Clawback-Disability Pension

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Clawback-Disability Pension

Post by Newf on Thu 25 May 2017, 06:51

Was wondering if any of our CSAT members have been through a similar process and have feedback/advice to provide on this matter. Here is the situation: I made an application to VAC for Disability Pension for neck and back conditions due to service related injuries. Shortly after I filed my application, I was rear ended while parked on the highway in my personal vehicle. The car accident made my back, neck and other pensioned conditions (e.g. PTSD) even worse as I feared driving for nearly a month. I contacted a legal firm and my Lawyer is in the process of negotating a cash settlement with the other party insurance company as they were deemed 100% at fault. Gonna be possibly another six months or longer before a settlement.

A few months ago, VAC made a decision on my applications for a neck and back conditions. These applications were deemed to be fully attributed to my service (5/5) and I was given around 25% increase in monthly pension. I advised VAC about the outstanding legal proceedings regarding a settlement for the car accident in my personal vehicle as this was NOT service related. VAC advised any cash settlement from the car accident MAY cause a clawback in monthly pension benefits. VAC stated that if a legal settlement is for the SAME injuries then a clawback is required but if a legal settlement is for NEW injuries (e.g. different name) then there is NO clawback. VAC has requested a copy of the settlement document once its completed. With VAC recognizing my injuries as being fully service related, I find it strange that VAC is saying they may reduce a monthly benenfit for non-service related injuries of a car accident. Does this sound right? Has anyone been through the ringers on a similar situation? Thoughts? Advice?
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Newf
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Location : Nova Scotia, Canada
Registration date : 2014-09-13

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Re: Clawback-Disability Pension

Post by sabrelove on Thu 25 May 2017, 07:09

Newf, you should have VAC send you the regulations with respect to subrogation. (definition: the substitution of one person or group by another in respect of a debt or insurance claim, accompanied by the transfer of any associated rights and duties.) They want to ensure that if someone else is responsible for your injury, that the responsible party pays for it. You need to see how a subsequent accident that affects the acknowledged pensioned condition is dealt with by subrogation. And your lawyer should see their regulations too. SISIP also has regulations dealing with subrogation, that's how I know about it.

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Re: Clawback-Disability Pension

Post by Guest on Thu 25 May 2017, 17:46

That's an interesting situation you find yourself in Newf.

Definitely not an expert in this and never ran into this before but what sabrelove wrote regarding subrogation makes perfect sense to me.

You say shortly after filling the application you got rear ended which resulted in injuries. Was your application dated and sent in before you got rear ended? If so, they will be able to see the date that's on the application, I would think that if your application was sent in, and dated before you got rear ended, this I would guess would work in your favor.

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Re: Clawback-Disability Pension

Post by Newf on Thu 25 May 2017, 19:39

Thanks for input sabre love and trooper. I will check into this subornation regulations with vac. I got mixed up there in my post with the dates. My service injuries were cumulative between 2007-2012 with a diagnosis made in 2012 of neck/back conditions by my doctor. The car accident was in fall of 2013. My vac application was only made in spring of 2016. A decision was made a few months ago. Going to be interesting for sure. Will let you know how the ending unfolds in event others have to go through same.
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