instead of providing you with help until you are able to get social security benefits. Example: What if I worked for a company for fifty plus years and paid for the LTD, never uses it, will they reimburse me? Hell no, I wouldn’t give them a dime, and I would file bankruptcy.

    Irate in Dallas Aug 10, 2015  #161

  • Bob,

    Most disability insurance policies contain a three year statute of limitations with respect to legal actions and there is caselaw that is supportive that an overpayment does not need to be repaid if the carrier fails to assert following attempts by the insured- but it is certainly case by case.

    Stephen Jessup Jul 23, 2015  #160

  • In December, 2012, I was approved for SSDI. I then notified Standard of my award and was in communication with them regarding how much I owed them. Then, I never heard anything from them as they did not return my phone calls, emails and certified letters. I wanted to pay them and get it taken care of. I did save my emails and letters I wrote them. I continue to get my minimum payment of $100 every month. I think they just dropped the ball or forgot about me. Each year I get a form letter asking me to sign a medical information release, but that’s it. I don’t have the money now if they ask for it.
    Does statute of limitations or simply negligence on their part to attempt to collect the debt ever play a roll? It has been 18 months since I notified them as well as ALLSUP.


    Bob Jul 22, 2015  #159

  • Mike,

    The potential statute of limitations under the policy is typically three years, so it is arguable that they would have rights throughout that time period.

    Stephen Jessup Jul 20, 2015  #158

  • It has been one year with a verbal notification and six months with written notices.

    Mike Jul 19, 2015  #157

  • Mike,

    You may have legal rights/arguements that could apply in the event of a lawsuit to recover an overpayment. How long has it been since the carrier was notified of the medical retirement pension?

    Stephen Jessup Jul 10, 2015  #156

  • I am receiving LTD from a insurance company. The insurance company advised me to tell them if I get awarded a medical retirement pension because my benefit amount would be reduced. I was awarded a medical reitrement pension. I have notified the insurance company with one telephone conversation and three times in writing of the monthly award I get from the medical retirement. The three written notices were sent by the pension organization directly to the insurance company. The insurance company has not responded nor altered the amount they send to me. I know eventually the insurance company will figure it out. Is there an amount of time that can pass which will no longer allow the insurance company to collect? Would a Laches Doctrine apply to this example?

    Mike Jul 9, 2015  #155

  • Rich,

    The simplest answer- it is legal because it is a term and condition of the policy. Unfortunately, it really becomes a get what you pay for scenario. Using your car example- a group disability policy from your employer is like going to the car dealership and buying the base model, as opposed to purchasing an individual disability policy from an agent, which is like buying a car with all the options and upgrades you want. Additionally, employer provided disability policies are written to ensure you receive a certain percentage of your pre-disability earnings (typically 60%). If there were no offsets for SSDI or sources of other income it is likely that the vast majority of people would make more money on disability than working (60% of pre-disability earnings plus SSDI benefit amount would be or exceed 100% of work earnings). Ultimately, the only way to avoid such offsets is to purchase private policies; however, the premiums for such policies are usually too expensive for most people to reasonably afford.

    Stephen Jessup Jun 10, 2015  #154

  • I’m still waiting for someone to explain how this is legal. This is like my auto insurer paying to fix my car, but then being allowed to keep the car one it’s out of the body shop. I paid premiums under the presumption (based on how it was explained by my company’s HR department) that LTD was a supplement in ADDITION to SSD, since we all know that Social Security pays pennies on the dollar to what we made when working. This is a racket and someone needs to stand up to these insurance companies. This is a benefit we have all paid for but they get our money. Unconscionable.

    Rich Jun 9, 2015  #153

  • Kay,

    There would only be an overpayment associated to the timeframe that overlaps when the carrier was paying a benefit and SSDI is providing benefits for. The only real way to know what the applicable overpayments are would be to provide the carrier with the award notice for calculation.

    Stephen Jessup Jun 5, 2015  #152

  • My husband was on std from work for 26 weeks then had to apply for ltd through them. While we were waiting for long term to be approved he got approved for ssd and received backpay. We still have not heard from them on a decision about the ltd. If they denied him what amount will he have to pay back to them from his ssd backpay? He got retro backpay that went back before he got std coverage. Will he have to pay the full amount that they payed him for the 26 weeks or will it only be the amount that ssd gave him for those 26 weeks? We are very confused on this. Thanks!

    Kay Jun 4, 2015  #151

  • Charles,

    Only the government can garnish your SSDI benefit. However, an insurance company can withhold your monthly benefit until the overpayment is repaid, send you to collections or pursue civil legal action in rare instances.

    Stephen Jessup May 22, 2015  #150

  • If I take an overpayment that is suppose to go to a insurance company can they garnish my social security payment every month?

    charles May 21, 2015  #149

  • Rich,

    Your SSDI benefit cannot be garnished by your disability carrier – but that does not impact their right to collect an enumerated offset/overpayment under the benefit, which can include withholding a monthly benefit or as the case may be suing you in an attempt to recover.

    Stephen Jessup May 19, 2015  #148

  • Not dubs, awards sorry about auto correct and TBI. Not a good combination.

    Rich May 18, 2015  #147

  • What about 42 usc 407 social security law saying social security dubs cannot be taken?

    Rich May 18, 2015  #146

  • Steve,

    Only the government can garnish your SSDI benefit. However, your disability insurance carrier (or employer if self funded) can send you to collections, sue you or withhold your disability insurance benefit to recover the overpayment. Unfortunately, receipt of SSDI benefits is not a guarantee that you will be continued to be deemed disabled under a private disability policy, but it is considered strong proof of disability.

    Stephen Jessup May 10, 2015  #145

  • I receievd my Social security less than a year after applying and am waiting for my back payment. If I keep the back payment can my former employer (or the company they hired to help me with SS) garnish my Social security Disability pay? I need that back pay as I have bills and other things to take care of. What can they or a collection agency put a lien on since I don’t own a home only a car and some furniture? I know they can garnish my LTD pay but what is the maximum amount (%) they can garnish from the LTD pay?

    I was told in the beginning by my employer that I can collect LTD up to 2 years then I was told 3 years then after age 65. Now I’m told I can collect as long as they (former employer) deem me disabled and that means that they must see that I am unable to do ANY JOB to be considered disabled by them. To me that sounds like once they get their back pay they will stop paying me. In my humble opinion, I think if SS approved me that should be proof enough. I just don’t want to get in a situation where I’m facing homelessness.

    Lastly, if necessary, (only as a last resort) would filing bankruptcy an option to get rid of collection agency (liens, etc.) if it comes to that?

    Thank you in advance for your help.

    Steve May 9, 2015  #144

  • Rich,
    Any potential overpayment would only correspond to a period of time you receive benefits from the insurance carrier. If you are not receiving a benefit due to the elimination period then there will be not offset to accrue. That being said, most STD plans have a 7 day Elimination Period and the LTD elimination period is usually the period of STD benefits. I have yet to see an employer provided disability insurance policy that does not allow for an offset due to SSDI benefits. Courts have held that these provisions are enforceable and legal.

    Stephen Jessup May 5, 2015  #143

  • Good day sir,

    I am covered for LTD by Company X. Company X called me and told me that if I got a release from my attorney to switch to a company they work with on SSDI claims then I would save the 20% that my lawyer would charge me because they were paid by X so I would save a lot of money. Now after talking my attorney into withdrawing they have informed me that the amount of money X takes from me will be the exact same. And I might not be represented by an attorney in court! I feel like a bait and switch has happened robbing me of local representation and putting more money in X’s pocket. How can this be legal to lie to your client?

    Second question, and I apologize if it’s been asked above, but if I had a waiting period before STD paid for 6 months, then another waiting period before LTD began to pay, then those months should be subtracted from the months company X can say I was overpaid, right?

    Lastly, I went to talk to my HR rep at my former employer who contracted with X and asked him about the required reimbursement I would have to make and he said he had never heard of that and was blown away by what I was saying. I know that my former employer changed to X right before I became disabled, and they sent out emails encouraging everyone to sign up for “supplemental income” since everyone knows SSDI doesn’t pay what your salary was. I believe I have been misled numerous times. Do I need to talk to an attorney or am I simply out of luck?


    Rich May 4, 2015  #142

  • Roy,

    Reliance Standard’s typical policy language regarding offsets for sources of other income include dependent social security disability benefits. I would agree, it does not seem fair at all, but it is an enforceable plan provision.

    Stephen Jessup Apr 30, 2015  #141

  • I currently receive LTD from Reliance and disability from SSA which reduces my LTD benefit. My daughter who is under 18 was awarded a monthly check from SSA due to my disability. Will I have to reduce my LTD more due to her check? This clearly does not seem fair.

    Roy Apr 29, 2015  #140

  • Tony,

    The carrier can send you to collections, assert a lien or potentially sue you to recover the overpayment.

    Stephen Jessup Apr 27, 2015  #139

  • OK, so what if I don’t hand over my SSDI check to the LTD and they sue me? What can they do to recoup, other than send me to collections?

    Tony Apr 26, 2015  #138

  • Judy,

    The only reason I could think of is if they have denied your claim Hartford would generally turn you over to collecetions. I would contact your claims manager immediately to find out why they have gone back on their agreement with you.

    Stephen Jessup Apr 5, 2015  #137

  • I am going through this with Hartford Insurance and they are responsible for my being approved for SSDI. I hired an attorney and they never had any part of the approval process since Hartford took over. I did not have any idea how the process worked and when retro pay came in from social security I was able to repay all the people I owed and catch up bills. Hartford agreed to withhold payments until I had everything repaid about 4500.00. I have now out of the blue been turned over to a collection agency and they have tacked on another 500.00. I cannot repay what I do not have and they do not care. I have explained to them several times I am short 400.00 per month on my bill money and cannot repay them so now a collection agency and tacking on additional money. Why would they suddenly demand this money after we had an agreement?

