Work Comp – Lump Sum Settlements
When you are receiving work comp benefits, it sometimes makes sense to resolve your case for a lump sum amount. The timing of this is very important and all settlements must be approved by a Workers’ Compensation Judge if it involves wage loss and medical benefits.
When it makes sense to resolve:
- You are done with most medical treatment for your injury
- You have permanent restrictions and have reached maximum medical improvement
- Your employer has shut down
- Your employer has no modified duty that you can do
- Your case is in litigation and there is a chance that your benefits could be stopped by a Workers’ Compensation Judge
- You are approaching Social Security Retirement age or want to take your pension
In these situations, the amount you would want to resolve for and the terms of the settlement will vary and it is important that you know what your rights are so that you do not loose important accrued benefits through offsets and credits, such as pension benefits or health insurance benefits. It is very important that you know what the effect on your work comp benefits would be if you take a pension or voluntarily resign from your employment. Be sure you talk to a qualified work comp attorney so you do not loose work comp benefits, pension or other benefits.
If you are planning on applying for Social Security Retirement benefits, you should know that half of the amount of those benefits will be reduced from your work comp benefits. However, that is not the case for Social Security Disability benefits. Also, obtain advice before you take a pension.
Whenever it is time for you to resolve you claim for a lump sum, you will want to consult with a qualified attorney so that your benefits are maximized and the timing is right for your individual case and needs.
Lump sums can also be paid in workers’ compensation benefits for scars, hearing loss and loss of use of fingers. Often when a plant shuts down, employees may not think about the benefits that may be available to them for these types of claims.
Please contact us with any questions or concerns, we are here to help! Please call 412.488.6000 or email [email protected].
Know Your Rights! Protect Your Rights!