Desjardins Long-Term Disability Claims: What You Need to Know

Last updated: August 2026 | Reviewed by Nainesh Kotak, B.A. (Hons), LL.B.

If Desjardins Insurance has denied your long-term disability claim, terminated benefits you were already receiving, or told you that you no longer meet the definition of disability, you may have options to challenge that decision.

Desjardins acquired State Farm Canada’s insurance operations — including its living benefits business, the industry term that covers disability coverage — in 2015. Some claimants with older State Farm policies may not immediately recognize Desjardins as their current insurer.

Desjardins is one of Canada’s largest insurers and provides long-term disability (LTD) coverage to Canadians. The outcome of a Desjardins disability claim depends on the wording of your particular policy, the medical and functional evidence, and how Desjardins has assessed your ability to work.

This guide explains how Desjardins LTD claims generally work, why benefits may be denied or terminated, and what you can do if you disagree with Desjardins’s decision.

How Desjardins Long-Term Disability Coverage Works

Desjardins provides long-term disability coverage through employer group benefit plans as well as individual disability insurance policies.

The terms of LTD coverage can vary significantly from one policy to another. The definition of disability, waiting period, benefit amount, offsets, exclusions and duration of benefits are determined by the particular policy or plan.

Elimination period. LTD policies generally include a waiting period, often called an elimination period, before benefits become payable. The length of this period varies by policy and should be confirmed from your plan documents. During this period, you may have access to short-term disability benefits, Employment Insurance sickness benefits or other sources of income.

Benefit amount. LTD benefits are generally calculated as a percentage of your pre-disability earnings, subject to the terms and maximum monthly benefit contained in your policy.

Applying for Desjardins Long-Term Disability Benefits

A Desjardins LTD application will generally require information from you, your medical providers and, for group disability plans, your employer.

The application should provide a clear picture not only of your diagnosis, but of the symptoms, restrictions and limitations that prevent you from performing the important duties of your occupation.

A diagnosis alone does not necessarily establish disability under an insurance policy. The evidence should explain how your medical condition affects your ability to function consistently and reliably at work.

Keep copies of everything submitted to Desjardins, together with correspondence, medical forms and requests for additional information.

Why Desjardins May Deny or Terminate Long-Term Disability Benefits

Every disability claim is different. Some of the reasons an insurer may rely upon when denying or terminating LTD benefits include:

Insufficient medical evidence — Desjardins may take the position that the medical documentation does not establish restrictions or limitations severe enough to prevent you from working.
The change from “own occupation” to “any occupation” — many LTD policies change their definition of disability after a specified period, often around the two-year point. Claims may be reassessed at this stage, and some claimants have their benefits terminated even though they do not believe their medical condition or functional abilities have improved. Learn more about the own occupation to any occupation transition.
Treatment or rehabilitation concerns — the insurer may take the position that recommended treatment or rehabilitation has not been followed without a valid reason.
Policy exclusions or limitations — Desjardins may take the position that a particular condition or circumstance falls outside the terms of the policy.
Independent medical examinations or file reviews — Desjardins may rely on medical consultants or examinations that reach conclusions different from those of your treating doctors.
Vocational assessments — particularly after a change in the definition of disability, Desjardins may identify other occupations it believes you are capable of performing.
Surveillance or social media — an insurer may rely on observed activities or publicly available social media when assessing whether a claimant’s activities are consistent with reported restrictions and limitations.

A denial letter reflects Desjardins’s position. It does not necessarily determine your legal entitlement to LTD benefits.

If your benefits have been denied or terminated, the reasons given by Desjardins should be compared carefully against your policy wording, medical evidence, occupational duties, and actual functional limitations.

Desjardins LTD Claims Involving Depression, Anxiety and Other Mental Health Conditions

Mental health conditions can prevent a person from working even though there may be no diagnostic imaging, laboratory test, or other objective measurement that demonstrates the severity of the condition.

Claims involving depression, anxiety, PTSD, and other psychological conditions can therefore depend heavily on the quality and consistency of the medical and functional evidence. Medical records should document more than a diagnosis — they should address symptoms, treatment, medication, functional restrictions, and how the condition interferes with the claimant’s ability to reliably perform their occupational duties.

Desjardins LTD Claims Involving Chronic Pain and Fibromyalgia

Chronic pain and fibromyalgia can also present challenges in disability claims because the severity of symptoms and resulting functional limitations may not be fully demonstrated by imaging or other diagnostic testing.

The important issue is often not simply whether a condition has been diagnosed, but how pain, fatigue, medication side effects, and other symptoms affect a person’s ability to function consistently and reliably in the workplace.

