Maybe. This is often referred to as subrogation. It will depend on the language of the plan and the intent of the payments. Regardless, there are almost always steps that can be taken to reduce and often convince your short or long term disability carrier to reduce or waive their subrogation interest. We have saved our clients hundreds of thousands of dollars that would otherwise be taken out of their settlement by negotiating down subrogation interests.
If you want to learn more, have questions or to get more tips and have your case evaluated free of charge, call us at (402) 476-4400 or visit us at atwoodlawyers.com.