Resolving Your New York Workers’ Compensation Case

Learn how workers’ compensation settlements operate in New York and how much you might collect.

The majority of New York workers’ compensation cases are settled. Workers choose to settle their claims for a variety of reasons. A lump sum settlement, for example, may assist you in paying off your accumulating expenses. Alternatively, if you stand a good risk of losing your workers’ compensation hearing, it may be worth conceding.

However, settlements often end your workers’ compensation lawsuit for good. As a result, be sure you understand the worth of your claim and the rights you are giving up. Before signing any settlement agreement, it’s also a good idea to talk with a lawyer.

How Do New York Workers’ Compensation Settlements Work?

Stipulation agreements and Section 32 settlements are the two forms of settlements in New York.

Agreement on Stipulations

Sometimes you and the insurance company will agree on the extent of your disability and the amount of workers’ compensation payments you are entitled to. In this situation, both you and the insurance company would sign a stipulation agreement, which would guarantee the amount you would get for your planned loss. Benefits are normally paid once a week.

Assume your accident necessitates the amputation of your limb. If the amputation is clearly work-related, the insurance company may agree that you are qualified for scheduled loss compensation. There will be no disagreement about how much you are awarded since the amount of these benefits is clearly stated out in workers’ compensation legislation.

Settlements under Section 32

A Section 32 settlement is an agreement to end your workers’ compensation lawsuit in return for monetary compensation. The majority of Schedule 32 settlements are paid in one big payment. However, in a tiny number of circumstances, employees are paid in installments over time (for example, every week, month, or year). Insurance companies normally only make monthly payments when a claim includes catastrophic injuries that result in permanent and complete incapacity since they would prefer terminate their responsibilities with a single payment.

In most situations, a Section 32 settlement is a complete and final resolution of your workers’ compensation claim. This implies that you are relinquishing all rights to your workers’ compensation claim, including the ability to have your future medical expenditures paid. As part of a Section 32 settlement, the insurance company may agree to pay for specific benefits, such as future medical care.

Can I Refuse My Workers’ Compensation Settlement in New York?

If your circumstances change, you may always modify your stipulation agreement. For example, if your medical condition deteriorates and you become eligible for extra benefits, you may request that the Board change your stipulation.

A Section 32 agreement, on the other hand, is binding. A Section 32 settlement may be canceled within ten days after the settlement hearing. (This must be done in writing.) A Section 32 settlement is therefore final. In other words, even if your illness worsens or you uncover a previously undisclosed damage, you cannot reopen your claim or seek further benefit payments.

How Do I Complete My New York Workers’ Compensation Settlement?

Both forms of workers’ compensation agreements need the consent of a court. A stipulation agreement requires you to present your settlement to the New York Workers’ Compensation Board by either filing a written stipulation (Form C-300.5) or testifying before the court about the terms of your agreement.

A Section 32 settlement is more difficult to finalize. Typically, you must submit with the Board a formal settlement agreement and waiver agreement (Form C-32). The Board will consider your settlement briefly and, if it is appropriate, will schedule a settlement hearing.

The judge will go through your settlement in further detail during the settlement hearing. Your settlement will be approved by the court if:

The settlement is reasonable and fair, and you completely understand the conditions of the agreement (what you are giving up and receiving in exchange).

If you have an attorney, the court will normally accept your settlement without question. If you don’t have a lawyer, anticipate more in-depth questions.

Because the judge’s judgment is binding, you should consult with a New York workers’ compensation attorney before attending a settlement hearing. A lawyer can analyze an insurance company’s settlement offer, explain its conditions to you, and lead you through the finalization process. (To find out how much this could cost, see our page on New York attorney costs.)

How Much Will I Get From a Workers’ Compensation Settlement in New York?

Settlement amounts vary greatly based on the severity of your injuries, your pre-injury earnings, and other circumstances. Conflicting evidence might also have an influence on the strength and value of your argument. Contact an expert workers’ compensation lawyer if you need assistance determining the worth of your claim.

Once you and the insurance company reach an agreement on an amount, certain expenditures, such as lawyers’ fees and legal costs, and a sum of money to cover future medical bills if you are eligible for Medicare, may be deducted from your settlement. (For further information, visit our page on worker’s compensation settlements and awards.)

When Can I Resolve My New York Workers’ Compensation Claim?

You may settle your workers’ compensation claim in New York at any time. Most employees, however, do not settle until they have attained maximal medical progress—when they are entirely recovered and their physicians do not foresee additional improvement. It’s impossible to predict how serious your injury is and how much it will affect your capacity to make a livelihood until this stage.

Employ a Workers’ Compensation Lawyer in New York.

It’s always a good idea to consult with an experienced workers’ compensation attorney before signing any settlement agreement. A lawyer can also assist you in correctly valuing your claim and navigating the sometimes perplexing workers’ compensation procedure.