Finding Someone Who Can Be On Your Side

Do These Things Before Accepting A Workers' Compensation Lump Sum Settlement

You can receive periodic payments or a lump sum workers' compensation package after suffering a workplace injury. Each option has its requirements, procedures, pros, and cons. Below are a few things you should do to enjoy your lump sum settlement without regret.

Consider the Pros and Cons 

Understand the pros and cons of a lump sum settlement before accepting it. For example, you may appreciate the sump sum if:

  • You want to receive all your benefits at once so you can plan your financial future
  • You have a specific financial need that requires a lot of money
  • You are relatively old and don't plan on returning to work
  • You don't want to risk future reduction of benefits

However, you should also know that you give up your rights to more benefits in the future once you accept the settlement. You might suffer financial losses if you use the lump sum money and cannot receive additional benefits.

Include All Relevant Compensation

Include all the benefits you deserve in your negotiation with the workers' compensation department. Better include something and get it denied than not include it at all. For example, you should include:

  • Future medical costs, such as planned surgeries, prosthetic replacements, or pain management treatments if you have a long-term injury
  • Future wage replacements if your injuries mean you cannot work in the same capacity or earn the same wages you did before the injury

Review your state's workers' compensation laws to understand and claim the benefits you deserve.

Consult a Lawyer

Consult a lawyer before accepting your lump sum payment. You should hire a lawyer to negotiate your lump sum. For one, lawyers are skilled negotiations, and your lawyer may get you a better deal than you would get on your own.

Secondly, you should consider your future needs and the future value of your compensation. For example, just because a surgical operation requires $10,000 now does not mean it will still cost the same in five years. An experienced workers' compensation lawyer will help you negotiate a package covering all your future needs.

Lastly, your lawyer will also help you understand your compensation package and its implications. Remember, the court's understanding is necessary for it to approve your lump sum package. Unlike the periodic payments, you must convince the judge that you understand your lump sum settlement before you receive it.

Contact a local law firm, such as Law Offices Of Edward Seplavy, to learn more. 

About Me

Finding Someone Who Can Be On Your Side

About six years ago, I was involved in a terrible car accident. After the wreck, I was faced with my own recovery in addition to working and caring for my kids. Against my better judgement, I tried to take care of things on my own at first. Unfortunately, I found that the insurance adjusters were less-than-accommodating. To improve my chances of winning my case, I contacted a personal injury attorney. In addition to being on my side, my attorney fought hard in court. My blog is filled with information about personal injury law, because I want you to know which options are available to you.