Learn when, how, and if to settle your Illinois workers’ compensation claim.
There are many methods to settle a workers’ compensation case in Illinois, and many injured employees are unaware that they are qualified for settlement. Determining when and how much to settle a worker’s compensation claim is not always easy.
Hiring a workers’ compensation attorney may help you evaluate your claim and understand the settlement procedure, but many injured employees choose to handle their claims on their own.
Here are some tips for resolving your workers’ compensation lawsuit in Illinois.
Table of Contents
What Is an Illinois Workers’ Compensation Settlement?
A settlement is an agreement reached between the injured worker and the insurance company to discharge part or all of the insurance company’s liabilities in return for a monetary payment. Your settlement will most likely be paid in a lump payment. You may, however, get paid in increments over time if:
You have a wage differential claim, which means you can only return to work at a job that pays less than it did before your disability, or you are permanently and completely incapacitated, which means you can’t work at all because of your injury.
In Illinois, settlements generally end your access to all workers’ compensation benefits, including future medical treatment. The insurance company may agree to keep your medical rights open in specific instances. For example, if a Medicare set-aside would be too expensive because you would need major medical treatment in the future, the insurance company may explore this alternative. (For additional information on Medicare set-asides, see our page on worker’s compensation settlement deductions.)
When Will My Claim Be Resolved?
When you are at your peak medical improvement, it is finest to ponder settling (MMI). This is the moment at which your doctor determines that you have either totally recovered or have improved as far as you can with therapy. Settlement before MMI is dangerous since you can’t forecast how bad your injuries will be or what medical care you’ll need in the future. In Illinois, any compensation deal executed within seven days of the accident is presumed to be fraudulent.
Speak with an attorney if you haven’t achieved MMI but have compelling reasons to settle your case immediately soon. An attorney may be able to negotiate a settlement that preserves your right to future medical treatment or that provides extra pay for any future medical care that you may need.
How much will I get paid?
Your claim’s worth is determined by a number of variables, including your pre-injury salary, medical treatment recommendations, capacity to return to work, and whether you have a permanent handicap. Our page on the kinds and amounts of Illinois workers’ compensation benefits might help you figure out how much you could be entitled to. However, other variables, such as proof that your injury was not caused by your job, will have an influence on the value of your claim. A skilled worker’s compensation attorney can examine your claim and advise you on a reasonable settlement amount.
Certain deductions will be made from your settlement cheque. If you have a lawyer, for example, lawyers’ fees and legal expenses will be removed from your settlement. Read our post on how much a worker’s compensation lawyer charges for additional information on legal fees.
How Does a Settlement Happen?
If you have legal representation, your lawyer will submit a settlement demand to the insurance company or its lawyer. If you don’t have an attorney, the insurance company may or may not contact you with a settlement offer. Many wounded employees are unaware that they are entitled to compensation for their injuries. You are not required to accept any settlement offer.
Before the parties reach an agreement on the financial amount of settlement, there is generally considerable back and forth. When you reach an agreement, one of the lawyers will create a settlement contract. The contract will detail all of the agreement’s provisions, including what rights you are giving up.
How Do Settlements Get Approved?
The Illinois Worker’s Compensation Commission must approve all agreements. A Commission arbitrator will analyze the settlement contract to ensure that it is fair and reasonable, and that there are no mathematical or typographical mistakes.
If the settlement contract has a flaw, the arbitrator will return it to the parties for revision. Arbitrators prefer particular wording over broad and sweeping language that may be too limiting of the injured worker’s rights. Some arbitrators, for example, will not allow contracts that specify that “any and all” incidents are covered by the settlement.
Settlement agreement should simply include the date or dates of the accident in question. If you were injured on the job more than once, it is critical to understand which injury you are settling for and for how much.
The Agreement Is Complete
You give up your right to a workers’ compensation hearing if you settle your case. The terms of your settlement are final once an arbitrator accepts it. For example, if you are unhappy with the financial amount of the settlement, you cannot reopen your case to get a higher sum.
You cannot reopen your case to obtain future medical care reimbursed if you locked out your medical rights as part of the settlement. Only in very exceptional circumstances, such as when there is an obvious typographical mistake in your settlement contract, may you renegotiate the terms of your contract.
Under Illinois law, you have 30 months from the date of settlement approval to reopen your case if your health worsens as a result of the injury. Most settlement settlements, however, contain a renunciation of your ability to reopen your case for this reason.
Consult an Attorney
Because settlements are binding, you should have an attorney go through the contract with a fine tooth comb to ensure that you agree with the conditions. A settlement is fraught with complications. For example, if you get other government benefits, such as Social Security, they may be decreased or terminated unless you have special wording in your worker’s compensation contract that prevents this. You should also be aware of any outstanding medical bills or government liens (such as child support or Medicaid) and how they will be handled.
It is perilous to review your own settlement deal without the assistance of a lawyer since the contracts often include very sophisticated legal jargon. A knowledgeable attorney may assist you in understanding what you’re signing.
