Severence as income to LTD


My policy states that LTD is entitled to offset any additional income including a severance package. My severance is calculated in terms of the 29 years that I worked prior to receiving LTD. I think it is one week of income for every year I worked. I can’t get my head around this - just seems unfair.
If I get a severance package which I am told I will (via HR) if I don’t return to work within a certain time and my employer terminates me. Can I just cancel my LTD at that time and then take my work pension afterwards or is the insurance company still entitled to that money?


Does your policy specifically say they can offset severance?
At most I think they should only get severance for the years you were getting LTD.

Sounds reasonable but ask a lawyer.