Is My Insurance Company Allowed to Take An Offset of My Monthly LTD Benefit for Social Security Benefits My Kids Receive As A Result of My Disability?

It is common practice for insurance companies to find ways to limit the amount of money they have to pay to claimants. If you are receiving long-term disability benefits from a policy governed by ERISA, you have most likely been required to also file for Social Security Disability Income benefits. Insurance companies write this requirement into their policies so they can reap the benefits of any past money awarded to you by SSDI as well as reduce the amount of monthly benefit the insurance company is required to pay you. One frequently asked question is:

Whether the insurance company is permitted to not only take a offset for the SSDI benefits received by the disabled insured, but whether it is also permitted to take a offset for benefits the insured’s dependents are receiving (DSSD) as a result of the insured’s disability?

According to a New York Court in the case of Brutvan v. Cigna Life Insurance Company of New York, depending on the specific language in your policy, the answer to that question may be “No.”

Cigna’s Position that Offset is Proper

In Brutvan, Cigna argued that its Plan provides for an offset of DSSD benefits received for the Plaintiffs minor children as well as it does for the Plaintiff. Specifically, Cigna argued that the Plan clearly states that Cigna may offset “Social Security disability benefits the Employee or any third party receives… on the Employee’s behalf.

Since the Plaintiff’s daughter receives the DSSD benefits only because her father was found to be disabled by the Social Security Administration, Cigna claimed it would also be entitled to take an offset for those benefits. Furthermore, Cigna argued another reason it was entitled to the offset is that the Plaintiff signed a reimbursement agreement obligating the Plaintiff to reimburse Cigna for any benefits received by his dependents.

New York Court Says No Setoff for DSSD Benefits

The Court in Brutvan held, as a matter of law, the Plan language at issue manifests a plain and unambiguous intent to provide LTD benefits without offsets for DSSD. The Plan specifically states that a offset may be taken for SSDI benefits the Employee or any third party receives… on the Employee’s behalf. The Court refused to look outside the Plan for evidence of intent of Plan terms, stating that “if Cigna had intended for DSSD benefits to be offset against LTD benefits it could have made specific reference to “family, spouse, children or dependents in the Plan,” however, it did not.

This ruling is a definite windfall for policyholders who have ambiguous policy language regarding what the insurance company is permitted to take as a offset. This case is an example of why it’s important to read your policy carefully prior to agreeing to allow your insurance company to improperly take an offset of your monthly benefits. If you have questions or concerns regarding your disability benefits and would like to speak with one of our experienced attorneys, please feel free to contact Dell Disability Lawyers.


Did you find this helpful?
Unhelpful (0)

Resources to Help You Win Disability Benefits

Disability Benefit Denial Options
Submit a Strong Cigna Appeal Package

We work with you, your doctors, and other experts to submit a very strong Cigna appeal.

Learn more

Sue Cigna

We have filed thousands of disability denial lawsuits in federal Courts nationwide against Cigna.

Learn more

Protect Your Benefits
Get Your Cigna Disability Application Approved
We help claimants throughout the entire application process.

Learn more

Prevent a Cigna Disability Benefit Denial
We manage every aspect of your disability claim following claim approval.

Learn more

Negotiate a Cigna Lump-Sum Settlement

Our goal is to negotiate the highest possible buyout of your long-term disability policy.

Learn more

Cigna Reviews
(70)

Policy Holder Rating

1.5 out of 5
Read 70 reviews
0%would recommend
5
0%
4
0%
3
0%
2
54%
1
45%
Timely Payments
1.9out of 5
Handling Claim
2.0out of 5
Customer Service
2.0out of 5
Dependable
1.9out of 5
Value
1.9out of 5
Showing 8 of 70 Reviews
Cigna

Cigna has not paid me a dime in months

Reviewed by Anne on August 6th 2017   Verified Policyholder
I work for a large company – and they have Cigna for both their long term and short term disability benefits. I have been off on STD since 6/7/17 – and Cigna has not p... read more >
Cigna

Cigna expects me to do a range of motion tests when every time I try to move I want to cry

Reviewed by Bonnie on July 16th 2017   Verified Policyholder
I have fibromyalgia, hashimotos and degenerative disk disease. Cigna just denied my STD claimed because my Dr. did not summit and range of motion report. How is a range of... read more >
Reply
Sent on July 16th 2017 by Attorney Stephen Jessup

Bonnie, if you have a copy of the STD denial letter please feel free to contact our office to discuss how we may be able to assist you in appealing same.

