Workers' Compensation Settlement Options
Introduction
- Discussion on workers' compensation claims settling options.
- Importance of understanding options to choose the best fit.
- Settlement requires agreement from both parties.
Types of Settlement Options
- Stipulation with Request for Award (Stip)
- Compromise and Release (CNR)
Stipulation with Request for Award (Stip)
- Settles only permanent disability.
- Requires a doctor’s report to determine whole person impairment.
- Resulting in a dollar figure based on the date of injury.
Pros
- Medical coverage for accepted body parts for life.
- Ability to reopen the case within five years if injury worsens.
- Option to continue working for the employer.
- Allows the use of any unused temporary disability if needed within five years.
Cons
- Lower settlement amounts.
- Payments are bi-weekly, not lump sum.
- Limited control over future medical treatments.
- Cannot settle early; must see through to completion.
Compromise and Release (CNR)
- A lump sum settlement that closes the case entirely, including future medical.
Pros
- Higher settlement amounts, including future medical.
- Lump sum payment.
- Freedom to choose medical treatment without pre-approvals.
- Can be settled at any point in the case.
- Closure of the case, allowing you to move on.
Cons
- Typically requires resignation from employment.
- Settlement amount might not cover actual future medical costs.
- No option to reopen the case if injury worsens.
- Affects Social Security Disability payments and requires Medicare set-aside if applicable.
Choosing the Best Option
- Stip: Ideal for those wanting security in future medical treatments or anticipating future surgeries.
- CNR: Suitable for those needing a lump sum, control over their medical treatment, or those unable to continue employment.
Considerations
- Personal circumstances such as ongoing employment, financial needs, and future medical concerns should guide the choice.
- Professional legal consultation is advisable for case-specific guidance.
Conclusion
- Decision depends on individual needs and circumstances.
- Contact a legal professional for tailored advice.
Note: This summary aims to provide an overview of workers' compensation settlement options based on a legal lecture. Always consult with a legal professional for specific legal advice.