    Judy Perry Apr 4, 2015  #136

  • Connie,

    I cannot believe there is no written policy. Technically it is not Hartford who has to provide a copy of the policy, but rather your employer (former employer). Contact your HR and request a copy of the policy in force at the time you went on disability. Additionally, Hartford policies usually have a maximum benefit period up to your social security retirement age.

    Stephen Jessup Mar 25, 2015  #135

  • I am freaking out reading these posts. I have been drawing LTD from Hartford for three years, and just got approved SSDI. Hartford says there is no written policy on my LTD. Is that possible? I am afraid they will drop me once I pay them my overpayment after reading so much about them online. Don’t they have to supply me with a policy? They say there is no cut off date for my disability as long as they continue to deem me disabled! Thank you for your time.

    Connie Mar 24, 2015  #134

  • Geo,

    It is not likely that the insurance company would file a lawsuit to collect the outstanding money owed. Most likely they will withhold your monthly benefit until it is satisfied. As a disability benefit is never a guaranteed benefit and subject to a month to month review for eligibility I would not expect them to ever put in writing that your claim would continue without concern as soon as the repayment is satisfied. They might be amicable to a lump sum buyout that would contemplate the repayment as well as a percentage of the future vale. Please feel free to contact our office to discuss further.

    Stephen Jessup Mar 4, 2015  #133

  • Due to a serious accident, I became disabled in May of 2012. I had exhausted state disability benefits at the end of six months. However, I had LTD insurance and signed reimbursement agreement in November of 2012. In the interim, I applied for SSDI as my state disability benefits expired. Within 9 months of application, Social Security approved my claim as medical evaluations easily determined that my injuries have rendered me permanently disabled. As my SSD claim so quickly approved, the over payment of my LTD was only $11,000. However, my LTD will continue for another 16 years (maximum benefits period under this policy) at the rate of $160 per month. LTD insurance wants the entire $11,000 re-payment and will put me through additional medical testing before resuming benefits? Last LTD benefit claim was paid January of 2014 (benefits were deducted from over-payment balance)…

    Bear in mind that current LTD benefits total over $30,000 over the next 16 years. Is it unreasonable to request that LTD insurance simply deduct the full monthly benefits to recover the over-payments as they were doing initially? If so the current over-payment balance should be approximately $9,000 with 48 months remaining? Remember, the current balance of benefits ($30,000) far exceeds over-payments? Would it make sense for LTD to file a suit for such a small amount of money, considering they still owe three times the amount of reimbursement in way of continued claim benefits? Even if they file a suite and receive a judgement, they are unable to garnish my SS benefits which represents my only source of income and I have no other assets.

    My fear is that if I pay the reimbursement, they will put me through additional medical testing and find a way to deny the remaining $30,000 in claim Benefits… I have read of this happening especially with the smaller Insurance Companies like this. Before I would agree to reimbursement, I’ve asked for something in writing (many times) to ensure that benefits will continue without special conditions or provisions as I have previously met the criteria. Yet they never provide anything or address this concern. I’ve even written to the senior counsel and never receive any direct response? This has been going back and forth for a year… *To be honest, I would consider dropping my entire claim benefit with LTD ($30,000) to offset the over-payments of $11,000 just to be done with this. I haven’t any idea why they will not address my concerns? **I can only assume that they will attempt to deny my remaining claim once reimbursement has been made…

    Geo Mar 3, 2015  #132

  • Jazzy,

    Your frustrations are echoed by many. Unfortunately, the policy is written in such a way that it does not contemplate the fact that your SSDI is paid in arrears. With respect to the overpayment, you can try to negotiate a repayment plan, but it will likely entail your monthly benefit being consumed to repay the debt.

    Stephen Jessup Feb 20, 2015  #131

  • This is so frustrating and to me it appears unethical and heartless! I was approved for SSDI and gladly paid back monies to Allsup, the company assisting me in obtaining Social Security disabiity benefits on behalf of my LTD carrier. Aetna. This was a substantial amount, going back 18 months. I just got notified this month from my LTD carrier, Aetna, that moving forward, my monthly payment is reduced by the Social Security disability payment. I hit the ceiling today when I also received a letter from Allsup stating that I owed immediately one final payment (the last month) of SSDI benefits, but the current month has not even been paid yet. You see, Social Security pays a month behind, and Allsup/Aetna apparently knows this but does not care, They want their money now and I do not have it yet! I am always going to be a month behind so to speak. Allsup says they can only do repayments of 3-no can do. I know this is their money but all at once? To boot, my check is already being reduced by the amount of my SSDI payment so I am essentially broke. How can they pursue me for money I do not even have yet? I am broke, can not afford medicines. live month to month, yet make too much for SSI etc. How can they seriously collect money not paid out for 30 days?

    Jazzy JC Feb 19, 2015  #130

  • Regina,

    You will need to consult with a bankruptcy attorney as to your questions.

    Stephen Jessup Feb 11, 2015  #129

  • Can I file a hardship or bankruptcy for the overpayment amount that LTD company is trying to get from my SSDI? I have been advised that I can but just wanted to see what you say in regards to this issue. I have already spent it on bills and such. I only draw a small monthly check from Social Security. I have recieved a collection letter from the law firm that is representing my LTD company stating that I owe $18,470.85.

    Regina P. Feb 10, 2015  #128

  • Glen,

    If you receive SSDI, regardless of whether you have returned to work, MetLife would still be entitled to repayment of any overpayment resulting from SSDI that overlaps a time MetLife issued benefits.

    Stephen Jessup Jan 29, 2015  #127

  • If I get better and go back to work before I get approved for disability from the government, will I be required to pay back the long term disability that I have gotten over the last 15 months from MetLife?

    Glen Jan 28, 2015  #126

  • Sara,

    Unum will seek to recover the gross amounts paid.

    Stephen Jessup Jan 25, 2015  #125

  • Hello! I am currently on LTD through a benefit I get via my employer. The LTD insurance company pays me 55% of my salary, not taxed. I am in the process of applying for SS Disability. If I receive it, the LTD company wants the lump sum reimbursement for an offset. They also will reduce their monthly LTD payment to me by the amount of monthly SSDI I receive. That all makes sense. But I’m confused how the taxes will work. My husband income’s is high enough that we are required to pay taxes on my SSDI income. My questions are:

    1) Will the LTD company reduce my monthly payment by the gross amount given by SSDI, or the amount after I’ve been taxed on it? In other words, if SSDI gave me $1,000 a month, but I only get to keep $850/month after taxes, does the LTD company reduce their payment to me by $1,000 or by $850?

    2) I have the same question about the SSDI retroactive lump sum. If I were given, say, $10,000 in a retroactive lump sum, and only get to keep $8,500 because I’m paying taxes axes on it, does the LTD get $10,000 back, or do they get $8,500 since that’s all I get to keep?

    Thank you for your help!

    Sara Jan 24, 2015  #124

  • Don,

    Unfortunately, most Unum policies allow them to offset your benefit by the amount your children receive on account of your disability even if the children do not live with you. If there was a garnishment of your check for failure to pay child support then there is nothing you can do about preventing Unum from requesting repayment. Unum should not take into consideration in its overpayment calculation the amount your attorney received from the SSA. Your only option may be to attempt to have the child support order modified in light of the fact your dependents children are receiving the DSSDI benefit. You will need to consult with a Family Law attorney to see if that is a viable option.

    Stephen Jessup Jan 16, 2015  #123

  • I was recently awarded SSDI and my children were given a check for $4,000 for child support. I have never been late in payments. UNUM wants the money back totaling $8,000 after the kids got theirs and the attorney was paid I only received $3,000. To make things worse my kids are now receiving 50% of my income which is a major increase of my previous support payments. What can I do to get UNUM off of my back? I am getting less now than before and I can no longer afford my apartment or my car (insurance and payments). I can’t survive on $699.00 a month. What do I do?

    Don B. Jan 15, 2015  #122

  • Beck,

    If you are not awarded SSDI benefits then there should be no basis for any overpayment repayment to an insurance company.

    Stephen Jessup Dec 22, 2014  #121

  • What if I’m released to work and do not receive the SSDI? After collecting LTD for over a year do I owe them? Even though I applied I am still eligible for regular SS retirement at 62? If released for work do I still owe them?

    Beck Dec 21, 2014  #120

  • Dana,

    There is always an issue with the fact that Social Security pays in arrears whereas Liberty Mutual does not. Have the placed their position in writing as to the issue? If not I would first recommend that you request same.

    Stephen Jessup Dec 3, 2014  #119

  • I started to receive LTD on Jan 7, 2014, then was awarded SSDI and became eligible on Jan 1, 2014. I did not receive a payment in the month of Jan for SSDI, it will always be about 50 days behind. Now Liberty Mutual wants their payment for Jan repayed and is threatening to garnish my SSDI. At the end of this tax year I actually will receive only 11 payments for SSDI. Do they have a legal standing to do this? Also I’ve asked that this be done in court and they say I don’t have a right to that.

    Dana Korallis Dec 2, 2014  #118

  • Bob,

    Standard never responded or put anything in writing to you? There does stand the chance they will withhold the minimum $100 a month benefit to apply towards the overpayment. Please feel free to contact our office to discuss your situation further.

    Stephen Jessup Nov 17, 2014  #117

  • Regina,

    Reliance Standard will typically offer you a repayment plan. Reliance cannot garnish your SSDI benefit, but if you are still receiving benefits from RS they can potentially withhold all RS based disability benefits towards satisfying the overpayment.

