WCA releases 2016 maximum weekly rate information and why you should double check insurance company calculations.
We previously blogged about the 2016 weekly benefit table being released. Now the 2016 maximum rate has been announced. This is based upon 90% of the state average weekly wage.
The 2016 maximum weekly rate is $842.00 based on a state average weekly wage of $935.00. This equals $43,784.00 on an annual basis.
Average Weekly Wage Calculation
We frequently see errors in the average weekly wage calculation. Employers don’t always provide the correct wage information and estimates are used. This results in insurance companies paying far less than required under Michigan law.
Make sure the insurance company is using the highest 39 paid weeks in the 52 before you got hurt. Overtime, bonuses, and premium pay should be included. Discontinued fringe benefits can also be included under specific circumstances. Sometimes wages from a second job also count.
Watch out for insurance companies who automatically reduce the weekly rate based upon your “wage earning capacity.” This is when you are told jobs exist but no actual employment is offered.
Weekly Compensation Rate
You can calculate the weekly compensation rate using tables published by the State of Michigan. Find your average weekly wage on the left side. Select the appropriate tax filing status across the left side and number of dependents on top. This will give you the correct weekly compensation rate.
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 (855) 221-2667 for a free consultation today.
Photos courtesy of Creative Commons, by Images_of_Money.