Cigna

Even my employer doesn’t understand why Cigna denied my claim. I don't know what to do

Reviewed by Cheri on April 30th 2017   Verified Policyholder
I have been off on leave since October. My last disability payment was 12-26-17 and it’s now 5-1-17. In February I called Cigna to see why I wasn’t getting my disabili... read more >
Reply
Sent on April 30th 2017 by Attorney Stephen Jessup

Cheri, Cigna is correct in their assertion that the review of the claim could take up to 90 days from the date of the appeal. If your employer was advised the appeal wa... read more >

Cigna

Cigna is not there in time of need Had to go back to work with no surgery and a ruined credit score

Reviewed by Janine K. on April 22nd 2017   Verified Policyholder
This is the second time I had to deal with Cigna. I have elected coverage for STD that is payroll deducted. My company pays for the LTD. I filed STD claim that was to star... read more >
Reply
Sent on April 22nd 2017 by Attorney Gregory Dell

Janine, please feel free to contact our office to discuss your claim as it stands today to determine how we may be able to assist you now to prevent a potential denial.... read more >

Cigna

Cigna says I am well and able to work. I wish my brain and body got their memo.

Reviewed by Lani. A on March 14th 2017   Verified Policyholder
I have been denied long term disability from Cigna. I had a stroke in nov 2013… I have had more tests, procedures, and one profession of Dr. saying that its a central ne... read more >
Reply
Sent on March 14th 2017 by Attorney Stephen Jessup

Lani, have you appealed the denial of benefits? Please contact our office to discuss your appeal and the rights available. Despite Cigna terminating your claim that is ... read more >

Cigna

Cigna thinks it's ok to mess with my life

Reviewed by Candy on February 23rd 2017   Verified Policyholder
Why do these people think that it is OK to mess with my life? It took them a month before I received my first check. In which it was less than half of one of my regular ch... read more >
Reply
Sent on February 23rd 2017 by Attorney Stephen Jessup

Candy, please feel free to contact our office as it relates to the disability claim. With respect to the insurance being $1800 I am assuming this has something to do wi... read more >

Cigna

My experiecne with Cigna has been a complete headache

Reviewed by Sandra on February 15th 2017   Verified Policyholder
I was out on short term disability due to surgeries on both feet. I received a letter from Cigna indicating that I had 14 days beginning January 6 to submit the revised me... read more >
Reply
Sent on February 15th 2017 by Attorney Stephen Jessup

Sandra, unfortunately, the overwhelming majority of claims are denied following a review of the file by a doctor or nurse without ever examining the insured. When you r... read more >

Cigna

What a pathetic company

Reviewed by Pravina on December 7th 2016   Verified Policyholder
Submitted claim in advancement of my problems hoping that Cigna would understand my problems and process my claim accordingly.It has been 9 weeks after I stopped work but ... read more >
Reply
Sent on December 7th 2016 by Attorney Stephen Jessup

Pravina, when was the last time you heard anything from Cigna? Please feel free to contact our office to discuss your claim.

Answered Questions by Our Lawyers
(70)
Showing 8 of 70 Answered Questions

Q: Why can Cigna get away with not paying me anything for my disability?

Answered on November 6th 2022 by Attorney Jay Symonds
A: Barbara: It sounds like you have a complex situation. Unfortunately, it also sounds like you had legal represe... Read More >

Q: Do I have to be an active employee to apply for LTD?

Answered on October 27th 2022 by Attorney Steven Dell
A: Lori: Generally speaking, if out on claim and a new/different disability arises you can add that to your exist... Read More >

Q: Can Cigna refuse to give me a copy of my short term disability policy?

Answered on September 2nd 2022 by Attorney Cesar Gavidia
A: Dave, since the policyholder is your employer CIGNA can refuse to provide it to you. You should contact your e... Read More >

Q: Is my plan governed by ERISA?

Answered on October 9th 2020 by Attorney Alex Palamara
A: LeRoy, we will have to review the policy in order to give an opinion as to whether it would be governed by ERI... Read More >

Q: Can I add a physical disability claim to my mental health one without seeing a doctor (hard to get an appointment with COVID)?

Answered on April 14th 2020 by Attorney Cesar Gavidia
A: Heather, the only way to effectively include your physical disability claim is to see a physician qualified to... Read More >

Q: Do you handle CIGNA cases in Florida?

Answered on February 12th 2020 by Attorney Rachel Alters
A: Vito, yes. We absolutely do handle Cigna cases in Florida. Please email me at Rachel@diattorney.com and send... Read More >

Q: How can Cigna get away with not answering my calls?

Answered on July 22nd 2019 by Attorney Stephen Jessup
A: Carol, knowing Cigna it sounds like they are approving your claim on appeal for a closed period of time and th... Read More >

Q: Do you handle closed cases only, or open ones as well?

Answered on May 10th 2019 by Attorney Stephen Jessup
A: Renee, we handle all types of open claims with Cigna – applications, claims handling, appeals, lawsuits, buy... Read More >
Helpful Videos
(834)
Showing 12 of 834 Videos
Disability Benefit Tips
(329)
Showing 8 of 329 Benefit Tips

Is Cigna Seeking To Offset Disability Benefit by Social Security Survivor Benefit?

