LTD for 7 years approved. CPP approved. Insurance company sent me to 2 IME , both declare me disable.
Insurance call me to settle. Sent offer by email . I refused it. I sent a counter offer. I waited 3 weeks requested a response, they said director is on holidays, waited another 2 weeks, director is away again.
Should I sent a letter mention litigation process?
I would never settle unless you’re really close to retirement age anyways.
I would just wait for their response, they can keep paying you in the mean time. 
It’s a good idea. But I’m to tire of dealing with them and all the medical request, sometimes I don’t have the energy to move. Time pass by and they are putting more pressure and demands, every 3 months.
Thanks for your help.
With 2 IME’s in your favor why settle-it will not be in your benefit. Don’t make a rush move. Is your benefits taxed, because you might take a big tax hit if they are.
Take care-and all the best wishes to you!
What percentage of your future payments did they offer?
Hi M - it is important to understand that doing lump-sum buyouts of an APPROVED claim is a voluntary exchange by both you and the insurance company. For that reason, there is nothing to be gained by mentioning a litigation process. You can’t engage the litigation process unless they stop your payments or otherwise breach the disability policy.
When you are in discussions with you insurance company regarding a buyout, you have almost zero negotiating leverage. They have the power in this situation and can make take-it-or-leave-it offers to you and you really don’t have any real options but to accept or reject.
Insurance companies offer to buy out people on a disability plan because it makes financial sense for them to do so. They have accountants and computer algorithms that tell them the price at which they can buy out the disability plan to meet their financial objectives. Once they have that price they will make offers to you up to that price and that is it.
Finally, you have to make a decision that is best for you, but it almost never makes financial sense to do a lump sum buy out for an approved claim. You are going to be getting 50-70% of the future value of your benefits, at best. The only reasons to ever do this is if you think you may be able to try to get back to work in some capacity, are paying very high interest on debits (that you could pay off), or that you are not dependent on the disability payments for family income and would rather have a lump sum of money for some reason.
Again, this all relates to an APPROVED claim situation. They dynamics for negotiation are very different if you are in a claim denial situation.
David Brannen
Disability Lawyer with Resolute Legal
The response posted above is based on the limited factual information made available and is not intended as a full and complete response to the question. The only reliabile manner to obtain complete and adequate legal advice is to consult with a lawyer, fully explain your situation, and allow the lawyer enough time to research the applicable law and facts required to give an adequate opinion. The basic information provided above is intended as a public service only, a full one-on-one discussion with a lawyer should be done before taking any any action. The information posted on this forum is available to the viewing public and is not intended to create a lawyer client relationship with any person. If you want one-on-one advice, please click here to request a free consultation or call toll free 1-877-282-5188 to speak with a member with our disability claim support team.
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