    Stephen Jessup Nov 16, 2014  #116

  • Is there a statute of limitations that Standard has to collect an overpayment? For months, I tried to contact the claims rep and others letting them know I would like to pay them back. Originally they said I owed them about $17k, but was really around 12k. They never responded to my emails, letters and phone calls so I gave up and it has been about a year now since I was paid the SSDI lump sum and I do not have any money. Standard still pays me the minimum benefit of $100 per month. If I do not have any money to pay them, can they just stop paying me the minimum payment and use it to offset what I owe them. That would be fine with me, but I am now broke and do not have anything to pay them. I am considering bankruptcy, but I am not sure if that will wipe out any of their debt.

    Bob Nov 16, 2014  #115

  • Hello,

    Reliance Standard was my STD & LTD company through my job in 2010. I finally got approved for disability. RS started representing me in Dec 2010 pushing for disability for MS and Transverse Myelitis. I did get backpay but had to use it per I was a single mom with no $, no car (I depended on myself for travel if possible) & I paid my own bills (getting little help from government but not much). I just recieved a letter from an attorney representing RS stating I have to pay them $18,470.85. I don’t have that and still barely survive a month per I don’t draw much at all! I will have to live under a bridge if they garnish or stop my SSD monthly check and I will lose everything. Letter states “It’s been placed with their office for collection in full.” Should I call them? You think they will offer me hardship or very small payment plan? Should I contact the SSA?

    Thank you.

    Regina Poss Nov 15, 2014  #114

  • Meg,

    You will need to contact your SSA department to determine what coverage you may have to assist you. I have personally never seen a private disability insurance policy that provides additional benefits for medical expenses.

    Stephen Jessup Nov 11, 2014  #113

  • I have been on SSDI for 3 years. Prior, on LTD through AZ State Retirement Systems. My LTD was reduced, of course. I am now on on SSDI.

    My question is this: I am in need of surgery that will keep me down for approx 6 weeks.

    My husband works full time and I have 3 kids in school.

    I am will need some medical assistance (short term), as well as assistance around the home (light housekeeping, driving to appointments).

    I understand benefits exist to help with things like this, but where… through my SSDI Medicare insurance plans, or through MOO LTD insurance?

    Meg McCormick Nov 10, 2014  #112

  • Blue,

    Unfortunately you are experiencing what most insureds with ERISA governed disability insurance go through in that the policy allows for Prudential to offset your disability policy by sources of other income- such as SSDI and retirement proceeds. If you have a copy of your policy we would be able to give you a better idea if Prudential would be entitled to offset your benefit by a 401(k) plan (these are sometimes excluded from sources of other income). Furthermore, as disability is never a guaranteed benefit and due to the fact the determination of disability occurs on a monthly basis, Prudential does have the right to request information on a monthly basis in order to determine ongoing eligibility. Please feel free to contact our office to discuss your situation in greater detail.

    Stephen Jessup Nov 8, 2014  #111

  • I am in a bit of an odd situation. Due to a disability, my company approved my STD then after 12 weeks approved LTD until the age of 59. When they approved my LTD they reduced my salary by 60% as part of the rules. They then hired an outside agency ALLSUP to obtain my SSI. I now have been approved for full disability benifits and have been told I will get the typical back pay for the 2+ years etc. I too had to sign an agreement that I will pay back any overpayment which I do not have an issue with. Here is where my issue comes in and I am not sure what to do.

    They reduced my income by 60% however they are going to take 100% of my SSI back pay fot that time frame. My salary before bonus was $59,900 per year – 60%. I don’t see how they can take 100% of my backpay for the dates that I got my SSI. You would think that they would only be allowed to take 60% of my backpay for those dates since thats what they reduced me by. I hope this makes sense, maybe I am not seeing this correctly I just feel like I’m getting the shaft and it does not set right.

    Another question and issue I have and not sure what to do. My company offered me a payout of my retirement. Keyphrase “My Retirement”. When I opted to take the payout Prudential told me that are going to offset any money I get. I told them I won’t live to see 60 but they said they don’t care if I took a payout then they offset if I put it in a company 401k they won’t take it. So basicly I have to give the money to the government as I will be dead before I can have it. How can this be legal?

    On top of that they harass me all the time about what hobbies I have, making me fill out forms on my ability to work every 12 months or LESS. My doctors are sick of the forms and nothing will change. Is there anything I can do about the harassing paperwork? My condition will never change it will only get worse until I die as my brother did at 46 with the same condition.

    Blue Dawn Nov 7, 2014  #110

  • Rose,

    The Insurance company is not affecting your future rights to SSDI per se so much as they are enforcing a contract term that they are allowed to offset your benefit by the amount received on account of SSDI. For all intents and purposes, ERISA disability insurance policies act as a cash advance of sorts. Unum will not attach any lien to your SSDI benefit- only seek action to recover an overpayment as set forth in the policy.

    Stephen Jessup Oct 28, 2014  #109

  • Rose,

    The Insurance company is not affecting your future rights to SSDI per se so much as they are enforcing a contract term that they are allowed to offset your benefit by the amount received on account of SSDI. For all intents and purposes, ERISA disability insurance policies act as a cash advance of sorts. Unum will not attach any lien to your SSDI benefit- only seek action to recover an overpayment as set forth in the policy.

    Stephen Jessup Oct 26, 2014  #108

  • Why isn’t the Social Security Act used to protect Insured and Claimants against the collection of repayment for SSDI offsets ? Under this law is having someone sign a contract to give up their future rights to SSDI – in and of itself even legal as this law reads? IN the case of sending to collections or liening property or bank accounts – doesn’t equitable remedies prevent liens on ERISA Claims- as this is considered legal rather than equitable so shouldn’t be subject to collection or lien is an ERISA Policy in many cases. Can the Insurance Carrier collect or lien? Do they – yes. And because there’s not much stopping them. Every Claim has its own unique considerations so I speak broadly here and specifically for the SSDI offset and ERISA claims.

    That in mind Claimants and Insureds now have an updated Payment Option Form with UNUM to sign that does state that by signing you DO give up protections and your property and bank can be liened. Is this legal? Or is UNUM testing the waters as to what they can do to collect?

    Below is SSA Act:

    [3] 42 U.S.C. § 407 provides: and therfore
    “The right of any person to any future payment under this subchapter shall not be transferable or assignable, at law or in equity, and none of the moneys paid or payable or rights existing under this subchapter shall be subject to execution, levy, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law.”

    Rose Oct 25, 2014  #107

  • Angela,

    You are not alone in feeling pushed to the point of giving up- and I can understand and appreciate your feelings. Unum would love for you to walk away from the policy, but before you please feel free to contact our office to discuss your claim further and how we might be able to assist you in handling your claim to insulate you from and alleviate your doctor’s annoyance with Unum.

    Stephen Jessup Oct 21, 2014  #106

  • I have been battling UNUM for over a year now. All of my doctors are frustrated with the overflow of paperwork they keep demanding from them. I get calls from doctors upset with repeated requests for the same information. My own family doctor’s nurse practitioner complains each time I go in for updates on my health.

    I refused a field visit, and subsequently had someone sit in front of my home for three days. I was distraught and mentally at a breaking point after that.

    I just received a letter stating that if they did not receive updated information in three weeks from my physician that my benefits may end. I have no control over how fast my doctor sends information in. And I am ready to give up fighting with UNUM. My mental health which affects me physically as well cannot take it. I would rather cut back and do without the check.

    My question is should I just send a letter asking for them to end my benefits (providing me closure and peace of mind) or wait for them to cancel me on their own (I don’t know the legal or logistical ramifications of either). The last letter mentioned sending me to an IME, but I have read horror stories on that as well.

    Any advice is appreciated. Thank you!

    Angela Oct 20, 2014  #105

  • Jimmy,

    Carriers will typically not make you repay any portion associated with attorney’s fees. I would suggest you contact your insurance carrier to get further clarification.

    Stephen Jessup Sep 7, 2014  #104

  • Been receiving STD while waiting for WC to back pay me. Problem is my attorney charged 20% and now I won’t be able to pay all the money back to STD.

    Jimmy Sep 6, 2014  #103

  • Denese,

    Unfortunately, I do not know of any exceptions that would allow you to be exempt from the repayment of benefits owed back to Unum on account of the SSDI award.

    Stephen Jessup Sep 4, 2014  #102

  • I was recently approved for SSDI and my LTD carrier (Unum) is asking repayment of benefits paid for the last 2 years. My question is, if my husband is also disabled and has been for over 20 years, due to my condition he was assigned as my payee or caretaker? As a result of not working and receiving partial pay through LTD we have incurred substantial medical bills some of which have been sent to collections. Do we qualify for any special consideration since both of us are disabled?

    Denese Harrison Sep 3, 2014  #101

  • Brittany,

    First and foremost, you should have a right to appeal the denial of your benefits. With respect to any overpayment, Reliance Standard would have a right to enforce policy provisions to recoup the money owed. Please feel free to contact our office to discuss your claim further.

    Stephen Jessup Sep 3, 2014  #100

  • I have been disabled since November 2009, and receiving long-term disability payments from Reliance Standard. In July, Reliance Standard cut me off my payments, saying that I was no longer disabled, even though my conditions had not improved. Also in July, the SSDI Administrative Law Judge made a ruling fully in my favor. After calling Reliance Standard, they kept saying, I am sorry but your file is closed. I am still liable to pay them back?

    Brittany Sep 2, 2014  #99

  • Mickey,

    If your policy does not allow you to work and still be deemed “disabled” then Reliance Standard could potentially deny your claim all together as well as request a repayment of the funds you received from working. As your situation is complex, please feel free to contact our office to discuss your claim in further detail.

