If i get lump sum settlement from workers comp can i return to work

Injured employees who return to work as soon as medically possible often have the most favorable outcomes. They recover from their injuries quicker and experience less wage loss.

Workers’ compensation benefits may continue as long as an employee is unable to work and earn money. Even when you return to work on light duty while treating for a work injury, you can still receive worker’s comp benefits for medical treatment for your work-related injury. If the light-duty position pays less than what you were earning before your accident, you can often obtain a portion of the difference of your wages.

The following are several factors to consider when deciding if you should return to work after an on-the-job injury:

  • Availability of previous work or modified work – Before choosing to either continue working for the company or leave with a lump sum settlement, you should first know whether there is a position available with the company. If there is and you can perform it, then the option of taking their prior position should be back on the table. If permanent impairment restricts you from being placed in their old job, however, you should ask whether there is modified work or an alternate position available. If there is, then the option is available and you can still receive modified workers’ comp benefits. If there is not, then consider accepting a lump sum settlement.
  • Relationship with employer – Even if returning to work is an option, the relationship with your employer could have been tainted through the claims process, especially since the employer's insurance premiums have increased due to your claim. If you anticipate experiencing remorse or discrimination upon your return, you may want to settle your case and move on from the company.
  • Availability of other work – You have the option of taking a lump sum settlement and receiving income somewhere else in the form of another job.

Whether you wish to return to work or consider taking what the insurance adjuster offers you, it is imperative to consult with a lawyer. With more than 30 years of experience, our Orange Country workers’ compensation lawyer at Alvandi Law Group, P.C. has a thorough understanding of California workers’ comp law to help you obtain the best results possible for your case.

For more information, contact us and request a free consultation today.

Do lump-sum settlements of workers’ compensation benefits discourage return to work? This question is often raised in policy discussions about allowing or restricting settlements of workers’ compensation benefits. Some observers have expressed concern that receipt of a sizable lump sum will delay return to work because workers may feel less immediate need for income. Economists call this an income effect. System practices in some states may reinforce these incentives, as settlement agreements may require workers to leave their at-injury employer and seek a new job.  

Other observers of the workers’ compensation system indicate that the receipt of a lump-sum settlement may encourage return to work. Settlements provide workers with the sense of closure which motivates workers to restart their careers after the workers’ compensation process is over (Hyatt, 2010). This is often referred to as the closure effect. Some workers may be willing to accept lump-sum settlements in order to move on with their lives after an injury (Torrey, 2007a).   

The study follows the experience of 2,138 workers who were injured in Michigan in 2004 and later received a lump-sum settlement.  WCRI followed the employment experience of these workers up through 2008.  Although the study focuses on injured workers in Michigan, policymakers from across the country can learn from these findings and better understand a worker's decision to return to work after a lump-sum settlement. 

Return to Work after a Lump-Sum Settlement. Bogdan Savych. July 2012. WC-12-21.

If i get lump sum settlement from workers comp can i return to work

Michigan lawyer explains if you can return to work after workers’ comp settlement and how to make sure maximum dollars are paid.

A lump sum cash payout is an attractive option for many people who are on workman’s compensation. It allows them freedom to get medical treatment and vocational rehabilitation on their own terms. Money can be used for anything including finding a new job or starting a business. Some individuals have no choice but to settle their case because of financial problems. One question that arises from some of our clients is if they they can return to work after a workers’ comp settlement in Michigan . The answer is yes, but what people need to understand is that timing is everything when it comes to getting paid a fair amount.

Critical factors that determine payout amounts

We tell our clients that the value of your case breaks down into two critical factors. The first is medical treatment and how much treatment needs to be paid in the future. The second is lost wages and how long a person will be disabled from working. Insurance companies use these factors to determine how much should be paid for a claim. They know value of claims and do not want to overpay. A good lawyer can help develop the medical and vocational evidence so that maximize dollars are paid. Returning to work and impact the amount awarded.

Can I return to work after a workers’ comp settlement?

Yes you can return to work after a workers’ comp settlement in Michigan, but usually not for the employer where the workplace accident occurred. Insurance companies require as a condition of settlement that a person resign their job and not seek future re-employment. This is to ensure that a person does not come back to work for one hour and then make a brand new claim for workman’s compensation benefits. We don’t recommend violating this agreement because the insurance company could have cause to get their money back.

What if an employer changes their insurance company during my case?

Sometimes an employer does not have the same insurance carrier at the time of settlement. Determining if you can return to work after a workers’ comp settlement in Michigan under these circumstances will be up to the employer to decide. We have represented many people who continued working after payment was awarded when the insurance company is no longer on the risk. It is a win-win situation because a person keeps their job, and the insurance company settles its potential liability.

What if I find new employment before I settle my work injury claim?

Watch out for the situation where a person finds new employment and then wants to settle their workman’s compensation case. Insurance companies have very little incentive to pay maximum dollars if a person has returned to other gainful employment. Make sure you have not started a new job until after you case has been finalized.

Can I return to work after a workers’ comp settlement in Michigan if I’m in a union?

Individuals who are in a union might find some doors closed. We recommend speaking with a union representative before settling the workers’ comp case to ensure no potential conflict.

To speak with an experienced attorney about your work injury claim in Michigan, call us now, or fill out our contact form for a free consultation. There is absolutely no cost or obligation. We’re here for you.

Our attorneys have been exclusively helping injured workers in Michigan for more than 35 years and can help you better understand Michigan workman’s comp laws and when you can return to work after a workers’ comp settlement. To see what our own clients have to say about the caring, compassion, and communication they received from us, you can read in their own words about their experience here on our testimonials page from clients we have helped.

Michigan Workers Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 35 years. Call (844) 316-8033 for a free consultation today.

Related information:

Can You Sue Your Employer After A Workers’ Compensation Claim?

If i get lump sum settlement from workers comp can i return to work

What if my doctor sends me back to work full duty but I am still hurting?

If the Workers Compensation Doctor Releases You to Full Duty Work Even Though You are Still in Pain and Unable to Return to Your Regular Job, You Can Keep Your Workers Comp Benefits if You Prove that the Doctor was Not Aware of All Your Job Duties at the Time of the Release.

How do I tell my doctor I'm not ready to go back to work?

That means a bunch of things:.
Make sure they are aware of your symptoms. ... .
Don't exaggerate your symptoms. ... .
Make clear what your job entails. ... .
Discuss with them what you should do if you have the same pain when working..
Let them know the pain you have when doing similar activities away from work. ... .
Make clear your concerns..

Can you be terminated while on workers comp in Florida?

Florida's Workers' Compensation Laws don't require an employer to “hold” a worker's job while he or she recovers from a workplace injury. However, these laws do prohibit an employer from terminating an injured worker if the action is retaliation for filing the workers' compensation claim.

Does workers comp pay for time off for doctor's appointments in Georgia?

Individuals receiving these benefits receive workers' compensation for their time, including whatever is necessary for related doctor visits and physical therapy. Georgia workers approved for light duty may receive temporary partial disability payments through workers' compensation to make up for lower wages.