There are a number of ways in which a workman’s compensation claim can close. The most common way is through Compromise and Release (C&R) in which the applicant gives up their rights for a lump-sum compensation. Once the judge approves the settlement by issuing an order, the claim is closed forever. This is a very popular way of ending claims because it avoids inherent risks of pursuing the claim in court (both parties risk an outcome of an unsatisfactory compensation).
Another way a claim can be ended is through Stipulation and Award.
The basics of Stipulation and Award in Orange County CA
This closure is less popular than Compromise and Release. There is no lump-sum compensation paid out to the applicant, but a level of disability is stipulated and future medical care provisions are secured for the hurt employee. The value of this compensation is usually smaller than with C&R because the medical part of the settlement is left open. Financial compensation is provided on a weekly basis until the set amount is exhausted. This compensation is called permanent disability money provided for injuries incurred in the workplace as a result of hazardous exposure. The disability, or physical impairment, is assessed through American Medical Association Guides of Permanent Impairment. Future medical care (FMC) is provided, but it must be reviewed and approved by the insurance provider.
Downsides of Stipulation and Award
When a workman’s compensation case is concluded in this way, it is unfavorable for the claimant that the compensation is nowhere near as high as with Compromise and Release and it’s stretched over a long period of time (usually years and less usually decades).
Moreover, it’s disadvantageous for the hurt employee that the medical treatment and care are and will be controlled by the insurance adjuster. Insurance providers commonly try to postpone or block medical procedures even when they’re doctor-recommended. California insurance carriers for workers’ compensation are infamous for turning down medical treatment procedures, and this is much more wide-spread than with the private health sector.
Upsides of Stipulation and Award
The fact that future medical care (FMC) is open is a good thing for the worker. This holds especially true in the case of chronic conditions, when FMC is the only financially feasible option within the system. Even though the care will remain in the control of the adjuster, it still beats nothing.
Another hidden advantage is the possibility of reopening the case if another related disability appears. The SOL (time limit) for this is 5 years since the date of the initial injury. If there are conditions or consequences that weren’t foreseen at the time of the settlement, there’s a chance to get a bigger amount of the permanent benefit and a wider medical coverage for the new or further impairments caused by the original injury.
A third upside is the opportunity to get a bigger amount of C&R if the claim is reopened due to further consequent impairments. This wouldn’t be possible if the case had been originally closed through C&R.
Get an Expert Attorney to Handle Your Workman’s Comp Claim In Orange County CA
If you or someone dear to you has incurred injuries on the job in Orange County, don’t hesitate to contact the experienced, aggressive and ethical attorneys at Workers’ Compensation Attorney Group in Orange County. Our lawyers are experts with an invaluable experience in leading workman’s compensation claims. Contact us right away to get a free case review with no pressure or obligation to retain our services. If you do choose to hire us, you don’t need to worry about exorbitant legal fees – you pay only if we win! You have nothing to lose, but valuable time and guidance in your case.