Reliance Standard

Reliance Standard says that I owe them $8,000 in offsets from benefits I never claimed/recieved.

Reviewed by Darla Norton Ellison on May 19th 2014   Verified Policyholder
I was a state of SC employee. I became unable physically todo my job. As required by the State of SC I filed disability claims with The Standard Long Term Disability, The South Carolina retitrement company and social sercurity disability. I was first disapproved be the South Carolina Retirement System. I was approved for long term disability benefits by the Standatd. My first application for Social Security Diability. At that point I filed for a review by the Social Security and after a few months I was approved by Social Security Disability. I let Standard know. And provided the $1370 monthly award from Social security. To tell the truth I lost faith prior to being approved ny Social Security. So after being rejected be th South Carolina Retirement System. I felt I had any choice but withdraw my contributions so me and my family could pay our bills. Here is my problem; the Standard wants approximately $8000 back from me. Their reason is that I am receiving a monthly benefit from the South Carolina Retitement System. I am not. I was disapproved for disability by the South Carolina Retirement system… so, I feel the fact I withdrew my contributions after being denied, I have every right to withdraw my own funds. What can I do to avoid having to pay the Standard? I feel I did everything required of me… so I don’t owe them any of my South Carolina Retirement funds… please help me understand. I just do not have that amount of money to senc o the Standard, especially since I feel I should not owe it.
Reply
Sent on May 19th 2014 by Attorney Stephen Jessup

Darla, you will need to review the “Other Income” benefits section of your policy. Retirement benefits, regardless of source or funding, are often considered sources of other income susceptible to being offset against your LTD benefit. If your retirement funds are considered other income then there may be little you can do with respect to the overpayment due Standard.