A Claimant's Delays in providing required Information and filing a Claim to his Insurer result in denied Long-term Disability Benefits
On November 17, 2006, Cecil Richards was injured in a motor vehicle accident and consequently, he notified his insurer, Sun Life Assurance Company of Canada, of his intention to pursue a claim for disability benefits issued under a group insurance policy. The insurer approved short-term disability benefits for Mr. Richards from November to January. However, before providing long-term disability (LTD) payments, they requested additional information from the plaintiff. After failing to receive a response, Sun Life proceeded to close his case and informed Mr. Richards of this fact in a letter, dated May 1, 2007. " The letter also communicated that Mr. Richards had until August 1, 2007 (i.e. three months) to appeal the decision, which he did not do. However, between August and September, the plaintiff called the insurer three times to inquire about the status of his claim and was informed every time that the case was closed.On November 17, 2008, Mr. Richards issued a statement of claim in relation to " a negligence claim that he was also pursuing as a result of the accident. However, he did not file a claim for payment of the LTD benefits he felt he was owed by Sun Life until October 2012, which is the current matter being decided. In" Richards v. Sun Life Assurance Company of Canada," Sun Life filed a motion for summary judgement, stating that the claim should be dismissed because, per the" Limitations Act, the two-year limitation period had passed which meant the claim was statute-barred. Therefore, the key two issues in deciding this case are:
Was the plaintiff's claim discovered before October 30, 2010 and thus past the two-year limitation period?
If the claim was indeed discovered before October 30, 2010, is the plaintiff entitled to claim benefits from that date forward, based on the concept of a rolling limitation period?
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