    Stephen Jessup Aug 30, 2014  #98

  • I have been disabled since 1997. After years of paying me, Reliance Standard figured out that they had not been taking out enough, plus they should have been taking out the SSI my children received for me when they were minors. They have been keeping my pay from them for the last 10+ years to pay off around a $79,000 dept. I just received a letter and a check from them telling me I am payed up. The problem is I had to work part time against doctor’s orders because I couldn’t survive on SSI disability. Can they now add up my part time work and create a new bill? Can they also charge me for increases I received for SSI disability over the years? If so, I only earn about $6000 a year part time. If they create a new bill and there is nothing left of my monthly payments from them for them to keep, can I file bankruptcy and write off what I owe Reliance Standard in overpayments? Please help. The stress of this is really effecting my health. Thank you.

    Mickey Aug 29, 2014  #97

  • Liss,

    MetLife could be entitled to recollect/offset your benefit by the amount your dependent son received on account of your disability.

    Stephen Jessup Aug 16, 2014  #96

  • My question about SSDI offset and children’s benefits relates to a child who was eligible for benefits when the claim was made under my record. My son turned 18 before my SSDI was approved and the benefits were issued to him directly and he was told by Social security that he had no obligation to give me that money. Now MetLife wants repayment of money I never received it is around 11,000.00 so I am concerned what this will mean for me.

    Liss Aug 15, 2014  #95

  • Karen,

    If there is a properly asserted right to an overpayment by your insurance company then they will have the ability to seek repayment of same.

    Stephen Jessup Aug 8, 2014  #94

  • If I have been assigned a caretaker as payee, are they required to pay LTD benefits benefits with lump sum payment from SSDI?

    Karen Fletcher Aug 7, 2014  #93

  • Tamara,

    They would be able to place a lien against you; withhold your benefit to apply it to your overpayment; or send you to collections.

    Stephen Jessup Aug 1, 2014  #92

  • I did not sign UNUM’s benefit payment option form. Can they put a lien on my bank account for “overpayment” from my SSDI back pay?

    Tamara Jul 31, 2014  #91

  • Sharon,

    You do not have to use Allsup, and I would recommend you select a Social Security attorney of your choosing. Regardless of whether you believe you will be awarded Social Security or not your Prudential policy requires that you apply for SSDI benefits and if needed, appeal any denial of same. If you do not apply for SSDI the policy could give Prudential the right to offset your monthly disability benefit by an estimated amount you would receive from SSDI. Whether you choose to use Allsup or your own selected counsel, you will be responsible to repay any applicable overpayment to Prudential less any attorney fee awarded by the SSA. Please feel free to contact our office and we can assist you in finding a Social Security attorney in your area.

    Stephen Jessup Jul 16, 2014  #90

  • Please help me. I am currently with Prudential LTD and they have told me I needed to file for SSDI and stated I needed to us Allsup. I filed with Allsup in June 2014 and I am about to have surgery again making the third surgery. I have collected from Prudential since May 2013. I have suddenly become uncomfortable about this whole process and thinking I should cancel with Allsup since they said I could at anytime. Since I started with Allsup do you think it is in my best interest to cut ties with them and if so how would I go about it so they do not touch my bank account. I do not believe that I will be awarded by SSDI but just in case I do not want to have to pay back money that should be mine since I had signed for a policy through work for LTD. I paid for this policy just in case something would stop me from working. Please advise as I am at my wit’s end and fear I have been set up for failure by Prudential and Allsup.

    Sharon W. Jul 15, 2014  #89

  • Lily,

    If the carrier is entitled to recovery of the dependent SSDI then they will collect one way or another, be it by withholding your monthly benefit check or you repaying the amount. You cannot go to jail for failure to repay the money but the carrier can put you into collections or file a civil lawsuit to recover the amount.

    Stephen Jessup Jul 6, 2014  #88

  • This problem is having me awake at 4am. I am already disabled but for 3 years I have been refusing to give them my child SSI. And my they are taking all my benefits to collected. My question is should I pay them my child SSI or at this point I need a lawyer? Also can they take me to jail for this? I forgot they want for me to sign a form giving them them to be able to get my information from my SSI. Thank you.

    Lily Jul 5, 2014  #87

  • Sorry for the late response. Yes, the insurance co. was notified by the court & my attorney was aware that the insurance co. wanted the lump sum. Thanks.

    SD. Jun 12, 2014  #86

  • Robie,

    I am assuming you are on claim? Typically the language is found in a section that discusses what Other Income can offset your benefit. If this is a policy you purchased directly from an agent chances are there is no offset language. With respect to potential buyouts of your policy/claim- each case is fact and carrier specific. As such, please feel free to contact our office to discuss how we may be able to assist you.

    Stephen Jessup Jun 1, 2014  #85

  • Hey CJ,

    I hve a individual principal LTD policy. I don’t believe it has any SSDI overpayment language in it but am not sure. What type of words should I look for?

    Also what if I’d like to get a buy out on that policy. What are your fee’s to make that happen? Is it a % and if so how much or a flat fee?

    Thanks for your very interesting and informative blog.

    Robie May 31, 2014  #84

  • I have an issue that is bothering so bad that I don’t want to pay Unum any overpayments whatsoever I received from SSDI. The day I received that overpayment form they sent me back in 2012 (the old form) I called Unum and talked with my LTD Representative who approved me for LTD. I don’t have any issues paying Unum back MY SSDI overpayment but I do any overpayment of my dependents. This is the reason why. Whenever I was talking with him (name withheld for now) I specifically asked him if Unum request any overpayment for SSDI payments for dependents. His specific statement was “No Unum does not request any SSDI dependent overpayment”. So, I signed the form and sent it back. Now that I was approved for SSDI, Unum wants the SSDI overpayment back.

    Well what they do not realize is I had the LTD Representative on speaker phone and my wife is a witness to his statement. We were so specific we actually wrote down what we were told.

    I am thinking of writing a letter to Unum of this fact and also going to tell them the date and time of the phone conversation because I know they like to record the conversations without telling the person, which is actually legal under Federal Law. Anyway, if that Rep told me one thing to deceive me then they must abide by what was told to me. Again, I only agreed to sign that form because I was told Unum doesn’t recoup overpayments of dependent SSDI payments.

    Unum is very, very deceptive in their business ways.

    Rob Apr 21, 2014  #83

  • David,

    The policy language typically only allows them to offset your benefit based upon Dependent SSDI benefits that are attributable to your disability. As such, Hartford should not be able to reduce the SSDI money your wife receives on account of her own disability claim.

    Stephen Jessup Apr 4, 2014  #82

  • I am receiving disability payments from Hartford, my wife is disabled and approved for benefits from social security. My wife applied for SSI and was told by social security that she is eligible for SSD under my record. Can hartford offset my benefits due to my wife receiving SSD for her disability under my record? Thank you.

    David Apr 3, 2014  #81

  • Dave,

    Your obligation to repay Liberty any overpayment under the contract would potentially remain regardless of the Bankruptcy proceedings. I would discuss with your Bankruptcy attorney to see if Liberty waived any rights.

    Stephen Jessup Mar 25, 2014  #80

  • Stephen,

    My STD was discontinued here and there, but in the end I did receive my STD in it’s entirety. There were just delays that had suspended my benefits and there for delayed me from getting proper medical treatment and prescriptions’ along the way.

    My last contact with my STD claims manager, she stated my she extended my STD to it’s entirety to Feb 2, 2014, and was transitioning me into LTD. I now have a new claims manager for the LTD.

    All the stalling delays along the way prevented my from seeing the specialist I needed to see do to periodic denial of benefits while my STD was reviewed again and again… each time I would be without benefits during their “review”, and then each time Cigna would eventually reinstate my STD and I would receive my back-pay, but that didn’t help me to see my doctors in between since I had no money or insurance at the review time periods.

    Now of course my LTD in review and once again I have no insurance and unable to see my doctors ( they require payment up front since I have no insurance at this time, which I am unable to afford.

    My claims manger stated that if my LTD is approved, I would again receive my back pay. That does not help me in the mean time because I have had to cancel appointments with specialist while I am waiting.

    Bill Mar 24, 2014  #79

  • I received roughly $28,000.00 from SSDI back pay that was discharged in bankruptcy. Liberty mutual has offset my $200.00 LTD monthly payments for 2 years now. Since my back pay was discharged, Liberty continues to send me monthly offset receipts.

    1. Is Liberty responsible to pay back the 2 years of offsets they have kept?

    2. Can they still offset the payments even after discharge?

    3.Shouldn’t they continue to pay monthly supplements?

    Thank You.

    Dave Mar 24, 2014  #78

  • Bill,

    You indicate that your STD claim was terminated prior to the natural expiration of the benefit. Did you ever appeal/receive the remainder of your STD benefit? If not, there stands a likely chance that your claim for LTD benefits will be denied as well. LTD is usually predicated upon being disabled during the Elimination Period, which normally coincides with your period of STD. If you were not deemed for the entirety of the STD benefit, the LTD claims determination is often a denial for not being deemed disable during the Elimination Period.

    Stephen Jessup Mar 19, 2014  #77

  • Hello,

    I don’t know if I need an attorney for my LTD or not, I have CIGNA Disability from my job. I had STD by CIGNA on and off since Aug, 2013. My CIGNA claims manager never communicates with me until my claim is canceled, then once I finally talk to her, she says it was canceled for lack of medical papers from my Dr., which I attempted multiple times a week for weeks to contact her to be sure she had all the papers she needed.

    Now my LTD is in review (not yet approved), I have no insurance and had to cancel multiple Dr. appointments waiting for my LTD decision. I feel as if Cigna is stalling. I did receive papers from Allsup.

    I am in pain unable to purchace my medications, or see the specialist my PCP recommends. When I talked to my LTD claims manager, he was surprised I didn’t have insurance coverage… LOL… man… What Do I Do!?

