Pension cash payout from former employer going to a LIRA

I am presently on LTD and will be until age 65 (I am currently 55). I have a small pension with a former employer from several years ago in which I have the option to transfer my pension to a locked-in retirement savings arrangement (LIRA). There is a maximum amount that can go to a tax-sheltered transfer and the excess would be paid to me in cash (less withholding tax). I can also elect to have the excess portion deposited directly into an RRSP.
My question is: Will my insurer treat the excess cash payout as an offset against my monthly benefits - even if I will put it directly into an RRSP? Further, will they also treat the funds going to a LIRA as an offset?
I have reviewed my plans Member Book, here is what they state:

The following examples illustrate the most common types of income that would be deducted from your DI benefits:
* benefits you receive under the PSSA
* disability benefits you receive, other than benefits payable to or on behalf of your dependants, under the CPP or the QPP
* benefits you receive under the Government Employees Compensation Act, or similar benefits under a plan of the federal government or any other government
* disability benefits paid or available under another group insurance plan
* benefits payable under the legislation of any government, such as income replacement benefits under a no-fault automobile insurance plan
* amounts received for wage loss replacement under a third-party damage award
* What types of income will not be deducted?

The following are examples of income that would not be deducted from your DI benefits:
* increases related to the cost of living under the PSSA, CPP or QPP
* return of superannuation contributions where no other pension option is available
* benefits received under a purely private and personal insurance policy
* severance pay
* special lump sum payments associated with employer-sponsored departure incentive programs

If you receive “other income” in the form of a lump sum payment in lieu of monthly installments, the monthly installments that you would otherwise have received will be treated as an offset.

It’s not a problem. I emailed my company asking about it and they put in writing that it would not effect my payment monthly. It didn’t