What to Do If Desjardins Has Denied or Terminated Your LTD Claim

1. Review the denial letter carefully

Identify exactly why Desjardins says you no longer qualify for benefits.

2. Understand your appeal options before committing to one

Desjardins may offer an internal review process for a denied or terminated claim. Because Desjardins itself decides the outcome of that review, it’s worth thinking of it as asking the decision-maker to reconsider its own decision, rather than an independent check on that decision. Some claimants find it useful when a specific, identifiable gap in the file can be filled quickly; for others, time spent on an internal review simply delays the point at which a lawyer can start building a case for a lawsuit. Either way, the internal process running its course does not necessarily pause the legal clock on your right to sue — so it’s worth getting a sense of your limitation deadline before deciding how to spend the time between now and then.

3. Preserve the evidence

Keep the denial letter, policy and benefits booklet, correspondence with Desjardins, medical records, employment information, and copies of everything submitted to the insurer.

4. Determine the applicable limitation period

Limitation periods vary by province, policy wording, and the circumstances of the claim. Don’t assume you automatically have a fixed period of time, and don’t assume an internal review extends or suspends that deadline.

5. Speak with a disability lawyer

A lawyer experienced in LTD claims can review the policy, Desjardins’s denial letter, your medical evidence, and the insurer’s stated reasons, and help you decide whether to provide further evidence, pursue an appeal, or proceed with a legal claim.

How a Disability Lawyer Can Help With a Desjardins LTD Denial

At Kotak Law, our review of a denied or terminated Desjardins LTD claim typically starts with the policy itself: what definition of disability applies, what exclusions exist, and — since many Desjardins group policies originated from acquired books of business — sometimes confirming which specific policy terms actually govern your claim. From there, we look at Desjardins’s stated reasons for the denial, your medical records and treating doctors’ opinions, any assessments the insurer relied on, and whether the timing lines up with an own-occupation to any-occupation transition. That review is what determines whether further evidence, an appeal, or a legal claim makes the most sense.

Frequently Asked Questions About Desjardins LTD Claims

Why does my group benefits plan say Desjardins when I signed up under a different insurer?

Desjardins acquired State Farm Canada’s insurance operations in 2015, and some group and individual policies transferred as part of that deal. If your plan documents or paycheque deductions reference an insurer you don’t recognize, it may be worth confirming whether Desjardins is now the party responsible for your claim.

How long does Desjardins take to process an LTD claim?

Processing times vary depending on the completeness of the application and whether additional medical or employment information is required.

Can Desjardins require me to attend an independent medical examination?

Many policies contain provisions allowing the insurer to request reasonable medical examinations. Your particular obligations depend on the wording of your policy.

Does Desjardins’s “any occupation” definition mean I have to be unable to do any job at all?

Not necessarily.

It generally considers occupations for which you are reasonably suited based on education, training, and experience. Read our full explanation of the own occupation to any occupation transition.

What if Desjardins says there is not enough objective medical evidence?

Not every disabling medical condition can be measured through imaging or laboratory testing. The medical evidence should address diagnosis where possible, but also symptoms, treatment, restrictions, and how the condition affects your ability to function reliably in a work environment.

Can I work part-time while receiving Desjardins LTD benefits?

This depends on your policy and circumstances. Get advice before making a significant change to your work status.

Does Kotak Law handle Desjardins LTD disputes across Canada?

Kotak Law represents clients in long-term disability matters throughout Canada, subject to applicable provincial law society requirements. Nainesh Kotak has practised law in Ontario since 1994 and is also called to the bars of Alberta and British Columbia, with the firm continuing to expand its bar admissions across Canada.

Related Long-Term Disability Resources

Speak With a Disability Lawyer About Your Desjardins Claim

Kotak Law can review your policy, medical evidence, and Desjardins’s reasons for its decision, and explain your options.

Free consultation. Disability cases are handled on a contingency-fee basis.

About Nainesh Kotak and Rajiv Haté

Nainesh Kotak, B.A. (Hons), LL.B., has practised law in Ontario since 1994 and is also called to the bars of Alberta and British Columbia. Nainesh and his colleague Rajiv Haté are both recognized by the Canadian Lexpert Directory as leading lawyers in long-term disability law.

Nainesh is a Past Chair of the Long-Term Disability Section of the Ontario Trial Lawyers Association (OTLA) and currently serves as Vice President of OTLA.

Together with the firm’s disability lawyers — including Kaity Yang and Avinaash (Avi) Laljie — Nainesh and Rajiv represent clients throughout Canada in long-term and short-term disability disputes involving major Canadian insurance companies.

Read the full team bio →