How do you decide if a Compromise and Release amount is enough?

On Behalf of | Aug 18, 2021 | Workers' Compensation

In Pennsylvania, workers’ compensation benefits can come in many forms. People most frequently require medical benefits and disability pay, often a combination of the two. The more severe the injury or work-acquired medical condition, the bigger the total expenses involved.

If you need extensive or lasting benefits, you might receive a lump-sum settlement offer in the form of a Compromise and Release. Such offers mean that you will receive money once and then release the insurance company and your employer from all responsibility for the ongoing consequences of your medical condition.

How do you ensure that the amount offered is appropriate given the condition you acquired because of your employment?

A professional can help establish an estimated impact

The easiest way to evaluate a settlement offer is to first establish your own figure regarding the long-term financial impact of your injury. You need to look not just at the bills you already have but also at the future. The longer the condition will persist, the more medical care and disability pay you may require.

Look at the medical expenses you have already incurred and the likely cost of future treatment. Consider the wages you won’t earn and your reduced earning potential. While disability benefits through workers’ compensation aren’t meant to completely replace the wages you didn’t earn, they should come close to two-thirds of the wages you would have made without your medical condition.

If the settlement offer is far lower than your estimated lifetime impact, you may need to counter the offer or reject it outright. Learning more about the cost of injuries and Pennsylvania’s workers’ compensation system can help you negotiate a settlement.

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