Michigan lawyer discusses a workers’ comp settlement and how to get the most money possible.
Many of the people who contact our Michigan law office want to know, what is a workers’ comp settlement. We explain that it is when a lump sum cash payment is given in lieu of workers’ comp benefits. Money can be used for any purpose including medical treatment, education/retraining, starting a business, paying off debt, or retirement.
The value of a settlement depends upon what the insurance company thinks it has to pay in future insurance benefits. Generally, a case is worth between 1 and 5 years of wage loss benefits plus medical. It is important to get a professional involved early in the negotiation process. Insurance companies know that people who are represented understand their legal rights and won’t settle cheaply.
What is a workers’ comp settlement?
A workers’ comp settlement is when injured employees trade their workers’ comp benefits in for a lump sum cash payment. This is an attractive option for many people because it allows them freedom to do medical treatment and vocational rehabilitation on their own terms. They can also quit and find a new job. Money can be used for any purpose and cannot be taken back.
The value of your settlement depends on whatever payment you can negotiate. Insurance companies know the value of a case and do not want to overpay. They can be ruthless when negotiating terms and it does not always work out for the disabled employee. It is no secret that insurance companies do not take people seriously unless they understand their legal rights. We have seen first offers that are just pennies on the dollar. We recommend hiring a lawyer to negotiate and ensure the most amount of money is paid.
How does a workers’ comp settlement work in Michigan?
In Michigan, a workers’ comp settlement works like this – they all must be approved by a magistrate at a redemption hearing. Facts about the claim and medical records must be provided for review. Also, several complicated forms and affidavits that must be signed. After this, the magistrate will decide whether the value is appropriate under the circumstances.
Once the settlement been approved by the magistrate, there is a 15-day appeal period. Either side can seek to reverse the settlement based upon a legal reason or other good cause. The 15-day appeal period can be waived if both sides agree, and everything becomes final immediately. Checks are sent by U.S. mail and typically arrive 7-10 days after.
Remember, a settlement is a bargain between the employee and insurance company to trade benefits for a lump sum cash payment. Don’t count on the magistrate to protect legal rights. They are simply reviewing the matter to see if the value appears to be appropriate. An experience lawyer can maximize the value of a settlement by developing medical and vocational evidence. It is also critical to make sure that the amount awarded does not interfere with entitlement to other benefits like SSDI and Medicare.
Injured on the job in Michigan? Contact our lawyers now
If you were injured while on the job in Michigan and you have questions about your workers’ comp settlement, then call now or fill out our contact form for a free consultation. There is absolutely no cost or obligation. Our attorneys are here for you.
Our attorneys have been exclusively helping injured workers in Michigan for more than 35 years. Our attorneys can help you better understand Michigan work injury laws and what happens after someone has been hurt on the job. 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 Workman’s Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled employees exclusively for more than 35 years. Call (844) 316-8033 for a free consultation today.