A workers compensation case may result in two types of settlement. One is called a Stipulated Finding and Award, the other is known as a Compromise and Release. A Stipulated Finding and Award is an agreement that similar to what a judge would arrive at the end of a trial. A Compromise and Release completely closes the case.
The Stipulated Finding and Award
A judge’s decision is called a "Finding and Award." Thus, a "Stipulated Finding and Award" is an agreement with the same effect as the judge's decision. The difference is, it is a voluntary agreement between two parties rather than something stipulated by a judge.
The central elements of a Finding and Award are the percentage of disability, and the possible need for further medical care. The percentage of disability is a result of the doctor’s opinion of your disability. There is a formula for determining disability according to the language in the medical report, combined with your age and profession. Typically there is a dispute regarding your level of disability, as this level determines the amount of money you receive. The benefits are paid out over a period of time, not in one lump sum.
An important part of the Stipulated Finding and Award is the decision regarding whether you are entitled to medical care in the future. There are three possible outcomes: 1.You are not entitled, you’re entitled, or you may be entitled. Disputes may be left on ‘may be entitled’ with the idea that your insurance company will make the final decision as to whether the care is necessary. Usually the doctor will look clear treatment with your insurer prior to commencement of treatment in these situations.
The Compromise and Release
A compromise and release closes the case completely and gets rid of the need for payments over time. It will also eliminate any need for the provision of future medical care. If you have a right to future medical care but would rather pay for it yourself or by other means, then you may want to consider a compromise and release. You will likely be compensated somewhat by the insurance company for being released from having to pay for your future medical care.
If you are not anticipating needing further medical treatment for your disability, you may want to pursue a Compromise and Release, as the amount of your settlement is typically more than you would have received over time.
