Workers Comp & LTD conflict pls help

I settled my wc claim in 2006 and received 25K as settlement.  I have Long term disability thru work that kicked in after the settlement.  I just now received a letter stating that LTD overpaid me since 2006 as they didn't take my settlement into account as income.  So now I owe them 25K and they have stopped my monthly payments until it is paid off.  I didn't think anyone could touch yr settlement.  Not even SSDI did that.  Is there any hope to get them to back down and give me back my monthly payments?  thank you for any help!

angeline

Angeline JoVan:

Is there any hope to get them to back down and give me back my monthly payments?

The terms of the policy dictate whether or not the settlement is income.  It is not uncommon for LTD policies to qualify WC settlements as income and not allow employees to "double dip" and collect from the settlement and the LTD policy for the same claim.  The rules for SSDI are entirely different as to what they consider income.  You will have to read the terms of the policy.

There may be some difficulty with the language used in the settlement documents.

A C&R is "new money", even though it may be based on the PPD indemnity due, and future medical care considerations.  There is no money in a C&R for ''wages''...as such.

In Calif, you cannot receive PPD and SDI or UI for the same periods of disability, that's in the labor code...your STD/LTD apparently is applying the same rule.

There is no court of appeal on a LTD policy...you are at the mercy of the IC writing the coverage.