LTD company asking for part of CPP disability after death



My mom was under LTD disability with GWL (starting from Q2 2016)
She passed in March 2017 and the LTD disability payments were stopped. (as itr should have)

In May 2017 we received confirmation from CPP that her disability claim was successful.

CPP sent a lump sump cheque addressed to her estate for 2017 and 2016. (June 2017)
Now GWL is asking for part of that lump sump.

Do they have a valid claim ?


That’s a lawyer type question, however I was the executor for my mom’s estate and recall that I put a notice in the local paper notifying creditors that they were required to make any claims to the estate by a certain date. Once that date passed I was free to start the process (with the help of a lawyer) to settle the estate based on her wishes in the will.


They probably have a claim.
The master policy would say for sure but it is fairly likely they get the CPP-D back payment that would have reduced the LTD amounts they paid.


Yes, generally speaking insurers have a right to this money and can go after a deceased person’s estate.

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.


The estate has to pay tax on the full amount too. :frowning: