Retro Active Pay

I am being covered by CPPD and by Private Insurance from the Union I was working for. After being approved for LTD by my private insurance company I was told that I to apply for CPPD. After being approved for CPPD I was excited that I was going to be receiving another $1300 / Month on top of the $2600 / Month I was already receiving. I soon found in out that the $1300 from Revenue Canada was approved for meant that the Private Insurance Company (Manulife) was reducing $1300 from the $2600 they were paying me.

My question is why is Manulife getting the $1300 /Month payment that I was approved for? Especially since I payed in thousands of dollars a year to the Canadian Government for CPPD coverage incase I was unable to work due to an illness?.

Second Question is why was Manulife entitled to the Retro Active payment of $20000 I received that I had to pay to Manulife after they told me that I was not entitled to it? They said in my Union Agreement it stated that Manulife was entitled to all money I received in the future including payments from the Canadian Government for coverage incase I became sick and unable to work. Is this normal and has anyone else had to experience this? I feel like they taking this money from me Illegally?

Ryan Mulligan

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Hi, firstly welcome but remove your real name from your posts.

The LTD insurance policies are priced including the refund of CPPD to them. It sucks but it’s just part of the insurance policy. It particularly sucks for the sickest people with non-taxable LTD because it also converts some of the non-taxable payments into taxable payments that we don’t get reimbursed for. If you haven’t already, look at applying for the DTC…