    I can’t afford to see the recommended Dr.s.

    Bill Mar 18, 2014  #76

  • V,

    At this point I would think they would be hard pressed to force you to apply, and it would probably be doubtful that the SSA would approve a family benefit. Have they sent you anything in writing?

    Stephen Jessup Mar 15, 2014  #75

  • I was off work on disability for over a year with Unum insurance policy through my job. They made me apply for Social security benefits. I was approved and now have to pay them the back check of over $17,000. I am sending them all of that money as agreed. My question is that I have been released from my doctor and started working again and I called them to notify to stop my disability benefits. I got a call from them a few days later telling me I have to apply for family social security disability benefits now. I have not asked for family benefits from Social security. I am working and really don’t want to take the time nor have the time to apply. Can they make me apply for this now after the release?

    V. McCully Mar 14, 2014  #74

  • SD,

    Did you advise your carrier of the Bankruptcy proceedings, and did you let your Bankruptcy attorney know that you had an obligation under the policy to return the re-pay the back benefit check for SSDI to the carrier?

    Stephen Jessup Feb 11, 2014  #73

  • My SSDI lump sum payment that I recieved was included in my bankruptcy, which has now been discharged & closed. the LTD carrier did not receive any money from it. In the meantime, my LTD carrier continues to offset my monthly payments from the SSDI lump sum payment. Can they continue to do this? Also, since my SSDI lump sum was forgiven, so I believe, my LTD carrier should reimburse me since the time they started the offset as well as beginning my monthly disbursement again. What are your thoughts? Thanks.

    SD Feb 10, 2014  #72

  • S.L.R.,

    Unfortunately, as we are not tax professionals, we cannot provide any type of advice as to taxes. Additionally, as you are already represented by counsel, I would suggest you request they follow up with MetLife as well as any legal questions you have regarding your claim.

    Stephen Jessup Feb 1, 2014  #71

  • Appreciate your site.

    History: STD then LTD 2007-2009. Then LTD denied “limited” 2010 received SSDI awarded. Sued MetLife LTD won case. MetLife advised they would with-hold SSDI award money and then reinstate my LTD. I reported SSDI based on 1099 received in 2010 paid taxes. In 2013 MetLife ordered to reinstate my LTD. Advised MetLife would provide “letter” of repayment in order to get a “tax credit”. IRS advised the letter is not an acceptable document and I can’t find a CPA/EA that knows how to amend my 2010 return because the repayment was in 2013 for 2010. In addition, in 2013 MetLife paid different checks at different times. I received my 2013 W2 only to be shocked at the amount. I have been unsuccessful in obtaining a written itemized explanation as to the amounts making up the W2 (my attorney has no clue either) I requested in writing of MetLife a breakdown so I could reconcile the W2 but MetLife refused only verbal which was off by $6K.

    Question 1: In the case of a “repayment of the employee/claimant back to the Insurance company, what is an acceptable document suitable for income tax purposes the Insurance should provide to the employee/claimant?

    Question 2: When an Insurance carrier has a District Court Order to re-instate the employee with back benefits, can the employee demand a written itemization in support of the W2 which included back benefits, current years wages, and “award” amount?

    Question 3: In order to deduct the cost of attorney’s fees (1/3 of the award) what documentation does the attorney provide the client to satisfy the IRS requirement?

    Thank you,

    S.L.R. Jan 31, 2014  #70

  • Frank,

    The responsibility for the repayment is solely that of the insured.

    Stephen Jessup Jan 11, 2014  #69

  • If an individual who is currently on a repayment plan to reimburse an insurance company dies before the total SSDI back pay is reimbursed, is their spouse legally responsible for paying the rest of the back pay owed?

    Frank Jan 10, 2014  #68

  • Ray,

    Most policies are written to limit any legal action under the policy to 3 years from the date a claim of action arises.

    Stephen Jessup Jan 8, 2014  #67

  • Is there a statue of limitations on the LTD carriers ability to sue a person for over payments? It has been two and a half years since they asked, via a letter for overpayment pay back. I no longer receive SSDI (back to work), which I once did… so having not heard from LTD in over 2 years, I am wondering if they will file a lawsuit or their tome frame to file a claim has expired.

    Ray Jan 7, 2014  #66

  • JBD,

    If the time period of the award of SSDI benefits is retroactive to a time that you were receiving STD benefits, then the company could have a right to reimbursement.

    Stephen Jessup Dec 12, 2013  #65

  • My disability is terminal. After being told by my employer that I was not performing adequately due to my disability, I filed for and received three months of STD benefits from Company “A”. Knowing my disability was permanent, near the end of my STD benefit period I filed for LTD benefits with the same company. Upon exhaustion of STD benefits I was approved for LTD benefits which I started receiving immediately. The STD and LTD policies are separate and distinct, and handled by two different groups within the company.

    Both STD and LTD policies contain language regarding overpayment for other income of which SSDI is defined as “other income”. The language states “If the insured is entitled and eligible for other benefits they must apply for them”, and of course that the company must be reimbursed for that overpayment.

    One month after STD benefits had been terminated, and one month into the current LTD policy, I received a letter reminding me that I likely qualified for SSDI benefits and was obligated to apply for them. I did apply for SSDI at that time and was approved for SSDI benefits almost immediately including a one year retroactive payment which goes back further in time than when I started receiving the STD benefits.

    The insurance company now claims overpayment for both the STD and LTD benefits I have received. I fully understand my obligation under the LTD policy however I do not understand why they are making claim for the STD benefits. I have clear documentation demonstrating I was not entitled or eligible for SSDI benefits during the STD policy period, that the STD policy was terminated on a specific date, and that I applied for SSDI benefits well after the STD policy had ceased. There is no specific retroactive clause in the STD policy that codifies recouping overpayment even after the policy has terminated.

    Can the insurance company legitimately and legally seek overpayment for a policy that terminated before SSDI benefits were applied for?

    JDB Dec 11, 2013  #64

  • Tasha,

    You will ultimately be liable to the insurance company for any overpayment. Chances are they will work with you to reach some sort of arrangement on the repayment. I suggest you follow up with them as to that.

    Stephen Jessup Nov 27, 2013  #63

  • I was awarded SSDi benefits a week less then a week ago and was facing eviction. The courts gave us less 10 days to move on november 15th I did not know what I was going to do then I received the award. I received 3500 in which my lawyer took 924 and my account was over drawn 635 dollars. Left with 1941 I found a place fast but they wanted 2125 for me to move in and I had no choice we had no time to find anything else in such short notice. By this time I had 5 days left to move and I used the rest of the money and once again I had to bounced my account because after I took the 1941 I still did not have enough to keep our things off the street. So an additional 500 bounce was made to pay some one to move me and my autistic 6 year old son and the down payment for a home. I called sedwick in october and made the aware of the award letter of 924 starting in november that I would be receiving from SSD. My agent said ok made me aware that if I get a lump sum that I would have to pay it back he also said it will adjust and pay the difference from what they pay and what SSD pay. I told him I did not want to owe anymore then I had to. He said ok it all done starting in november it will be adjusted. All these event occurred and I was going to see if they would take the 188 to pay back the 3500 which would take around 20 months give or take. Now before I got the chance to call this all happened in the last two weeks and the stress is overwhelming I got another deposit for my full 1044 instead of the adjustment amount of 188 which has gotten eaten up by bounce fees yet again. I am so scared what will they do? Now I have spent the over payment plus an additional 1044 I was not supposed to get anyway. Please advise I am so scared.

    Tasha Nov 26, 2013  #62

  • Rose,

    Unum cannot garnish your SSDI check, but they can most likely offset the disability benefit they pay you for failure to apply for a source of “other income benefits” – in this case the dependent SSDI. With respect to repayment of any overpayment, you would have to discuss with Unum if they would be amicable to your proposition to withhold the monthly benefit to repay any overpayment.

    Stephen Jessup Oct 28, 2013  #61

  • I receive my retroactive payment from SSDI. Unum was paying me 2420 a month they never explain to me about the overpayment. Well, I’m giving them back the over payment amount of 28,806. Now they want me to file for my daughter so that won’t have to give me the 843.00 a month cause I will be getting 1577 a month from SSDI. If I don’t pay them the back money from my daughter’s, which I have not file for her yet, can they Garnish my SSDI check? Once I get the 843.00 from SSDI for my daughter UNUM will only be giving me 242.00. Can’t they just keep that until I pay off the retroactive payment of 14,333 that’s what my daughter back pay will be?

    Rose Oct 27, 2013  #60

  • JD I Am,

    From a practical standpoint you are correct; however, from a legal standpoint under the terms and conditions of the policy, if dependent SSDI is an offset (which most of the time it is) they have a right to offset your benefit on account of it, even if the dependent does not reside with you.

    Stephen Jessup Oct 25, 2013  #59

  • Mr. Warren, thank you for your comment.

    Please note that lawsuits have been filed by Insurance companies on ERISA based policies to recover overpayments – as is the case in the above – which I would suggest you read. Some of these are successful and some are not dependent on the facts.

    Stephen Jessup Oct 25, 2013  #58

  • Attorney Greg Dell:


    Reliance will reduce her benefit every month moving forward by the amount of the SSDI for her and any dependent children. Reliance cannot ask for anything more than SSDI has paid.

    This is NOT entirely true! Example, LiFi paid me $2250 LTD, for 20 months, and then I was approved for SSDI for $1710, so you would think I would receive $540 from LiFi til I am 65, but, NO, I am divorced with 2 children, who receive $855 in SSDI Aux, now figure the back pay, I received about $26,000, and had to repay everything LiFi paid me, (about $17000 more than SSDI paid me) because $1710 + $855 = $2565 which is more than the $2250 LiFi paid me! Which is also $855 per month more than SSDI paid me! So you see, sometimes you DO have to repay MORE than SSDI paid you! The SSDI Aux was paid to my ex-spouse, all the while I did in fact pay child support also!

