Guide

Lump Sum Workers Comp Settlement

This guide focuses on future medical, Medicare, release language, and settlement approval.

Key takeaways

A lump-sum settlement should be broken into rights being closed, future medical risk, fees/costs, and net payment.

Records to put together

  • Full settlement agreement
  • Current medical status and treatment plan
  • Benefit/payment history
  • Liens, fee agreement, and work restrictions

Questions to verify

  • What medical rights close?
  • What wage/disability rights are released?
  • What approval is required?
  • What is the net amount after fees, costs, and liens?

Important caution

A larger headline number is not automatically better if important future rights are being closed.

When a lawyer consultation may help

  • A deadline, hearing, denial, or benefit change is close or disputed.
  • The medical evidence and the insurer/employer position conflict.
  • Permanent restrictions, settlement, third-party liability, employment status, or retaliation may affect the file.