How Does a Workers’ Comp Settlement Work?
If your employee has a work-related injury or illness, workers’ compensation
benefits can help pay their medical expenses, lost wages and more. However, your injured workers
don’t have to accept your insurance company’s benefits offer for their workers’ comp claim
. Instead, they can go after workers’ comp settlements with the help of a workers’ compensation attorney.
More About the Workers’ Compensation Settlement Process
Different states have different processes for workers’ compensation settlements. Before your employee and attorney reach a settlement, they’ll need to calculate a workers’ comp payout
they think is fair. Once they do this, they can contact your insurance company.
In most cases, workers’ compensation settlements cover these expenses:
- Attorney fees
- Disability payments
- Medical bills and ambulance rides
- Surgery and future medical treatment
- Lost wages and future wage loss
Workers’ comp settlements can end with one lump sum amount or a structured payment plan. However, if your employee doesn’t settle or isn’t willing to negotiate, it could go to trial. This is often referred to as a workers’ comp hearing or workers’ compensation lawsuit.
During the trial, a judge will look at the case and narrow down a fair settlement. Once they decide on the amount, your insurance company pays the claim.
Workers’ Comp Settlement Amounts
Workers’ compensation insurance payments depend on the:
- Workplace injuries
- Type of work performed when the injury occurred
- Risk associated with the job
- State your business operates in
Your payment amounts will also be determined by your average weekly wage. This is calculated based on your earnings for the 52 weeks prior to your work-related injury. Because these different factors impact the payment amount, it’s important to work with an experienced insurance company.
Do All Workers’ Comp Cases End in a Settlement?
Most workers’ comp cases
With some workers’ comp claims, your employee may not accept a lump sum settlement or a structured payments settlement. Instead, they’d work with a lawyer that can provide legal advice to help them pursue a larger settlement amount.
The Employer’s Role During a Workers’ Comp Settlement
As the business owner, you’ll want to make sure the settlement process is as smooth as possible. That means you’ll want to work with an insurance company you can trust. Remember, you can always reach out to your insurance company with questions at any time. In fact, our representatives can help you navigate the process easily and quickly.
You can also make sure the settlement process runs smoothly by giving your employees the contact information for your insurance company. This will help them stay updated on your business’ work injury policies.
How The Hartford Helps When an Employee Is Hurt on the Job
We’ve been helping businesses in all industries navigate the workers’ compensation settlement process for years. So, don’t hesitate to call us with questions if your employee gets hurt or sick while on the job. Our specialists will help walk you through the claims and settlement process. They’ll even help you sort out details like the difference between a personal injury or a work-related one.