    JD I Am Oct 24, 2013  #57

  • Most insurance companies include a provision in the policy that allow the insurance company to sue the disabled person to recover any LTD benefits that were overpaid, once the disabled person receives back-benefits from Social Security. However, if your client’s LTD policy is provided through work, and your client’s employer was not a church or government entity, then the insurance company’s claim is preempted by ERISA, and, under ERISA, they may not have any right to recover your client’s back benefits. The short answer is that, if the LTD benefits are provided through an ERISA plan, the insurance company may be able to offset benefits going forward, and may recover an overpayment out of the remaining benefits, but probably cannot sue to recover the overpayment and collect money back from the client.

    LE: I think some of these comments are made by attorneys paid by insurance companies!

    R. Warren Oct 24, 2013  #56

  • Jerald,

    If SSDI is paying you $1600, Hartford will reduce your benefit of $1800, by that amount resulting in a net benefit of $200 a month that Hartford will pay you. You would owe Hartford the $19200 under your hypothetical.

    Stephen Jessup Aug 9, 2013  #55

  • Hey, if I am getting 1800 from my LTD, Hartford, and I get SSDI for 1600, are you saying I have to pay back the 200 difference that my LTD was paying me for x of months so if my back pay from SSDI was 1600×12 months = 19200, and the 200 over-pay from Hartford is 2400, it will be like 19200-2400 = 16800 mine to keep? Thanks.

    Jerald Aug 8, 2013  #54

  • Tony,

    I would only suggest that you avoid making the authorization so restrictive that Unum argues you are impeding their ability to investigate the claim, which could lead to a denial of benefits. Although it is clear that their actions seem like harassment, the review for entitlement to disability benefits is on a month to month basis, as such Unum is within its rights to request information from your doctor every month.

    Stephen Jessup Aug 1, 2013  #53

  • Hello,

    A little background before I begin: I was receiving from Unum, prior to being awarded SSDI, about $2,400.00 per month. After I received my lump sum payment from SSDI, Unum stated that I need to repay the over-payment of approx. $32,000.00. Not fighting that, I agree with them. My SSDI + the SSDI dependent money = just about $2,150.00. Unum “issues” me a payment of $250.00 each month, I never see this money as they just keep it to pay back the over-payment I owe them. I am perfectly fine, no issues.

    Now for my question. “Authorization” forms.

    I received a disability update form from UNUM. I filled out the pages, the doctor filled out their portions. I did not sign the authorization form, instead I attached the following letter:

    “To whom it may concern;

    Due to past, what previous Medical professionals deemed harassment, the following statement is being entered:

    I am not authorizing Unum Group or its subsidiaries, Unum Life Insurance Company of America, Provident Life and Accident Insurance Company, The Paul Revere Life Insurance Company, or persons who evaluate claims for any of those companies (“Unum”), employee benefit plans sponsored by my employer / former employer or any person providing services to, or insurance benefits on behalf of, such plans, or to anyone who provides services, including the evaluation of claims, related to benefits offered by Unum, my employer or former employer, or the social Security Administration (“Authorized Recipients”).

    I do however agree , this information is needed for the review of my claim, I will be more than willing to obtain information if it requested:

    1.) In writing
    2.) Allowed ample time for the records to become available
    3.) All fees and postage be prepaid by the entity requesting such information, prior to the release
    of such records to the requester, or subsidiaries listed above.

    In order to receive information requested, the requester should send payment to:”

    Do you think I am asking too much of them (Unum). I just don’t want my new PCP to be harassed as the previous PCP was.

    Your thoughts…

    Tony Jul 31, 2013  #52

  • Betty,

    If the company has a right to the back benefits for a period of time that they paid you, then they are entitled to it. Normally the check from the SSA will come straight to you. Whether the insurance carrier will know about it is another thing (as your claim has been terminated). In the event that they do contact you demanding repayment you can attempt to work out a payment plan with them. As for “worst case scenario” I would refer you to the above article, indicating the insurance carrier could bring legal action against you.

    Stephen Jessup Jul 13, 2013  #51

  • Hi my name is Betty and my question is my LTD was paying me until April then when it was time for my review they denied me. I haven’t received anything else saying I was ready to go back to work but I had a hearing with social security and they gave me full disability and a vocational expert said I wasn’t able to return to work. LTD still cut me off, so that made all my bills get behind so now they are telling I need to give LTD all their money back. Do I have to pay all the money back at one time I am so far behind on all my bills what is the worst thing they can do since they are sending me the money can they take my check especially when I they send me the money to LTD? I need help quick.

    Betty P. Jul 11, 2013  #50

  • S,

    With respect to the ability to discharge the over-payment in Bankruptcy court, you would need to speak to an attorney that specializes in Bankruptcy. It has been our experience that insurance carriers do turn over claimants to collection agencies for collection of over-payments.

    Stephen Jessup Jul 10, 2013  #49

  • Second question: can UNUM bypass any legal proceeding and simply turn you over to a Collection Agency immediately after a denial for an Overpayment? If yes, can this be discharged in Bankruptcy Court?

    S. Dixon Jul 9, 2013  #48

  • S,

    Every case and fact pattern is unique and as such it would be impossible to provide answers to your questions. If you are facing a similar situation, please feel free to contact our office to see how we may be able to assist you.

    Stephen Jessup Jul 8, 2013  #47

  • I read the 9th Circuit Court in 2012 added more provisions of what constitutes which funds UNUM can go after and that this protects a denied claimant from having his or her personal assets taken (SSDI/equitable claim).

    In Daniel’s case his disability claim had run out of money, so he couldn’t pay back monthly. What if you have enough money for the duration of your contract and UNUM denies you after years on disability and then threatens to sue you for the remaining overpayment Seems contrary for UNUM to do so when they are being reimbursed, but they do anyway.

    What if a Buy Out was feasible and they refused and went the court route instead? Would the courts still back UNUM’s claims?

    S. Dixon Jul 7, 2013  #46

  • Bryan,

    I would recommend you speak to Cigna directly, as they are the entity that has a potential right to the recovery of the SSDI for any offset under the policy.

    Stephen Jessup Jun 25, 2013  #45

  • I was approved for SSDI. I was put out of work in 2010. Advantage 2000 said the judge offered to approve me from June 2012 when I turned 50 because it would be easier to get it. I asked for the offer in writing and Advantage said that they didn’t have anything in writing. I felt I got screwed out of at least a year. Could Advantage been lying to me just so they would not have to travel for a hearing or have to work harder? I said OK to it reluctantly. I collected 1187.00 from Cigna. SSDI approved me for 1447.00 approx. monthly. Advantage 2000 says I have to send the over payment to them and not Cigna. They wanted to debit my bank account and I said no way. I haven’t deposited the check. It says it is good for one year. I don’t plan on keeping the money but I’m not so sure I owe them the complete amount anyway. I don’t like Advantage 2000 and I think they work for Cigna more then they work for the client. I do not trust them. The consultant I talked to seem to be very displeased when I told her I did not deposit the check and was not allowing the to touch my bank account. I told her I did not want to communicate by phone anymore because it is too much to remember. She said it is their policy not to use email about my benefits. Now they just want my check. I told them I was going to talk to a local attorney, and that I was going to talk to Cigna. According to Advantage, I owe Cigna 500.00 more then what DSS gave me in a lump sum. She said Cigna would work with me on that and actually asked me if I could pay it now. Do I even have to talk to Advantage now that my claim has been approved. I feel I am being harassed to be quite frank.

    Bryan Prather Jun 24, 2013  #44

  • Jayne,

    Unfortunately, it is possible for a private insurance company to terminate a claim for disability benefits despite the fact SSDI has approved the claim for 15 years. In doing so companies such as Hartford will rely on what they consider “new evidence” that the SSA does not have- in this case video surveillance the possible negative report from the IME doctor. With that information in hand it can lead Hartford denying the claim for benefits. That is not to say that they will not be proven wrong after filing an appeal, but it does rise to a level to justify, in their mind at least, in denying your claim. Please feel free to contact our office to discuss your claim should you have any questions.

    Stephen Jessup Jun 20, 2013  #43

  • I broke my back in 1998. My spine is structurally damaged, with enough rods, cages and screws to make it look like a poorly constructed erector set. My former employer applied for SSDI and for a supplemental disability policy they carried through. The Hartford. Much to my dismay, I was approved by both. At the time, I thought I would recover. I was wrong. Fast forward to 2013. My spine has actually degenerated… The Hartford did surveillance on me in January, now 15 years into the disability. There was nothing inconsistent with my reported injury on the tape, but now they have set up an appointment for me to see one of their doctors. My doctor was appalled they did surveillance on me and told me my back was one of the worst he’s seen. I know my claim is legitimate and I know all my doctors will stand by me. However, I’m terrified that a big company like The Hartford will cut me off… I rely heavily on every penny I get, both from The Hartford and SSDI. So, in summary, is it possible for a supplemental disability company to cut off a policy holder… When they have beef on SSDI for 15 years?. (The policy was a perk from my employer, I have never actually seen the actual policy). Thank you for your help.

    Jayne Walko Jun 19, 2013  #42

  • Marissa,

    The disability company can only demand an overpayment for any period of time where the SSDI payments and the disability insurance payments overlap for the same dates.

