Low LTD payment


My LTD payment seemed low so I investigated.
The amount was based on an old salary.
I found the details of my coverage on the insurance company website and it has my latest salary.
The STD disability was based on my 2017 salary so I need to call them. :slight_smile:


Good work. Please let us know how you make out. Hopefully this was just a clerical error by the insurer. Keep in mind that employers often have a duty to provide annual report of salaries to the insurer each year. If the employer forgets to do this, or puts the wrong salary on the report, then I have seen insurers say that they will go with what was written on the annual report from the employer, regardless of what the actual salary was. In those situations you have to sue the employer. We have had to do that in the past - sue the employer for negligence that resulted in our client getting a lower LTD payment. Lets hope this situation does not apply to you.

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.


I emailed my insurance company claim person over a week ago and phoned and left a message a few days ago.
I haven’t had a response yet.
What is a reasonable time to expect a response, 2 weeks?
Should I follow up in 3 weeks with a letter (in case they claim the never got my email and didn’t understand the phone message)?


4 weeks or more depending on the information requested.


It is summer holiday season-so wait out until at least 3 weeks to email again.


I received a letter and forms from the insurance company asking me to apply for CPP-D and authorizing them to talk to Service Canada about my payment.
I had already applied so I signed their forms and mailed the response on July 29.
I also included a letter saying I have been unable to reach my case manager and asking someone to investigate why my 2017 salary is not being used.
I also asked about my CPP-D claim which was back dated to the first day I couldn’t work (Feb 2017).
The “Consent for Service Canada and Insurer to Communicate Disability Benefit Information” (insurance form I was requested to sign) says the “effective date of disability insurance benefit payment” is “2017 June” so does that mean I get to keep the CPP-D for the period I was on Salary Continuance?


If your LTD started in June then you most probaby will keep the rest.

You should also consider that Service Canada may not pay from February depending on when they decide you became disabled.


I assumed they’d go by the date I stopped working.
What other factors would SC consider?


If you are eligible under the terms of the Canada Pension Plan (CPP) legislation, your disability benefits will start the fourth month after the month you are determined to be disabled. You may receive up to a maximum of 12 months of retroactive payments from the date your application was received.


I assume, if you became disabled in December then they will pay you from March-April (the fourth month after the month you are determined to be disabled).


Thanks Elaine.
So there won’t be extra money even if they choose Feb as the I-am-disabled month. :frowning:


No problem.

It depends on their decision.


I was on salary continuance in 2016 for 10 weeks (case was closed).
I then worked (fluctuating hours) for 12 weeks.
I then went on salary continuance in 2017 (a new case #) for 17 weeks.
I have been on LTD since but I am being paid based on the 2016 case that was closed.

A. Can anyone other than the insurance company explain why my payments are not based on my 2017 salary?

B. If I need to ask the insurance company (the answer to A. is yes), should I wait until I get approved for CPP-D?

My interpretation is salary continuance is paid by my employer but LTD is paid by the insurance company.


I read somewhere in my policy that if you go on a medical leave they will pay you a certain amount. Then you go back to work and get sick again within 6 month they will treat any subsequent medical leaves as continuation of the first one and benefits will be the same.

Read your policy carefully. They are probably treating your current sick leave as continuation of your previous ones.

You can always send them a formal inquiry to clarify the benefits amount.


A CPP-D person from the insurance company called me because I sent copies of some forms and they need the originals so I asked her.
It is a continuation of my claim.
That sucks because extra money would have been nice but oh well.
At least it was explained to me.


They thought through every detail to make sure there is no funny business.


At least my employer still contributes to my pension and I still have medical coverage.


That’s good. My employer doesn’t contribute to my pension plan while on LTD but I have a health coverage that is funded by my insurer. Basically my employer just has my name on record. That’s all. Well, I guess, they won’t be able to easily fire me now as there is no undue hardship for them.


I forgot to update this.
The insurance company caseworker called to say she’ll look into it.
I guess they decided I do get the amount based on my 2017 salary because I got back pay for the months it was based on my 2016 salary.
I got a notice-of-deposit saying I get the higher amount at the end of Sep.