For Both Long Term Disability (LTD) Benefits and Canadian Pension Plan Disability (CPPD) Benefits? YES!
Contributed by: Tony Lafazanis – Personal Injury Lawyer www.TLLawCanHelp.com
Many people are confused about the differences between LTD benefits and CPPD benefits and how it applies to their particular situation. You may even be instructed by your LTD insurer to apply for CPPD and be left wondering whether you should, or must, apply.
What are the Differences?
LTD insurance is either provided to an employee in their group benefit plan or purchased privately by an individual. There is a 2 year time limit to sue the LTD insurer from the date benefits should have been paid.
CPPD is the largest long term disability insurance program in Canada administered by the Federal Government. If your CPPD is denied, you can request a review. This must be done in writing within 90 days of receiving your decision letter.
LTD and CPPD both are intended to protect or replace your earnings when a disability prevents you from working. A disability can be caused by anything. Included are an accident, illness, sickness, physical or mental health symptoms.
How Do CPPD and LTD Work Together?
LTD insurers often require you to also apply for CPPD, to try to reduce or eliminate the amount they must pay out. This is because LTD providers generally create their contracts, such that an injured worker’s benefits are decreased by any amount paid by CPPD. For example, if your LTD claim is approved for $2,000 a month, and you are also approved for CPPD for $1,000 a month, you will not receive a total of $3,000. Your actual total monthly benefits will remain at $2,000 – your monthly LTD obligation amount would decrease according to a mathematical formula.
If your CPPD application is denied, an LTD provider cannot reduce the LTD benefit by an estimated CPPD because you did not receive it.
To learn more about LTD and CPPD, check out the full article on our website.
If you feel that you or a loved one has been wrongfully denied an LTD or CPPD claim, please contact Tony Lafazanis. Don’t take risks with the insurer or the Court system. Time limits apply. Let Tony fight for you!
Hiring Tony Lafazanis is risk free. There is no legal bill to pay, if there is no settlement.