    Gregory Dell Jun 5, 2013  #41

  • I’ve been claiming & receiving STD on & off work due to Systemic Lupus since my DX in 2007. In 2011 I was off work again & filed STD & was approved. Oct. 2011 I applied for SSDI but return to reduce hours Dec. 2011 still not 100% well I knew my illness was affecting my work. My employer were no longer accommodating my reduce hours. Dec. 2011 I became very ill & was off work again back on STD. I received an approval letter from SSDI Dec.2011 with no retroactive because they used Oct.2011 as my 1st date of disability. But there was a 5month waiting period o receive my 1st SSDI check. In the mean while I was receiving STD payments which then turned into LTD payments then I started receiving SSDI payments once my 5 month waiting period was up. So my LTD requested back pay from me base on my SSDI monthly payments & reduce my LTD payments. Plus requested all my STD payments I received to be returned back to them. Can they do this? I already paid back LTD & now they are garnishing all my future LTD payments to pay all the STD payments I received. I never received a retro pay from social security.

    Marissa Jun 4, 2013  #40

  • Regina,

    First: Met is entitled to an overpayment from the SSDI amount, but you can hold the money and ask them to agree to a payment plan.

    Second: If they have already stated they are going to deny his benefits, then you need to take immediate action and contact an attorney. We can review the correspondence from Met and let you know immediately if we can help you and what steps need to be taken. The SSDI funds should come to you directly and not Allsup or MetLife.

    Gregory Dell Jun 3, 2013  #39

  • My husband had a massive heart attack (widow maker 99%) in 2/12 and has a laundry list of health problems as a result. His LTD kicked in 8/12 through Prudential Ins. Co. They hired Allsup to take over his SSD case, which he initially filed on his own. He was approved from the date he had the heart attack and just received his backpay award from 8/12-4/13. Allsup is wanting him to give them the backpay in its entirety along with an additional $1,000. Since SS pays behind (my husband will receive May benefits around the 20th of June), and Prudential has been paying the latter part of the month for that particular month (deposit on 5/28/13 for May’s benefits), they claim that we still owe the difference. How? This was an employee benefit. He’s only getting 60% of his 40 hour a week pay when he used to work 60+ hours a week. We can’t take another financial hit and are barely making it now. In addition, they’ve only approved his LTD for 24 months and sent a letter stating that they feel as though he could return to work and earn that amount, so will the LTD benefits may end in 8/14 depending on their medical panel’s review. What does their medical panel have to do with making these decisions? His doctors say no work at all. He has massive heart damage, 50% use of his lungs, short term memory loss, sleep apnea, 50% use of kidneys, gout, depression, anxiety, etc. He’s on a ton of meds and needs a nap after simply walking the dog. There isn’t a job that he would be able to do – even on a part time basis. There are days that he doesn’t leave the house because he has no energy and feels bad. We livein S.C. I don’t understand why he has to repay his SSD backpay when the LTD was an employee benefit. We have a ton of medical bills outstanding and now have to pay out the nose to keep COBRA insurance coverage – not to mention the cost of his meds. Do we need to talk to an attorney? If we give them the backpay and they turn around and cancel his LTD coverage, where is that going to leave us? As it stands, he gets $2,000/mo. in LTD, and will receive $1,400/mo. in SSD, so they will be required to pay him the difference of $600/mo. We have a 13 year old to raise. She’s currently getting SSD benefits under me. I was awarded last year. She would get about $40 more per month under her Father, but that would cut out the LTD difference completely. I want to do what’s right, but we’ve got to live too. There’s also a waiver of premium on a $78,000 life insurance policy. As long as his LTD is active, he will keep the insurance. If it cancels, he’ll lose it. I’m really confused at this point. Do we need to speak with an attorney? He worked in maintenance at a lumber bill. He was at work when he had the heart attack. He seized, and fell on a beam and industrial equipment. He has a massive knot on the back of his head, and his back was black and blue. Initially, when I met with HR at the mill, they said that any injuries he sustained as a result of the fall would be filed under workman’s comp. Then, they wanted Ken to sign a paper agreeing not to go after WC or they would not start his short term disability benefits which lasted 6 months. That’s not been mentioned again. The neurologist doesn’t really know if the blow to his head and/or a combination of the lack of oxygen has caused the short term memory loss. Ken actually died 3 different times and was not expected to survive. They call him a miracle and say that he beat every odd in the medical books. By their standards, he should not be here. He still forgets things – will leave the stove on, forgets what you tell him. Some days are worse than others. I know this is a lot of info at once, but I really don’t know what to do.

    Regina Scott May 31, 2013  #38

  • Michelle,

    If you receive SSDI first, which is unlikely, then you will not need to worry about a backpay situation as long as you notify The Standard as soon as you receive the SSDI funds.

    Gregory Dell Mar 8, 2013  #37

  • Anxious,

    The answer to your question about the CPI increase by SSDI depends on how the offset is defined in your disability policy. I have seen offsets with and without the CPI increase from SSDI.

    Gregory Dell Mar 7, 2013  #36

  • Hi Greg. I’m in the process of applying for both supplemental LTD (with The Standard Co.) and SSDI. Both are at the medical review stage. If I begin to receive SSDI first and receive backpay will I have to worry about The Standard recouping money from me? This is all so frustrating and confusing. Thank you for your time.

    Michelle Mar 7, 2013  #35

  • Can a LTD lower my monthly benefit by the amount of the CPI increase by SSDI every year or not? There is no CPI provision in my policy and SSDI is an offset.

    Anxious Mar 6, 2013  #34

  • Christina,

    Your daughter’s SSDI benefits cannot be touched by Hartford and will not offset your monthly benefit since she will not get disability benefits as a result of your disability. You may be able to get a buyout from Hartford, but you would not be a candidate until you reach the any occupation stage. Even if you are approved for SSDI, the Hartford can still deny your disability insurance claim. If you do get an overpayment from SSDI, then Hartford can sue you to recover the money. If you are living on the Hartford payments now, then you will receive the same amount each month once you are approved, except some of the money will come from Hartford and some will come from SSDI each month. If you decide to keep the SSDI back payment, then you are keeping money which technically belongs to Hartford. You can always try to work a payment plan with Hartford, but since you plan to be on SSDI, which means you cannot work at all, it would not make sense to sever your relationship with Hartford as you may get paid until age 65.

    Gregory Dell Feb 15, 2013  #33

  • I was recently approved through Hartford LTD after over a month of giving me the runaround. After 2 years my policy changes from own occupation to any occupation. I plan to file for SSDI very soon. If/when I’m approved for SSDI I would rather not continue dealing with Hartford rather than give them my back pay from SS. If I don’t give them backpay can I request a buyout of my Hartford claim?

    My policy states that I’m paid until 65 (I’m now 36 years old) as long I remain disabled. Can they determine I can work while SS is still paying me (so obviously they feel I cannot work)? How likely is it that they would agree to a buyout? If they refuse a buyout can I refuse to send them backpay and just let them cut me off instead?

    My daughter receives SS survivor’s benefits because of her father’s death (he & I never married) and I’m wondering what impact that may have, if any. I need that backpay to secure housing for child and me and I won’t send it to Hartford.

    I’m so scared of what I should do and would be so grateful for any advice you can give before I apply for SSDI.

    Christina Feb 14, 2013  #32

  • Valerie,

    You need to ask Hartford for a written explanation calculating how much you need to pay them for any overpayment. If you disagree, then you may need legal advice. At this point you do not need an attorney.

    Gregory Dell Feb 12, 2013  #31

  • Hello, my name is Valerie and I appreciate your time. I just received approval from SSDI $2085. Long term disability Hartford/company plan, stated that I am to turn over SSDI retroactive pay to them. LTD initially paid $3010 for 2 years then payment $2008 current. No one has explained how much I should pay. Should I seek legal advice?

    Valerie Feb 11, 2013  #30

  • Regina,

    Reliance Standard should be willing to work with you on a payment plan. If you get sued, a Judge may or may not make you give back the money. It is a complicated question, because in some jurisdictions courts have not allowed disability insurance plans governed by ERISA to recover SSDI overpayment funds, unless the disability carrier can specifically identify the funds they are going after. This is a minority view. If you are being paid LTD benefits, then the disability company will likely continue to offset your benefits. They may also engage in a lump sum buyout of your entire policy, which would include the overpayment. We regularly handle lump sum buyouts on disability policies, but only a few companies will offer them. Reliance Standard will occasionally offer a buyout.

    Gregory Dell Jan 17, 2013  #29

  • I want to say thank you for giving good advice to us all. If Reliance Standard won’t accept a buyout or payment plan for hardship, what are the odds that a judge will rule in your favour towards these instances? I wanna give them some $ when I get the backpay, but would like to workout something with them to pay the rest back over term, or see if they will settle for large portion of it. What do you advise?

    Regina Moore Jan 16, 2013  #28

  • Bonnie,

    The worse case scenario is that they could file a lawsuit against you seeking payment of the funds.

    Gregory Dell Dec 27, 2012  #27

  • Hi, I’ve been awarded SSDI and I understand I have to reimburse my LTD company the over-payment. However, my bills were extremely backed up and so I want to make payment arrangements with the LTD company. What if i want to keep some of the money to get my bills in order. What is the worst that can happen to me. I don’t mind having them take all my benifits. I do want to pay them back. I just need a little time, they will only give me 12 months to pay back. Help

    Bonnie Roman Dec 24, 2012  #26

  • Jeff,

    Reliance will reduce her benefit every month moving forward by the amount of the SSDI for her and any dependent children. Reliance cannot ask for anything more than SSDI has paid.

    Gregory Dell Dec 4, 2012  #25

  • My wife was just approved for SSDI and we got a check for back payments of about $12,000 with $1230 monthly benefits to start soon. During the time she was fighting for social security, she was receiving LTD through Reliance Standard ($1600/month).

    Two questions:

    1. Will Reliance Standard just reduce/offset their monthly benefit by the amount of SSDI so my wife still gets about $1600?