I recently spoke with a gentleman who called into our office who has been receiving long term disability benefits from Cigna for several years... Read More >

Is Cigna's Denial of Your Appeal Really a Denial?

Following the submission of your appeal has Cigna sent you a letter stating that after review of the information provided on appeal their deci... Read More >

What Should a Claimant Expect When Suing Cigna or any Other Disability Company for Long Term Disability Benefits?

ERISA disability lawsuits are complicated due to the pro-insurance company laws. Our disabili... Read More >

Are Cigna Short Term Disability Denials on the Rise?

When it comes to claims for short term disability benefits under ERISA governed group policies, more often than not the short term disability ... Read More >

Cigna's latest strategies for handling and denying disability benefit claims

Watch Gregory Dell and Stephen Jessup discuss Cigna's latest strategy for handling disability... Read More >

Is a Claimant's Complaints of Pain Enough to Qualify for Short or Long Term Disability Insurance Benefits?

The answer to this question applies to the vast majority of long term disability insurance claims that we handle on a daily basis. Pain is sub... Read More >

Is My Insurance Company Allowed to Take An Offset of My Monthly LTD Benefit for Social Security Benefits My Kids Receive As A Result of My Disability?

It is common practice for insurance companies to find ways to limit the amount of money they have to pay to claimants. If you are receiving lo... Read More >

Is My "No-Fault" Auto Insurance Settlement an Offset Under My Long Term Disability Insurance Policy?

If your policy is an employer provided group disability policy governed by ERISA, then any proceeds you receive from a settlement based on "No... Read More >
Dell Disability Cases
(363)
Showing 8 of 363 Dell Disability Cases

Cigna Sued For Failing To Make A Timely Decision on Appeal

If your disability insurance claim has ever been denied you will have received a formal denial letter from your insurance carrier in which you... Read More >

CIGNA Overturns a Waiver of Premium for Group Life Insurance Policy

In early 2019, the widow of a decease man contacted our firm as she was troubled by the actions of CIGNA, also known as Life Insurance Company... Read More >

Cigna Admits Error In Denying Disability Benefits

Our client, a former school teacher, suffering from multiple severe medical conditions including autonomic nervous system damage, small fiber ... Read More >

CIGNA Overturned Their Denial of LTD Benefits for Nevada Healthcare Coordinator

Our client, Ms. G, formerly worked as a Healthcare Coordinator for a large regional healthcare provider. For many years Ms. G suffered from ch... Read More >

CIGNA Denies Technology Manager under the Own Occupation Provision & Dell Disability Lawyers Wins Appeal

Our client, Mr. N, formerly worked as a Technology Manager / Vice President for a large bank. For many years Mr. N suffered from chronic debil... Read More >

CIGNA overturned previous denial of waiver of life insurance premiums

Our client was the husband and beneficiary of Ms. S, who formerly worked as a registered nurse for a regional Healthcare System. In January 20... Read More >

Dell Disability Lawyers successfully appeal denial of benefits to claimant with CRPS/RSD

Ms. S contacted our firm after receiving a letter from her disability carrier, Cigna, denying her claim for short term disability benefits und... Read More >

LINA overturned its previous LTD denial for Medical Technologist

Our client, Ms. H, formerly worked as a Medical Technologist for a National Clinical Laboratory. In July 2017 a number of medical issues, incl... Read More >
Disability Lawsuit Stories
(763)
Showing 8 of 763 Lawsuit Stories

Cigna Denial of LTD Benefits for Schlumberger Shop Manager Upheld

In Jerry Courville v. Life Insurance Co of North America (LINA), Plaintiff was employed as a shop manager for Schlum... Read More >

Missouri Court Rules Cigna Wrongfully Terminated Disability Benefits

In the case of Lapidus vs. Life Ins. Co. of N. Am. a Missouri federal court ruled against Cigna finding that Cigna wrongfully terminated long ... Read More >

Missouri Court Orders Cigna to Pay LTD Benefits to Medical Sales Executive

The Plaintiff in this case was vice-president of Medical Benefits at BJC Healthcare when a severe back condition required her to have a spinal... Read More >

Cigna's Termination of Disability Benefits was Arbitrary and Capricious

The case of Lani Kyle Moar v. Cigna Corporation, et al., demonstrates the lengths insurance companies will go to avoid paying long term disabi... Read More >

Court Criticizes Lina For Failing to Perform Independent Examination

Disability Insurance companies are criticized often for failing to perform independent medical evaluations and instead relying exclusively on ... Read More >

Lockheed Martin Systems Integration Analyst Wins Long-term Disability Lawsuit against CIGNA

Cal Van Steen had been employed as a Systems Integration Business Analyst at Lockheed Martin Corporation and participated in the company’s g... Read More >

