Lump Sum Settlement
If you were injured on the job, you may have heard about what’s called a “Lump Sum Settlement” – also known as a “Compromise and Release.”
Note: Please know that when you sign to accept a lump sum settlement, this is a one-time payment. If you accept a lump sum, you can’t go back for more money. Your employer’s insurance company doesn’t owe you another cent.
Important Information on Lump Sum Settlements
Under Pennsylvania worker’s compensation, if you have been off work for more than 4 months due to a work-related injury – and you’re currently receiving workers’ compensation – you may be able to settle with the insurance company for a lump sum.
A lump sum settlement is a one-time payment that can replace your weekly workers’ compensation checks, your medical bills, or both. You can accept a lump sum settlement for both your lost wages and medical expenses.
Accepting a lump sum settlement for your medical expenses can be tricky. If you accept a lump sum payment for your future medical care, you will not receive any more money for your medical treatment after these funds are spent.
Remember: If you agree to a lump sum settlement, you won’t receive another penny from Pennsylvania workers’ compensation. Before agreeing to a lump sum settlement, you should make absolutely sure that the offer is fair and that it’s a good idea for you. You should hire an experienced attorney to help negotiate with the insurance company, because the insurance company will nearly always offer much less than you should receive.
When Might I Want a Lump Sum Settlement?
You may want to settle for a lump sum if:
- You have stopped making progress in your recovery – and your doctor believes you will not continue to recover
- You are tired of the workers’ compensation hassle and want to move on with your life
If you’re thinking about a lump sum settlement, you should take a good look at your medical costs and what they may be in the future. Will you need another surgery? Will you be unable to work for years to come? Will the settlement be enough money to give you financial security? Is it worth more than the hassle of dealing with the insurance company? Be sure to think about these questions, and consult an attorney to see if it’s in your best interest to accept a lump sum settlement.
Learn Your Best Options – Get a Free Legal Evaluation Today
Don’t let the insurance company take advantage of you and offer you a low-ball lump sum settlement. At Edgar Snyder & Associates, we have decades of experience dealing with the Pennsylvania workers’ compensation system. We’ve helped over 7,000 injured workers by protecting their rights and getting them the money they deserve.
If the insurance company has offered you a lump sum settlement, or if you think you might want a lump sum settlement, contact us right away.
Call 1-866-9-4EDGAR (1-866-943-3427), or fill out your information at the right for a free legal evaluation. Our phones answer 24/7, so get started now.