Disability Lump Sum Payment??? X-POST
Good morning everyone...
About 4 1/2 years ago, I became disabled suddenly due to a back problem which has not responded to treatment and continues to keep me from many of my "normal" activities, including my job. I was insured through my employer for LTD and have been recieving benefits from UNUM and SSD. I will be 62 in November and my policy covers me until my 65 birthday (41 payments remaining).
I received a packet yesterday from UNUM offering me 71% of my remaining payments in a lump sum, which would end their obligation to me. I don't think it is a fair offer and am just wondering if anyone out there has had this experience and would love to hear your thoughts.
After doing a bit of research this morning, I think the payment should be offered at about 90%, based on my age and the risk that I could die before age 65. Unum, I believe uses a factor of 500% higher risk for back problems, which is lowering the offer about 12%. With my WLS and almost 70 lb WL in the last year, I am much healthier, though still not very mobile and feel that my chances of living past age 65 are high (my grandma was 93) and my general health is pretty good.
What I plan to do is use the funds reduce my mortgage and lower my interest rate which will bring me an effective % rate on the money of about 7%-10%. My mortgage has a one time % adjustment opportunity of about 3% if I bring the balance down to the appraised value of the house (purchased in 2006). This will just about replace the income I have had coming in from Unum, but will do this for 25 years, not 3.5 yrs.
Let me know what your experience has been with this type of thing, were you able to negotiate with the insurer??
Thanks, Steph
About 4 1/2 years ago, I became disabled suddenly due to a back problem which has not responded to treatment and continues to keep me from many of my "normal" activities, including my job. I was insured through my employer for LTD and have been recieving benefits from UNUM and SSD. I will be 62 in November and my policy covers me until my 65 birthday (41 payments remaining).
I received a packet yesterday from UNUM offering me 71% of my remaining payments in a lump sum, which would end their obligation to me. I don't think it is a fair offer and am just wondering if anyone out there has had this experience and would love to hear your thoughts.
After doing a bit of research this morning, I think the payment should be offered at about 90%, based on my age and the risk that I could die before age 65. Unum, I believe uses a factor of 500% higher risk for back problems, which is lowering the offer about 12%. With my WLS and almost 70 lb WL in the last year, I am much healthier, though still not very mobile and feel that my chances of living past age 65 are high (my grandma was 93) and my general health is pretty good.
What I plan to do is use the funds reduce my mortgage and lower my interest rate which will bring me an effective % rate on the money of about 7%-10%. My mortgage has a one time % adjustment opportunity of about 3% if I bring the balance down to the appraised value of the house (purchased in 2006). This will just about replace the income I have had coming in from Unum, but will do this for 25 years, not 3.5 yrs.
Let me know what your experience has been with this type of thing, were you able to negotiate with the insurer??
Thanks, Steph
6-7-13 band removed. No revision. Facebook Failed Lapbands and Realize Bands group and WLS-Support for Regain and Revision Group
Ms. Cal Culator
on 5/12/11 4:30 am - Tuvalu
on 5/12/11 4:30 am - Tuvalu
Do you know Judi J? I think you can find her on the failed bands board...very good with this kind of thing.
In any group of a hundred people, there are probably 2 or 3 sociopaths. In a group of a thousand, more like 20-30. They function very well in "affinity groups," where people have things in common and tend to trust strangers. I am NOT saying not to trust anyone. I AM saying that there are probably two dozen sociopaths hanging out here and looking for victims. Most are NOT serial killers.
Read: www.sociopathicstyle.com/traits/classic.htm
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