Colorado District Court overturns denial of benefits by Life Insurance Company of North America

In Johnson v. Life Insurance Company of America, a Colorado District Court ruled in favor of the claimant finding LINA’s decision unsupporte... Read More >

Texas Judge Disagrees with Cigna and Applies Claimant Friendly Disability Standard of Review

In Brasseur v. Life Insurance Company of America (LINA), Plaintiff Wilfred Brasseur, a computer engineer, worked in the Houston office of Chic... Read More >

Reviews from Our Clients

Request a Free Consultation

Our Lawyers Respond Same Day

5 Ways We Help Get Your Benefits Paid

Get Your Disability Application Approved

Our goal is to get your application for disability income benefits approved. Applying for disability benefits can be a difficult process and the information you provide is critical. Most disability insurance companies look at your application in hopes of finding a reason to deny your claim. Your disability company will ask you to complete numerous forms, interview you, request lots of information, speak with your doctors and possibly request to have you examined by their "hired gun" doctor.

Through our experience of having helped thousands of disability insurance claimants, our lawyers will guide you through the entire application process and give you the best chance to get your disability claim approved the first time.

Submit A Strong Appeal Package

If your disability insurance benefits have been wrongfully denied, then our lawyers know exactly what it takes to get your disability claim approved. You only get once chance to submit an Appeal, therefore every piece of evidence that will support your disability claim must be included. The goal is to win your disability benefits at the Appeal level, but while preparing your Appeal you must consider how a federal judge will review your disability claim if your benefit denial is upheld.

Preparing a strong disability appeal package is an art that requires you to understand how the courts interpret your disability policy language, ERISA regulations / laws, and how to strategically present evidence in support of your definition of "disability". We encourage you to contact any of our lawyers for a free immediate review of your disability denial.

Sue Your Disability Company

98% of the disability insurance lawsuits filed by our law firm have resulted in either the payment of benefits or a lump-sum settlement agreement. Our disability lawyers have filed ERISA governed and private policy long term disability insurance lawsuits against every major disability insurance company in state and federal courts nationwide and we love fighting for the "little guy" against the multi-billion dollar insurance company giants.

We have recovered hundreds of millions of dollars for our clients and we would like the opportunity to provide you with a free review of your disability benefit denial. There are many complex factors in a disability benefit lawsuit and the legal battle to win long term disability benefits can be fierce.

Prevent A Disability Benefit Denial

Approval of long-term disability is a continuous process as every disability insurance company will evaluate your eligibility for benefits on a monthly basis. You can never let your guard down and assume that your disability company will continue to pay your benefits for as long as you think you need them.

Our law firm offers a reasonable flat fee monthly claim handling service in which we handle every aspect of your long-term disability claim and do whatever it takes to make sure you are paid every month.

Negotiate a Lump-Sum Settlement

Let's discuss if a lump-sum settlement or buyout of your disability insurance claim is both available and makes financial sense for you. Our lawyers have negotiated more than five-hundred million dollars in disability insurance buyouts and we know how to get you a maximum settlement. A disability insurance company is not required to offer a buyout and not every disability company offers them.

Questions About Hiring Us

Who are Dell Disability Lawyers?

We are disability insurance lawyers that know how to get your short or long term disability benefits paid. As a nationwide law firm we have helped thousands of disability insurance claimants throughout the United States to collect hundreds of millions of dollars of disability insurance benefits from every major disability insurance company.

In more than 98% of our cases, our lawyers have been able to either get our clients paid monthly disability benefits or obtain a one-time lump-sum settlement. Our lawyers have seen it all when it comes to disability insurance claims and we know exactly what it takes for your disability claim to be approved.

We welcome you to contact any of our attorneys for a free immediate review of your disability claim. We also invite you to visit and subscribe to our YouTube channel where we have more than 700 videos and regularly provide tips to help protect your disability benefits.

Who do you help?

Our lawyers help individuals that have either purchased a long term disability insurance policy from an insurance company or obtained short or long term disability insurance coverage as a benefit from their employer. We have helped individuals in almost every type of occupation with monthly disability benefit payments ranging from $1,500 to $50,000.

Our clients include all types of employees ranging from retail associates, sales representatives, government employees, police officers, teachers, janitors, nurses, pilots, truck drivers, financial advisors, doctors, dentists, veterinarians, lawyers, consultants, IT professionals, engineers, professional athletes, business owners, and high level executives.

A strong understanding and presentation of the duties of your occupation is essential for securing disability insurance benefits.

Do you work in my state?

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

What are your fees?

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

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

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

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

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

How can I contact you?

When you call us during normal business hours you will immediately speak with a disability attorney. We can be reached at 800-698-9159 or by email. Lawyers and staff must return all client calls same day. Client emails are usually replied to within the same business day and seem to be the preferred and most efficient method of communication for most clients.