Are You A Unum Financial Target? The Continuing Financial Scams
First there is a request for your SSDI Award Letter. Then a letter arrives from Lucens asking you to sign an Authorization releasing financial SSA information. Next, a letter arrives requesting all SSA 1099’s relating to SSDI payments. Finally, a letter arrives informing you that you owe Unum an excessive amount in overpayment since Unum overpaid you. Whenever is it going to end?
Do you get the impression Unum is fishing for something? In my opinion, the company’s targeting of SSDI (including all of the ERISA folks), and past and present IDI “Residual” insureds to recalculate SSDI offsets and earnings is for the purpose of, well let’s say, “creative accounting” to arrive at large overpayments due. Every time Unum’s management fixates on a new financial target, they keep coming up with different answers that costs claimants and insureds money.
The ultimate goal of such internal projects is to reduce claimant benefits to $0 (increasing cash flow) until the alleged overpayments are paid back. Although Unum is well-known for its fictitious overpayments resulting from recalculations, Unum’s new initiative involving a new outsourced company, Lucens, appears to be targeting every one to “verify” SSDI, other offsets, and residual earnings.
With respect to SSDI offset calculations, SSA’s initial approval letter contains all of the information needed for Unum to calculate an accurate offset and overpayment amount. Requesting SSA 1099’s will not be helpful to Unum in this regard since only the total amount of benefit received is recorded on the 1099 and the amount of COLA increase is not broken out.
Of course, Unum’s ERISA Plans do not offset for COLA so the 1099’s won’t be helpful. Why provide documentation to Unum (or Lucens) that Unum will misrepresent as total benefits (offsets) when it includes COLA amounts? The only figure Unum is permitted to offset is the amount of the original award. This figure is always on the initial award letter SSA sends out to those with approved benefits.
There are so many SSDI complicated situations I couldn’t begin to explain them here, but I am reminded of cases where a disabled father’s children are awarded dependent coverage that goes to the mother, the (custodial spouse). The claimant is already getting hit twice and doesn’t need Unum to allege he owes back more money when he doesn’t.
I don’t think anyone would challenge Unum’s overpayment recalculation due to error within a reasonable amount of time – this makes sense, correct the error and move on. But, when hundreds of people, having been on claim for many years begin receiving letters from Unum alleging large overpayments, this is an indication of a “pattern of practice”, or initiative to demand repayment of overpayments that are merely the result of recalculation to deliberately generate cash flow. It’s insurance fraud, and it needs to be addressed.
In my opinion, Unum Group is not to be trusted in any manner when dealing with disability claims, including any other review process related to indemnity products. As I described in prior posts, inside information indicates the company is silently doing away with many of its departments while cloaking the fact they no longer exist. How can you trust a company like that?
Employees are also terminated as the company outsources work to companies like Lucens, also partners in recalculating financial information to meet Unum’s goals and objectives. It’s unfortunate, but in my opinion Lucens, as a company, will eventually wear Unum’s very poor public reputation as collaborators in Unum’s schemes. When you take on the world’s worst disability insurance company as a client, there is a certainty of future negative goodwill.
In any event, Unum is requesting financial information for the purpose of recalculating offsets and overpayments for the purpose of collecting huge overpayments by reducing benefits to $0.
If this is happening to you please send me an email; I may have more information to provide at a later time.
And, by the way, those claimants who have opted for estimated SSDI deductions from benefits may also be at risk. There have been a few reported cases that Unum deducted estimates for SSDI from benefits, denied claims, and won’t give the money back even if claimants weren’t awarded SSDI at the time of the denial.
General consensus from several reputable sources indicates it’s better to have Unum chasing you for recovery of overpayment than the other way around. While DCS, Inc. supports timely repayment of what is owed, it’s no longer a good idea to opt for estimated deductions for SSDI.