Disability Blog & Cases:
Missouri Court reverses Prudential Insurance Company’s wrongful denial of disability insurance benefits for former pharmacy technician

A Missouri Federal Court determined that Prudential was wrong to terminate a man’s disability insurance benefits by relying on a vocational expert who was not given enough information and a doctor who failed to explain why he disagreed with the claimant’s treating physicians. Let’s take a detailed look at the Court’s opinion to understand its ruling.

Disability Blog & Cases:
Liberty Mutual ordered to pay interest & attorney fees following disability insurance claim denial

A recent Federal Court decision from New Jersey sided with a disability claimant who filed an ERISA suit after her disability insurance benefits were wrongfully denied by Liberty Mutual Life Insurance Company. The Court held that the claimant was both entitled to a fair and equitable rate of interest as well as reasonable attorney’s fees under the circumstances of the case. The issue that I find frustrating about this case is that after the claimant proved that Liberty was wrong in denying disability benefits, they continued to battle the claimant by refusing to pay attorney fees and the interest on the money that Liberty saved over a 5 year period. Liberty probably spent more in battling against paying attorney fees than they could have paid the claimant by agreeing to pay her attorney fees and interest.

Disability Blog & Cases:
Pennsylvania Court rules that CIGNA disability insurance policy allows for offset of lost wages from auto insurance policy

A District Court ruling issued in Scranton, Pennsylvania highlights the importance of understanding the terms of a long-term disability insurance policy. It is common for these disability insurance policies to reduce monthly disability benefits by other benefits or income a claimant receives. This case is a good example of the complex language in disability insurance policies which can be subject to multiple interpretations.