unum seeking reimbursement of overpayment 8 years ago

[kefer]

What is the name of your state? Minnesota

On June 20, 2008 I received a letter from my long term disability company (Unum) stating "Since you were awarded Primary Social Security benifs on February 23, 2000 for a period during which you received unreduced disabilty benefits, your claim now has an overpayment of $701.50, as there was no offset until March 8, 2000".

I was not aware of any overpayment and I have only kept my bank statements for 7 years so I have no way of verifying if this is correct.

Do I automatically have to pay them or is there a Statute of Limations (since this was 8+ years ago) or etc to protect me?

Any adivice would be helpful.

Thank you

[momm2500]

you need to read the plan booklet on your LTD benefits. It might indicate in there that once you start receiving SSI/SSDI that your benefits might stop

[Mrs3]

you need to read the plan booklet on your LTD benefits. It might indicate in there that once you start receiving SSI/SSDI that your benefits might stop

Actually no, your LTD will not stop if you receive SSDI. They only stop if you reach the age of cutoff (usually 65ish) or are no longer deemed disabled.

I was not aware of any overpayment and I have only kept my bank statements for 7 years so I have no way of verifying if this is correct.

You wouldn't see it on your bank statements so don't waste the time looking.

Do I automatically have to pay them or is there a Statute of Limations (since this was 8+ years ago) or etc to protect me?

I do not believe there is a statue of limitations.

Here is how this works.

LTD is an insurance benefit that provides a set percentage of your income at the time you became disabled. If you read your policy docs you will see in there that they offset income most especially SSDI should you receive it during the time you are also receiving LTD. LTD does not end! But your benefit is reduced by the amount you receive from SSDI.

As an example. Your LTD benefit amount is 1,000 a month. You are approved for SSDI for 500.00 a month. End result - you continue to receive your SSDI of 500.00 a month and LTD is reduced to 500.00 a month. Your total a month is still 1,000.00 - just half now coming from SSDI and half from LTD (or however the percentage works out).

It seems in your case, and I'm guessing, you did not inform LTD that you were approved and/or received SSDI benefits. They now want what is legally past due to them. So yes, they have every right to ask and to demand payment and they will, believe me, demand it.

First - Go over your policy docs and if you don't have them ask the LTD company to send them to you. Second - Verify the amount they are seeking with your SSDI statements.

Then you may arrange payments to be deducted monthly from your LTD check (I'm assuming you are still on LTD) or the whole amount if you can manage it. Without an agreement they may eventually stop your checks until the overpayment is cleared. If you are no longer on LTD they will be like any other creditor and find some way to get payment.

It sucks, I know, but there it is. I have Unum too so I speak from experience.

Best of luck.