Receiving a Fair Amount for Your Workers’ Compensation Settlement
If you filed a workers’ compensation claim for a work-related injury or illness and have been offered a workers’ compensation settlement, you may feel compelled to grab that offer out of fear that it is the best offer you will get or to simply avoid the hassle of the claims process. There are pros and cons to settling. Understanding how workers’ compensation settlements work and the consequences for accepting a settlement are important for you to make an informed decision.
Consider your options
Before you settle your New Jersey workers’ compensation claim, carefully consider your options. A workers’ compensation insurance carrier may offer you a lump-sum settlement. This may be appealing so you can avoid going through the claims and appeals process. But accepting a settlement may not always in your best interest. It depends on what you’re getting and what you’re being asked to give up.
Workers’ compensation settlements
In settling a workers’ compensation claim, you receive an agreed-upon amount of money which is paid in either a lump sum payment or in installments. In accepting such payment, you give up certain benefits. In New Jersey, there are two types of workers’ compensation settlements: Section 20 settlements and Section 22 settlements.
Section 20 settlements
If your workers’ compensation claim was denied by the insurance company, or if the insurance company disputes part of your claim, then you may agree to a Section 20 settlement. A Section 20 settlement is a full and final settlement in which you receive a lump sum. In exchange for this lump sum, you give up your right to any workers’ compensation benefits pertaining to your claim, your right to future medical care, and you may not request additional benefits or reopen your claim.
Section 22 settlements
All workers’ compensation claims can be resolved with a Section 22 settlement, in which the worker and insurance company agree on the permanent disability rating. Disability benefits are then paid in installments. Under this type of settlement, you do not forgo your right to future medical treatment or the right to reopen the claim or request additional benefits, providing it is reopened within two years from the last settlement payment.
Deciding whether to settle a workers’ compensation claim is complicated, contact leading New Jersey workers’ comp lawyers for answers to your questions
Determining the value of a workers’ compensation claim is a complicated process that should consider a number of contributing factors, such as the nature and seriousness of the injury, your need for continued medical care, whether you are capable of returning to work, and other components of the claim itself. It is beneficial to have an experienced workers’ compensation attorney by your side to navigate the process, evaluate the settlement, and advise the best course of action in your situation. The skilled workers’ compensation attorneys at Lomurro Law have successfully represented New Jersey workers for more than 130 years combined. Let us help you. Contact our office today at 732-482-9285 or online to arrange a confidential consultation.