How do workers compensation settlement agreements work in Florida?

Workers Comp Settlement Agreements

From time to time, I hear from people who have reached the end of their Florida workers compensation claim and haven't retained an attorney asking for assistance settling their case. Or maybe, the insurance company has offered them a lump sum settlement and they want to know if it's a fair offer. While I recommend hiring an experienced Florida workers comp lawyer, here are a few things to consider to help understand what goes into a Florida workers...

compensation settlement agreement. 

What is a Workers Comp Settlement Agreement?
Simply put, a workers comp settlement agreement is an agreement to resolve you workers comp claim. After an accident you are entitled to receive medical treatment and lost wages (indemnity) under your Employer's workers comp insurance policy. You may be entitled to additional benefits depending on the specifics of your case. Agreeing to a workers comp settlement gives up your rights under the workers comp policy in exchange for a lump sum amount. 

This means that workers comp will no longer provide medical treatment or lost wage benefits. 

A settlement agreement should not be entered into lightly. It's important to fully read and understand the settlement agreement. Because of the complexities involved in settling a case, it's recommended to consult with a Florida workers compensation attorney. 

Maximum Medical Improvement (MMI)

In general, being placed at MMI kicks off settlement discussions. MMI is the point where your doctors determine that no significant improvement will occur from a medical standpoint. Your doctors will continue with palliative care, such as prescriptions or periodic physical therapy, but generally new treatment isn't necessary. 

It's important to be placed at MMI by your doctors so you and your attorney can understand the extent of your injuries and understand what treatment will be required in the future. 

What to Consider in a Settlement Offer

Accepting a settlement agreement means your giving up your future benefits in exchange for a lump sum amount. An attorney can help you understand the complete long term ramifications of the agreement. Some things to consider include:

1. Unpaid Benefits: Are you owed past benefits for lost wages? Were you paid at the correct rate? Will you be placed off work in the future due to the injury?
2. Penalties: When the insurance company doesn't pay you the correct amount, you're entitled to penalties and interest on the unpaid amount. In some cases this can amount to thousands of dollars.
3. Future Medical Treatment: Will you require medical treatment in the future? If you're no longer under workers comp, you'll need to pay for your own doctor's appointments, prescriptions, and testing. This adds up fast and in many instances isn't covered by your private health insurance. 
4. Disability Benefits:​ In many instances upon being placed at MMI your doctor assigns a permanent impairment rating (PIR). You're entitled to payment based on this amount. 
5. Other Benefits: There are a vast number of workers comp benefits that may be included depending on your specific case. If you have a catastrophic injury, you may be entitled to in home care. In one very rare instance, I've seen the insurance company buy a house for a paralyzed injured worker to use for the rest of their life. 

Overall, there are many aspect to consider when settling your case. It's recommended to consult with a Florida workers compensation attorney before entering into a settlement agreement. 

Settlement Process

The settlement process starts when one party makes an offer or demand. If you're represented by a Florida workers compensation attorney, your attorney will work with you to determine an amount to demand and the negotiation strategy. If you're not represented, oftentimes the insurance company will make the initial offer.

Once an acceptable settlement is negotiated the parties will need to seek judicial approval. If you do not have an attorney, you will be required to attend a settlement hearing in front of a judge. If you have an attorney the hearing is not necessary, as your attorney will sufficiently protect your rights. 

Once the settlement agreement is signed and approved by the judge, it becomes binding on the parties. 

Workers compensation is a complex area of law with many pitfalls and deadlines. If you're negotiating a workers compensation settlement it’s important to hire an experienced Florida workers comp lawyer, such as Attorney Andrew Graves. Your lawyer will be able to gather evidence, negotiate with the insurance company, protect your rights, and secure maximum compensation for your Florida workers comp accident.

Call Attorney Andrew Graves at (407) 308-0327 or fill out the free case consultation form ​so we can start working today.