Although workers’ compensation is typically the only legal recourse for on-the-job injuries, you may be able to pursue a third-party claim if someone other than your employer caused or contributed to your injury. However, it’s important to understand how workers’ compensation liens affect third-party claims. Please continue reading to learn whether or not you’ll have to return your workers’ compensation award if you file a third-party claim and how our experienced Manatee County Work Injury Lawyers can help you fight for the compensation you deserve.
What is a Third-Party Claim?
First, it’s important to understand that a third-party claim refers to when you pursue legal action against someone other than your employer because their negligence either caused or contributed to your injuries. These claims are also known as personal injury lawsuits. While workers’ compensation makes the process of obtaining benefits relatively straightforward, it comes with a significant tradeoff. If you have a valid third-party claim, it will allow you to be fully compensated for your losses. This can increase the size of your settlement.
Workers’ compensation operates under a no-fault system, meaning injured workers can receive benefits even if the injury was partly their fault. However, in a third-party claim, the injured worker must prove that the third party’s negligence directly caused their damages.
Unlike workers’ compensation, which is limited to medical expenses, lost wages, and certain disability benefits, a third-party claim allows you to recover compensation for your non-economic damages. Workers’ compensation doesn’t compensate for pain and suffering.
Will I Have to Return My Workers’ Compensation Award if I File a Third-Party Claim?
Florida law allows employers and insurers to place a lien on personal injury lawsuit awards if the injured worker has already received workers’ compensation benefits. This prevents “double recovery” for the same injury, ensuring that the injured worker doesn’t receive a windfall. Essentially, this means that a portion of the compensation you receive from a third-party claim may be used to reimburse the insurer for the workers’ compensation benefits they paid.
A seasoned attorney can often negotiate with the workers’ compensation insurer to reduce the lien. This is crucial to ensure that you receive the full and fair compensation to which you are entitled for your damages. While the goal is to prevent double recovery, you don’t want to be left undercompensated for your losses.
Keep in mind that your employer or their insurer can waive the lien, but if they do, it is usually in exchange for continued workers’ compensation benefits being less or stopping altogether. If they do not waive the lien, you will still receive an award, but the formula by which the amount is calculated is complex. As such, you should enlist the help of a skilled attorney from Becker & Lindauer, LLC, who can help you retain more of your third-party compensation. Connect with our firm today to learn how we can fight for you.