    2. We know we owe overpayment, but can Reliance Standard ask for more than the amount of my wife’s lump payment ($12,000)?


    Jeff F. Dec 3, 2012  #24

  • Steven,

    A Unum buyout may certainly be an option, but it depends on your policy language and your medical condition. This is a matter that you should call us to discuss.

    Gregory Dell Nov 15, 2012  #23

  • Hello, I’m now 38 years old, hurt my back off and on the job. I didn’t go workers comp due to my back had been hurting bad before I went to work! Had an MRI after being laid up in bed for a few weeks. On August 3rd 2010 I had a tlif on l4-s1, with rods, 6 screws, kevlar disc, and laminectomies. Unum had my STD that became LTD in the end of October 2010, LTD ended on October 2012, filed for plan B ’till I’m 65 years old. Got approved other decision from SSDI at Mon. Oct. 19th 2012 at my hearing – before hearing happened -. Waiting on paperwork to get through payment center! Unum called about plan until age 65. They said don’t spend the backpay, it’s their! Talking about my condition and what vocational training do I want! I told the guy slurring my words from being woke up on my pain meds I can’t go back to school I can’t concentrate from pain and sitting, lifting, standing problems! If I give them this backpay coming the guy said they wouldn’t make a decision on plan B ’till they get my SSD file and the backpay! Can I get a buyout that would include the backpay due to their itching to drop me so they won’t have to pay around $600.00 / mo. For 27 years if I pay the backpay I’m screwed and have no leverage with them!

    Steven Nov 14, 2012  #22

  • Beth,

    In some policies, worker compensation payments are considered an offset. You need to read the deductible source of income section of your policy to find the answer.

    Gregory Dell Oct 11, 2012  #21

  • I got hurt at work (rear-ended) and was covered by worker’s compensation for 7 months. I informed MetLife, after elimination period I received 3 months of disability payment. Will I be charged of overpayment in this case? I’m still not able to work at this time on 10# restriction by my orthopeadic doctor but IME released me to full work without restriction. On the other hand, MetLife stopped my payment and scheduled me for field interview. I’m on 8th month off work, unemployed, no WC or disability income. Can you please tell me my options.

    Beth Oct 10, 2012  #20

  • Diana,

    MetLife can reduce what they owe each month by the amount you receive from SSDI for you and your children. They will not sue you as you not have been paid by them as of yet. The pre-existing condition is an issue if you have had your LTD policy for less than one year. If it has been more than 12 months since your first had your disability policy and then apply for benefits with a date of disability after the initial 12 months, then you should be eligible. Feel free to contact us to discuss the application process.

    Gregory Dell Aug 11, 2012  #19

  • I was diagnosed with Microscopic Polyangitis (rare form of vasculitis) in November 2011. I applied in April 2012 and was just recently approved for SSDI benefits in July 2012. Social Security backdated my payments to November of 2011 and I received a backpay amount for around $6400. I will be receiving a monthly payment, as well as payment for my two dependent children (they are not disabled, but receiving a supplemental payment because they are my children, is all).

    I just applied for the individual LTD policy on 07/24/2012. Is there a way that MetLife could sue me for SSDI overpayments if I get approved for LTD? Can they offset my SSDI payments?

    MetLife talks about 60-90 day “elimination periods” – is that the same as Social Security? Meaning if they approve me for LTD, are they able to backdate 60-90 days and pay me a lump sum? Or, is that a 60-90 day waiting period from the date of the application and then benefits start?

    Also, the application mentioned “pre existing conditions exclusions”… can you provide a general explanation of what that means? I am applying for the policy after I have already been diagnosed and was truthful in disclosing all information regarding my illness. They talk about a “6-24 month waiting period” before benefits can start for certain pre-existing conditions.

    Any general information would be really helpful. Thanks so much! :-)

    Diana Aug 10, 2012  #18

  • Kelly,

    Unfortunately, your policy may have a provision that allows Liberty to recover any payments your received from SSDI for either you or your children as a result of your disability. Essentially, the Liberty Policy may be worthless once your start to receive SSDI.

    Gregory Dell Aug 7, 2012  #17

  • Why on earth would Social Security give you a check only for it to go away? My lawer was through Advocator Group and I understood I would pay him thats not the problem. I would NEVER have gone through Liberty Life if I knew I would be handing over my winnings which I thought would helpe me with my medical. They said I owe them 12 grand. My check was less than that and 3 grand goes to my lawyer… what on earth can I do and I refuse to pay Liberty Life? Please help, I need some guidance. I feel punished for being disabled and this has been a horrific experience and wouldn’t wish this on my worst enemy!

    Kelly Aug 6, 2012  #16

  • Clark,

    It is likely they can collect the overpayment, but you are entitled to a credit for the $6,000 attorney fee you paid.

    Gregory Dell Aug 4, 2012  #15

  • Allsup sent us a letter no longer representing him on Prudential behalf. We signed the letter with Allsup for repayment in the event of overpayment. Since they fired us as a client, then the contract we signed is non and void. Reading the contract, its says its only good for 24 months. Its has been longer than 24 months since it was signed.

    My husband was awarded his SSDI for heart failure due to an MI in 2009. We hired our own attorney for $6000. We have been sent a letter for demand for overpayment that is not accurate. We have sent this information to Prudential without any word back.

    Can they collect the overpayment? What about the tax liability?

    Clark Aug 3, 2012  #14

  • MetLife is the worst insurance company in the world. I received 6 months STD, then was approved for 6 months LTD. They then denied me. I had no income for over a year, became homeless and they didn’t take any of my medical issues seriously. They convinced me to allow Allsup to represent me. Allsup also suck. Once I was awarded benefits I agreed on record to pay Allsup 20 percent. Now they are telling me they also need to collect MetLife overpayment as well.

    Question: can Allsup sue me on MetLife’s behalf?

    Concern Apr 5, 2012  #13

  • CJ,

    If the policy has SSDI repayment language then you still need to repay regardless of who paid the premiums. You cannot deduct the premiums you paid, but if you did not deduct the premiums you paid, then the portion of the benefit you paid for may be tax free. Please read Are Disability Insurance Benefits Taxable?

    Gregory Dell Mar 27, 2012  #12

  • What if I am paying extra premiums for the LTD; I still have to pay them back for SSDI, can I deduct the premiums paid to the company? They provide basic coverage at the employer’s expense which is tax deductible. The portion I receive is not.

    CJ Mar 27, 2012  #11

  • Mike,

    If your STD and LTD benefits have been denied, then you need to file a timely appeal. If you have already filed all of the required appeals, then you have the right to file a lawsuit. If you contact us, then we can determine if we would be able to assist you.

    Gregory Dell Mar 24, 2012  #10

  • I’ve been treated for chronic pain and chronic fatigue. I have been off work three different times and denied benefits. The pain started in my feet 8 years ago and worked its way up my legs. I am under the care of pain management and have been for 3 years. I have history to support pain treatment, I just can’t find the cause. Doctors can not find cause, only diagnose me with chronic pain and fatigue. They believe it’s neurological, but no test confirms. They don’t want me to work. Been denied STD and LTD. I am in so much pain and weak. I can’t work.

    Is there anything I can do?

    Mike Mar 23, 2012  #9

  • Paul,

    Pursuant to ERISA regulation, the disability carrier has 45 days to make a decision and then they can request two 30 days extensions if they have a reasonable basis for the extension. We have no information about your claim so we cannot provide any opinion about whether your appeal with be successful. If you do not win your appeal, please contact us immediately and we will let you know if we can assist you.

    Gregory Dell Mar 20, 2012  #8

  • I’m having the opposite problem. I was on LTD then they stopped paying because the testing I was having took 3 months to complete. SSDI has ruled in my favor, however I want and need my LTD benifits. I have appealed their decision with several Doctors stating I cannot return to work. They have had the information for 3 weeks and have not called me back. How long can an appeal take in Michigan (CIGNA is the LTD company)? Do you see CIGNA not reinstating my LTD?

    Paul Mar 19, 2012  #7

  • Ann,

    You need to read the definition of disability in your disability policy in order to determine which definition of disability you have. Your definition of disability may change after the first 12 to 24 months. If SSDI denies you claim, then MetLife will likely use the SSDI information to challenge your claim. Your definition of disability may be different than the SSDI any gainful occupation definition of disability.

    Gregory Dell Mar 14, 2012  #6

  • How can I find out if I have “an own occupation definition of disability?” I have been on LTD since Sept. of ’09. I went for the ALJ Hearing and felt confident they will approve my claim, but never really feel confident of anything. I am covered by my MetLife LTD ’till I’m 65. So far, my doctors have satisfied their inquiries, but if SSDI denies my claim, I was wondering if that would affect my coverage by MetLife? Thank you for your help!

    Ann Mar 14, 2012  #5

  • Lee,

    Five years sounds like a long repayment plan, but there is no harm in you asking for it. The carrier is not obligated to offer you a repayment plan.

    Gregory Dell Mar 12, 2012  #4

  • Hi, I’ve been awarded SSDI and I understand I have to reimburse my LTD company the over-payment. However, my bills were extremely backed up and so I want to make payment arrangements with the LTD company. My arrangements will take me a little under 5 years to pay back $18,000. Is it realistic for the company to maybe consider an arrangement? I’m not refusing to pay them back, I just need some time. Thank you for your help.

    Lee Mar 12, 2012  #3

  • Ann,

    MetLife can drop you for any reason. If your MetLife definition of disability is similar to the SSDI definition of disability, then MetLife will likely make a decision consistent with SSDI. If you have an own occupation definition of disability, then an SSDI denial is not as critical. You should appeal an SSDI denial.

    Gregory Dell Mar 11, 2012  #2

  • Can MetLife drop me if SSDI denies my claim?

    Ann J. Mar 11, 2012  #1

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